June Textile Factory declared on Saturday that it would pay remuneration to about 4,000 workers in accordance with an Arbitration Council ruling, following months of protests from workers seeking severance payments after the factory burned down in March.
Albert Teoh, administration director of June Textile Factory in the capital’s Sen Sok district, said at a press conference in the capital that all workers would receive remuneration.
“We decided to pay the remuneration to the workers according to the Arbitration Council’s decision,” he said.
In a ruling issued last month, the Arbitration Council called on June Textile to compensate workers for a “pre-notice” period ahead of their dismissal of up to three months salary.
The factory was also instructed to give workers indemnity payments of 15 days’ wages multiplied by the number of years worked, with a cap at six years, and to pay out remaining annual leave.
Albert Teoh said that workers who had accepted compensation would receive additional payment in August to comply with the ruling.
More than 2,000 workers had already accepted an offer from factory representatives of US$20 per year worked.
“I am pleased and I hope that the factory’s decision will not change,” Lor Phalla, a 28-year-old former worker at the factory, said yesterday.
“I hope that I will receive at least $1,200 according to my seniority.”
Ken Loo, secretary-general of the Garment Manufacturers Association in Cambodia, said yesterday that while he was unsure of the exact figure, total remuneration for workers would be “in the millions”.