Logo of Phnom Penh Post newspaper Phnom Penh Post - Local wage talks to be model for other countries

Local wage talks to be model for other countries

Employees work at a garment factory in Yangon late last year. The ILO is considering exporting Cambodia’s minimum wage negotiation process to countries in the region such as Myanmar. Ye Aung Thu/AFP
Employees work at a garment factory in Yangon late last year. The ILO is considering exporting Cambodia’s minimum wage negotiation process to countries in the region such as Myanmar. Ye Aung Thu/AFP

Local wage talks to be model for other countries

Three years after the International Labour Organisation and the government instituted Cambodia’s tripartite minimum wage process, the practice is set to be exported to nearby garment exporting countries like Bangladesh and Myanmar, government and ILO officials said yesterday.

Labour Ministry spokesman Heng Sour said that the ILO was considering taking the country’s wage determination procedure and applying it to South and Southeast Asian countries, given its successes in Cambodia.

“We have proven that sitting together [and discussing wage hikes] is better than striking on the streets,” Sour said. “So, if they don’t come up with an appropriate mechanism, strikes could happen in Myanmar and other countries.”

The Cambodian model would be helpful in Myanmar, which was emerging on the global garment market, and Bangladesh, where there was no formalised wage process, he added.

Cambodia’s negotiation process starts with bilateral consultations, followed by tripartite talks between government, unions and employers, where each party proposes a minimum wage request. A 28-member Labour Advisory Committee then votes to send one proposal to the Labour Ministry.

Maurizio Bussi, director of the ILO in Bangkok, confirmed that the Cambodian model had attracted attention from Bangladeshi officials, but said that it had to be adapted to individual countries’ needs and laws.

He said Cambodia’s process was based on international conventions and the ILO hoped to use certain features – trilateral negotiations and use of statistical data – to get other countries to adopt similar practices.

He did say, however, that the Cambodia’s system could use more transparency, where data used by one party should be shared with all other parties.

Moeun Tola, Executive Director of CENTRAL, said the process had its good points, but that it should not be exported in its current form because the LAC was heavily skewed towards the government, which has 14 of the 28 votes.

MOST VIEWED

  • ‘Education’ a priority traffic-law penalty

    A top National Police official on June 21 neither rejected nor confirmed the authenticity of a leaked audio message, which has gone viral on social media, on a waiver of fines for a number of road traffic-related offences. General Him Yan, deputy National Police chief in

  • Volunteer scheme to foster ‘virtuous’ humanitarian spirit

    A senior education official said volunteer work contributes to solidarity and promotes a virtuous humanitarian spirit among the youth and communities. Serei Chumneas, undersecretary of state at the Ministry of Education, Youth and Sport, made the comment during the opening of a training programme called “

  • Chinese firms unveil preliminary results on metro, monorail for capital

    Minister of Public Works and Transport Sun Chanthol and representatives from China Road and Bridge Corp (CRBC) and its parent company, the state-owned China Communications Construction Co Ltd (CCCC), met on June 24 for talks on results of the firms’ preliminary study on a potential metro

  • ACLEDA, WU to enable global money transfers

    Cambodia's largest commercial bank by total assets ACLEDA Bank Plc and global money transfer firm Western Union (WU) have partnered to offer customers cross-border money transfers to 200 countries via “ACLEDA mobile” app. In Channy, president and group managing director of ACLEDA, said the June 22 agreement

  • Aeon, Micromax partner again for third mall

    AEON Mall (Cambodia) Co Ltd and a locally-owned Micromax Co Ltd have entered into a partnership agreement to develop fibre optic infrastructure for $200 million Aeon Mall 3, which is expected to be opened in 2023. The agreement was signed on June 20 between Masayuki Tsuboya, managing director of

  • Walmart plans to diversify stock of Cambodia goods

    Walmart Inc, the world’s biggest retailer, on June 22 reiterated recent plans to scale up and greatly diversify its purchases of Cambodian products, according to the labour ministry. This came during a virtual working meeting between Minister of Labour and Vocational Training Ith Samheng and