Garment workers in many Southeast Asian countries demand wage increases

According to a report by the US “Wall Street Journal” on the 16th, in Asian garment production centers with the cheapest labor costs, workers are striving for higher wages, and some large foreign clothing brands say they are willing to help workers achieve salary increases. ​
According to reports, the scale of Cambodia’s garment industry is as high as 5.5 billion US dollars. Here, a number of European retailers, including H&M and Zara parent company Inditexsa, wrote to the Cambodian government in September, promising to pay more money to local factory owners so that they can increase workers’ wages. ​
​This is a new strategy for large retailers. They typically avoid getting involved in wage negotiations, saying discussions are a matter for governments, manufacturing companies and worker representatives. ​
Welsh, the Cambodia program director of the Solidarity Center, a non-governmental organization associated with the American labor union Federation of Labor and Industrial Organizations, said that this is unprecedented and these companies have finally admitted that they play a role in this. . ​
According to reports, in recent years, due to the sharp rise in wages in China, foreign retailers have moved their factories to countries such as Cambodia and Bangladesh. But a recent spate of factory accidents and violent clashes between local police and workers have increased pressure on global brands to take a more active role in fighting for safer working conditions and higher wages. ​
Last year, a building collapsed in Bangladesh, killing 1,100 workers. The incident sparked global concern about the country’s environment. Then, in January this year, Cambodian police opened fire on workers demanding a wage increase, resulting in at least four deaths and dozens of injuries. ​
In December last year, the Bangladesh government raised the minimum wage by 70% to $68 per month. But now Cambodian worker representatives are asking the government to raise the minimum monthly wage for domestic garment workers from US$100 to US$177 in 2015. ​
Garment workers in the country typically work six days a week, 60 hours a week, including overtime. But clothing manufacturers stress that they already pay significantly higher wages than other industries such as agriculture. According to data from the World Bank, Cambodia’s per capita GDP last year was US$1,000, ranking last in the world. ​
The debate has caused an uproar in Cambodia, a Southeast Asian country where about 600,000 people work in the garment industry. Cambodian Prime Minister Hun Sen warned last week that excessive wage increases would harm the industry, which accounts for about 80% of Cambodia’s total exports. ​
Cambodian authorities have banned large-scale public gatherings for most of this year. In May, a court in Phnom Penh sparked criticism by giving suspended prison sentences to 23 workers and activists who participated in demonstrations in January. A new round of salary negotiations was launched recently, but has yet to make progress. ​
European retailers sent a letter to Cambodian Deputy Prime Minister Ji Chun on September 18. A copy of the letter showed that the retailers promised to pay higher prices for clothing and urged the government to ensure that factories comply with minimum wage regulations. ​
Workers’ groups are now demanding similar commitments from U.S. retailers, Welsh said. Gap Inc., a major U.S. purchasing company, said it is in regular contact with authorities in Cambodia regarding the situation in that country. The company said in a statement that it urged the Cambodian government to quell labor unrest and wage issues. A spokesman for Levi Strauss & Co. said the company supports a quick announcement of a new minimum wage that meets workers’ demands.