The Government of Cambodia has fixed a new monthly minimum wage for the garment and footwear sectors at US $ 182 for 2019. This marks an increase of 7 percent from the current wage of US $ 170.
The declaration came after the Labour Advisory Committee (LAC) voted on a minimum wage of US $ 177 for the said year, which was then increased by additional US $ 5 by the Government itself.
Besides the monthly wages, workers will also receive other benefits including an extra US $ 10 every month for regular attendance and an extra US $ 7 for transportation and rent.
The new wage will take effect on January 1, 2019.
The Government believes that the wage increase will enhance the workers’ livelihood.
However, Van Sou Ieng, President of Garment Manufacturers Association of Cambodia (GMAC), said the new minimum wage could be a challenge for the country’s garment manufacturers to compete with other nations.
Notably, the garment and footwear industries employ 1,100 factories with over 740,000 workers.
