Private Sector's Perspectives at Symposium on Review of Trade Union Law Implementation

On 08 November 2016, Sok Xing & Hwang Managing Director, Mr. Sok Lor, represented the private sector employers in Cambodia to address the symposium on the review of the implementation of the recently adopted Trade Union Law. Organized by the American Center for International Labor Solidarity at Himawari Hotel in Phnom Penh, the symposium brought together a diverse body of stakeholders – including trade unions, civil society organizations, international brands, and representatives of foreign embassies in Cambodia – to discuss the issues, challenges, and progress connected with the implementation of the Trade Union Law.

In his opening remarks, Mr. Sok highlighted that, despite challenges at times, the state of industrial relations in Cambodia has seen remarkable progress over the years. Working conditions have advanced overall. In particular, the minimum wage in the garment and footwear industry, which employs approximately 700,000 people, has risen significantly, to US$153 per month effective at the beginning of January 2017. The amelioration has in turn brought about stabilization of the state of industrial relations and industrial peace in the country.

When commenting on the Trade Union Law and its implementation, Mr. Sok reminded the audience of the sphere of dissatisfaction of the private sector employers when the final text of the Law was enacted. The employers consistently held higher expectations in respect of the requirements for trade union formation and the punitive clauses for unfair labor practices as the industry had been struggling to cope with the presence of multiple trade unions within an enterprise and attendant industrial interruption and disruption. Yet, the private sector employers recognized and accepted that, following many years of negotiation, a compromise with the trade unions was required to bring to finality the final text of the Law. With the historical background, it shall be understood that any proposal by the trade unions to revise the Trade Union Law any time soon is likely to invite a similar move from the employers.

In his final remarks, the trade unions in the audience were urged to look beyond the Trade Union Law in order to augment greater prosperity for Cambodian people. The domestic industry, Mr. Sok noted, has not grown sufficiently to absorb the new labor market entrants, estimated between 300,000 but getting closer to 400,000 every year. As a consequence, Cambodians are migrating across the border to seek employment opportunities abroad, with the current number of Cambodian migrant workers overseas estimated more than one million. While their remittances are contributing to socio-economic development of Cambodia, many of them have been experiencing various forms of human rights violation. Mr. Sok called for joint efforts to contribute to developing skills and employment opportunities, and therefore reaping inclusive benefits for all Cambodian people. Trade unions, he said, should elevate the efforts on their part through sharing of labor market information with prospective labor market entrants and collaboration with government authorities on prevention of irregular cross-border labor migration.