http://www.rfa.org/english/news/cambodi ... 72126.html

Building up to wage discussions scheduled to take place on Sept 26, there are on-going campaigns on the internet to support wage increases by putting pressure on the western product buyers. These seem to be producing a result among companies who, concerned for their image, are supporting wage demands :
http://about.hm.com/content/dam/hm/abou ... g-wage.pdf

I am quite sure that most people on this forum who are familar with Cambodian wages will consider that a $77 a month increase is way too much. However, you have to consider that living in and around PP is becoming expensive for everyone, and inflation for basic goods is also increasing.
Even the government study concludes that this demand for higher wages is founded.

A recent study conducted by a task force set up by a government ministry found that workers need a minimum livable wage of U.S. $157-U.S. $177 a month to cover their basic needs.

So, what to do? The real problem is the rising cost of living, particularly in the PP area, and as long as this continues, demands for higher wages will continue.

Anchor Moy wrote:

A recent study conducted by a task force set up by a government ministry found that workers need a minimum livable wage of U.S. $157-U.S. $177 a month to cover their basic needs.

I think that's less than even Bangladesh. I watched a documentary about the Bangladesh factory that collapsed killing over a thousand workers. One woman had to amputate her own arm. Doctors were refusing to go in, so they gave a volunteer anaesthetic and a tool for amputating someone's leg. The tool was blunt, but he borrowed an axe from a fireman! All because of the bosses greed. A garment factory owners said they could really improve the wages, if multi national companies would pay a measly 5 cents extra per garment.

Cost of living in Phnom Penh? Maybe the factory workers should live in Phnom Penh?

The issue - raise wages too much and factories move to the next cheapest country bringing the jobs with them. Keep wages low and people struggle and strike.

The solution - keep the low wages while building the country infrastructure up until it is self sustainable. Likelihood - 1%

Interesting to look at the power of the guilt factor, and at the fact that it must be applied correctly to have the required effect. Garment workers cannot directly guilt the factory owners into paying the a decent wage, because they don't feel guilty about exploiting workers.
Instead, garment workers make the western customers feel bad about buying "slave-labour" clothes, who put pressure on the companies who order the clothes, who then put pressure on the companies employing the garment workers to increase wages - seems to work better than direct negociations, in Cambodia anyway.

http://globalvoicesonline.org/2014/09/2 ... ving-wage/

http://www.change.org/p/h-m-support-cam ... es-177-now

It also means, (in theory at least), that companies cannot simply delocate to a cheaper country, since the demand for decent wages comes from the consumer, not from the workers of a particular country. If you don't want your jeans made by "slaves" in Cambodia, then you aren't likely to think that Chinese or African "slaves" are any better. Of course, this can only work as long as western customers feel the necessary guilt...

GMJS-CEO wrote:Cost of living in Phnom Penh? Maybe the factory workers should live in Phnom Penh?

GMJS, I didn't get what you mean here?