Nike and other brands deny raising the wage of Cambodian’s workers $40 per month

From |

Cambodia es one of the preferred locations to make clothes for occidental brands, because of its low wages.

This month, labor unions representing hundreds of thousands of garment workers proposed a hike in the industry-wide minimum wage from $140 a month to $179.60. They’ve been met with stiff opposition from the factory owners’ lobby, the Garment Manufacturers Association in Cambodia, which countered with its own monthly minimum wage offer of $144.20. Many Western brands, too, have declined to endorse the unions’ proposal.

In These Times reached out to six of the top U.S. and European brands with contracts in Cambodia—Walmart, Nike, Adidas, Levi Strauss & Co., H&M and Gap Inc.—asking for their position on the unions’ proposed minimum wage hike. None of them endorsed the proposal. Walmart and Nike did not respond; Adidas, Levi’s, H&M and Gap all highlighted their support of ongoing negotiations

The Asia Floor Wage Alliance, an international alliance of trade unions and labor rights advocates that focuses on the garment industry, has calculated Cambodia’s “living wage” to be $283 a month—far above what local unions are demanding.

Therefore, brands are denying a marginal raise in wages compared to what international organizations are demanding to reach the living wage.
See the original news here.