"Workers Decry Labor Ministry’s Move to Postpone Indemnity Payments", 03 June 2020

The Cambodian Ministry of Labor … said it was postponing the biannual indemnity payments to workers in the garment and footwear sector, in order to provide some relief to employers and factory owners affected by the COVID-19 pandemic.

Workers and unionists were quick to reject this move and said they were already facing a loss of salary on account of a large number of factories suspending production and that they needed these indemnity payments to try and sustain their households.

The Labor Ministry statement … announced that all seniority indemnity payments would be pushed back to 2021 to help business owners, who have complained that international brands have reduced their orders or were not accepting completed orders…

Ken Loo, secretary-general of the Garment Manufacturers Association in Cambodia, said he did not know if employers had made the request, but that it followed Prime Minister Hun Sen’s announcement to delay indemnity payments…

Douk Sovann, a unionist for the Cambodian Alliance of Trade Union at Yi Da Manufacturer in Kandal, said workers did not have enough money to cover expenses, and indemnity payments would help alleviate some of these concerns. She said workers get between $60 to $200 through these payments…

Khun Tharo, a program coordinator at labor rights group Central, said the Ministry of Labor's announcement could benefit some employers, but would further hurt the workers, who without government support would result in a social instability and poverty…