The Cambodian Prime Minister Hun Sen warned against a steep and sudden rise to the minimum wages in crucial garment sector. In a conference of the International Business Chamber of Cambodia, he said, “I would like people to know clearly that this minimum wage rise can make manufacturer less competitive because of higher costs, prompting investors’ to move to new locations, similar to what happened in China and Thailand. Hence Cambodia has to think about a feasible minimum wage.” There are tensed negotiations amid the Government, factories and labour unions over the new monthly minimum wage for the garment export industry that fetched over US $ 5 billion last year.
