237 Factories Suspend Operations

PHNOM PENH: As of May 21, a total of 237 factories have suspended operations, according to Heng Sour, secretary of state for the Ministry of Labor and Vocational Training. More than 110,000 workers around the country have been affected.

There were more than 20 factories that closed according to due process, while more than 30 were closed due to incorrect procedures, Heng Sour said. However, he added that about 100 factories had also re-opened their production lines after a temporary suspension.

Kaing Monika, deputy secretary-general of the Garment Manufacturers Association, said the reason for the closure and subsequent suspension was because major European and US major carriers delayed the payment of orders and no new orders have been issued due to the COVID-19 crisis.

Heng Sour confirmed that the Ministry of Labor would welcome and consider expanding the production of medical equipment, as it will help maintain employment for nearly 100,000 Cambodian workers.

“The support and encouragement from the government is a good idea that will contribute to maintaining some jobs for our workers and to help improve our exports,” he said.

The workers who were suspended, according to the Cambodian government have been offered $ 40 a month, while employers offered $ 30. He also claimed that so far, about 56,000 workers are on the government-subsidized list, which will be given to them this week through WING. NKD