Long Heng: Cambodia’s garment sector signs optimistic recovery

Cambodia’s garment sector signs optimistic recovery

Cambodia ’s garment sector has showed signs of recovery so far this year with increasing number of garment factories and number of workers after the global economic crisis affected to this industry last year, officials told the Southeast Asia weekly on July 1.
Bun Ying, a communication officer of ILO in Phnom Penh office said that so far this year we have data of 267 factories which are running business in country. “We have signed recovery of garment sector according to our report which issued on late this month,” he said, adding that The International Labor Organization’s (ILO) Better Factories Cambodia released 24th Synthesis Report on Working Conditions in Cambodia ’s Garment Sector, which assesses compliance with Cambodian labor law and international labor standards in exporting garment factories.
“In April 2010, number of worker in garment increased to more than 280,443 workers. And in November 2009, there were 243 active exporting factories with 278,398 workers in country,” he added.

He continued that the 24th Synthesis Report is the first report to show an increase in employment levels when compared with the preceding report since the 21st Synthesis Report of 31 October 2008. The level of employment increased slightly since November 1, 2009, despite additional factory closures. Although employment is still down from one year ago, job losses resulting from the crisis have leveled off, as reflected by the smaller percentage drop during the past year (6%) than that seen during the year before (12.5%).

He noted the garment sector is showing signs of recovery from the economic crisis; employment levels are up slightly when compared with the previous report. And more than 2/3 of workers currently are working in factories with 1000 or more employees, despite a 9% drop in the percentage of factories with 1000 - 2000 workers over the past year. 79% of the factories monitored have at least one union, up 3% from the 23rd Synthesis Report.
He said however, most workers still report that they do not have enough to spend on basic needs including food, housing and health care.
H.E.Om Mean, secretary of state of ministry of labor and vocational training said that the government has always cared with attention of workers across and not only in country but also at foreign countries we always cared situation of workers. Garment is a good sector for contributing economic growth,” he said, adding that the recovery is demanding for purchasing order and number of worker also increased.

Ministry of Commerce data also points toward the recovery in the garment sector, with export levels for the first five months of 2010 exceeding those for the same months last year. The figures from the Ministry of Commerce showed the country exported garment products worth US $1.062 billion during January to May 2010, with reporting around 11 percent increase against $953 million export during the same period in the year 2009. Cambodia earned about $2.658 billion through apparel exports in 2009, while $3.158 billion in 2008, according to the Ministry of Commerce.
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