The National Council for Minimum Wage has officially set the minimum monthly wage for 2025 at $208 for workers in the textile, garment, footwear, travel goods and bag manufacturing sectors.
This represents an increase of $4 from the 2024 minimum wage of $204, and includes a $2 increase which was added by the prime minister.
The figure was finalised on the afternoon of September 19, following protracted negotiations between representatives of employers and workers. During the talks, the worker’s representatives requested two different amounts: $206 and $214. Meanwhile, the employer’s representatives proposed $206; the same figure suggested by officials from the Ministry of Labour.
The adoption of the $206 figure was decided by a vote, in accordance with Article 12 of the Minimum Wage Law. The results showed that $206 received 46 out of 51 votes, making it the official wage figure for next year.
Following the vote, Heng Sour, Minister of Labour and Vocational Training, who chaired the tripartite meeting, announced: “Prime Minister Hun Manet has decided to add an extra $2 to the $206 wage. Therefore, beginning January 1, 2025, workers in the textile, garment, footwear, travel goods and bag manufacturing sectors will have a minimum wage of $208."
He also confirmed that other benefits for workers will remain unchanged, including a $7 monthly allowance for transportation and accommodation, a $10 monthly attendance bonus, a meal allowance of 2,000 riel per day, and a seniority bonus ranging from $2 to $11 per month for workers with 2 to 11 years of service.
The prime minister took to social media to explain that despite global economic challenges, the government remains dedicated to improving the living conditions, livelihoods and well-being of all citizens from every social class.
“This year's minimum wage increase, whether small or large, is intended to ease some of the difficulties faced by our workers and employees,” he said.
He noted that in 2024, many countries in the region did not raise their minimum wages due to ongoing economic difficulties. In fact, in some countries, minimum wages calculated in US dollars have not only stagnated but have even decreased compared to the end of 2023, due to fluctuations in exchange rates.
“Alongside this wage increase, I would like to inform workers, employees and the general public that I will continue to urge the relevant ministries, institutions and authorities to assess, monitor and implement additional measures aimed at reducing the financial burden on our workers and employees,” he added.
Sor Toeu, a garment factory worker in Phnom Penh's Por Sen Chey district, expressed some satisfaction with the wage increase, although she acknowledged it wasn't a significant raise. She also noted that the prices of goods in the market have increased, although her rental costs remain stable.
“Even though the increase is small, I'm happy because it’s an incremental raise. However, the prices of goods have also been going up, especially in the markets. So, we buy from street vendors or carts, which are cheaper,” she said.
She explained that she works from 7am to 11am, and then resumes work from 12-4 pm. Without overtime, she receives a 2,000 riel meal allowance per day. If she works overtime from 4-6pm, she receives a 4,200 riel meal allowance. However, if she works until 7:40pm, she receives a 6,000 riel meal allowance.
By working between 50 to 70 hours of overtime per month, she can earn a total salary of around $300 per month.