As the number of factories and their labour force in the Kingdom increases, the work of the Arbitration Council is growing accordingly more important, says the government and several unionists.
Although every nation in the world, including Cambodia, is feeling the impact of global conflicts and an economic slowdown in the wake of the Covid-19 pandemic, the number of workers, factories and large enterprises in Cambodia has recently increased, said Prime Minister Hun Manet.
In a speech delivered to observe this year’s May 1 International Labour Day, Manet noted that in the first quarter of the year, The Council for the Development of Cambodia (CDC) has approved 106 projects, with a total capital of $2.2 billion, creating 107,000 new jobs.
Currently, there are 43,859 registered enterprises, a jump from 40,975. The number of workers has also increased, from 1,715,029 to 1,793,467.
At present, there are a total of 6,317 trade unions working to defend the interests of workers.
While delivering his April 28 address, Manet explained that although some factories had closed their doors, new ones had emerged. He called on those commentators who criticise unemployment statistics in Cambodia to observe this fact.
With an ever-increasing number of employees, the Arbitration Council has as important a role to play as ever, in order to resolve all disputes as promptly and fairly as possible.
The council is an independent institution with quasi-judicial authority. It was established in 2003 with the support of the labour ministry, the International Labour Organisation (ILO), employers and unions, and is empowered to assist parties in resolving collective labour disputes.
Minister of Labour and Vocational Training Heng Sour said that in the first quarter of this year, the arbitration council has resolved 84 per cent of the cases it received, compared to just 76 per cent in the same period last year, demonstrating the increased efficiency of the council.
He noted that the labour ministry has supported the council’s operations, both financially and through the provision of facilities.
Sour added that the ministry is working with relevant stakeholders to improve the institutional nature of the council, and explained that the government wants to see the council become a strong and sustainable entity which can adapt to the growing labour environment in Cambodia.
Manet said workplace dispute resolutions have become more efficient due to the maturity of the relevant actors involved, as well as the introduction of new reconciliation mechanisms for work disputes.
“The government will continue to support the operation of the Arbitration Council, which is a tripartite mechanism which receives wide support from all relevant parties. We want to make the council stronger, with clear sources of funding and transparency, so that it can carry out reconciliation work and resolve workplace disputes with more professionalism,” he added.
Officials at the council could not be reached for comment on April 30. An arbitrator who preferred not to be named told the Post that “The council, which has been in operation since 2003, has earned trust from all stakeholders, including employers and labour unions, thanks to its independence, professionalism, and free of charge services.”
“However, it has been facing some financial and operational challenges for the past few years due to a reduction of caseloads referred from the labour ministry and the latter’s approach to labour dispute resolution at factories and ministerial levels,” he added.
The same arbitrator expressed his delight to hear that the new leaders of the government still regard the council as an important institution, but stressed that the council’s independence and professionalism should not be compromised due to any external pressure.
The council is also involved in conducting training which aims to share dispute resolution mechanisms in the workplace, and is working to improve harmonisation between employers and employees.
Ath Thon, president of the Cambodian Labour Confederation (CLC), supported the work of the council, noting that it has settled many disputes which were unable to be resolved by the labour ministry.
“The council is very important because they solve all disputes according to legal provisions, along with clear evidence,” he said.
He urged the council to remain neutral, as its work has been accepted by the International Labour Organization, as well as large companies.
He believed that the council has now been mandated more tasks to complete, as the government has passed a law which requires the council to resolve individual disputes.