Workers Decry Labor Ministry’s Move to Postpone Indemnity Payments

The Cambodian Ministry of Labor on Tuesday said it was postponing the biannual indemnity payments to workers in the garment and footwear sector, in order to provide some relief to employers and factory owners affected by the COVID-19 pandemic.

Workers and unionists were quick to reject this move and said they were already facing a loss of salary on account of a large number of factories suspending production and that they needed these indemnity payments to try and sustain their households.

The Labor Ministry statement released on Tuesday announced that all seniority indemnity payments would be pushed back to 2021 to help business owners, who have complained that international brands have reduced their orders or were not accepting completed orders.

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