Government floats new pay scheme
Minister of Labour Ith Sam Heng on February 15 fingered large end-of-contract severance payments as a prime reason owners flee when their factories go bankrupt, suggesting the introduction of a yearly bonus scheme and fortnightly salaries would “reduce the risk” of garment workers being left in the lurch. Sam Heng’s comments, made during the Ministry of Labour’s annual meeting, came a day after workers from the Chung Fai Knitwear factory blocked National Road 2 as they protested the lack of final salary and severance pay after their factory was suddenly shuttered. Some workers had been at the factory for more than 10 years and were entitled to up to $5,000 in severance pay, worker representatives have said.
