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GMAC alleges high damages following workers strike
22
Sep '10
Country's garment industry lost US$14 million last week on account of production breaks and delay in despatching consignments following worker's strike, Garment Manufacturers Association in Cambodia (GMAC) said, but added that, besides material loss the strikes may even bring disrepute to the sector which may have enduring effects.

According to Ken Loo, Secretary General of GMAC, industry encountered material losses on account of production breaks, extra cost incurred for air cargo to speed up the delivery, and above all, damage to property caused by protesting workers.

While citing US $14 million as a rough figure of the loss suffered by industry on account of the strike, he said that, it has also passed on a negative message to prospective buyers and investors.

He apprehended that the strike may have long lasting effects on the sector, as it may blemish reputation of the sector, leading to cancellation or discontinuation of orders by buyers.

Workers in order to hike the minimum wages to $93 per month, stayed away from work from September 13 to 16, Ken Loo said.

A minimum of 10 factories, seeking compensation for damage caused due to the strike, have filed legal cases against protesting workers, and are seeking court's intervention for reinstating the workers, with permission to suspend services of some of them who led the strike.

Fibre2fashion News Desk - India


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