Bags / Shoes & Accessories

According to a report from "Nikkei Asia" on the 7th, the Cambodian Garment Workers Union sent a letter to international clothing brands including Adidas, H&M, Nike, Puma, etc., calling on it to provide Cambodian garment workers with assistance for the new crown epidemic.

It is estimated that since the outbreak of the new crown epidemic, more than 700,000 garment workers in Cambodia have been owed wages and severance compensation as high as US$393 million.

Cambodian law stipulates that dismissed employees must be financially compensated, but under the impact of the epidemic, the Cambodian Ministry of Labor said last year that if factories have to close due to economic difficulties, they do not need to pay employee compensation or severance payments.

In response to the appeal of Cambodian workers, international brand merchants only said that they would try their best to keep orders and reduce the unemployment of factory workers. Puma said that the Cambodian trade unions did not mention Puma’s suppliers in the joint letter, but Puma will try to avoid canceling orders.

Although the demand in major markets such as the United States has picked up recently, the local garment industry and workers in Cambodia are still facing persistent difficulties.

In contrast to this, the revenue situation of international brands this year has been greatly improved.

In addition to Cambodia, the clothing industry suppliers in other countries in Asia are not having a good life. Take Vietnam as an example. Last year, the country surpassed Bangladesh to become the world's second-largest garment exporter after China. However, the recent rebound in Vietnam's new crown epidemic has caused 30% to 35% of Vietnamese garment and shoe factories to be forced to suspend production.

In addition, Myanmar's garment industry has been developing rapidly, but after the Myanmar military took over the government in February, the garment industry was severely impacted, and many garment manufacturers were forced to move out of Myanmar.