The threat of legalisation of job insecurity makes trade unions react

The threat of legalisation of job insecurity makes trade unions react

Cambodia Ka-set
By Duong Sokha
03-03-2009



Several important union confederations mentioned yet again their categorical opposition to a project presented by the Cambodian Ministry of Labour about the amendment, soon, of Articles 67 and 73 of the Labour Law regarding employment contracts. This reform was originally requested by employers in garment manufacturing factories who wish to reduce, in these times of global economic crisis, the cost of workforce by advocating, like in the rest of the region, a wider flexibility of the labour market.


Fears of serious infringement of trade union freedom
Leaders of the Cambodian labour Confederation (CLC), of the Confederation of Khmer Unions (CKU) and the International Trade Union Confederation (ITUC-Asia Pacific) reminded at a press conference held in Phnom Penh on March 2 that those amendments, which communicated to them in December 2008 by the Ministry of Labour, notably stipulate that fixed duration employment contracts (FDC) can be renewed indefinitely.


For Noriyuki Suzuki, secretary-general at the ITUC, which is said to gather 19 million members coming from 49 trade unions in 24 different countries in the Asia-Pacific region, this measure means no less than a restriction of the freedom of trade unions, since unionists will not dare speaking up for fear of being punished with a termination of their contract renewal. “It would be negating the established interpretation [...] that employees who have worked for an employer for two years must be treated as permanent employees” and would weaken job security, the Japanese unionist said, giving the example of his own country: there, in order to face economic recession, the government had resorted to similar measures, which had resulted in 13,000 job losses among workers.


For his part, Ath Thun, who leads the CLC, predicts that if MPs adopt such amendments, workers will not dare assert their rights any more for fear of seeing their contract terminated by their employer. And trade unionists will be the first ones to be targeted by those short-term contracts. Discrimination might also affect pregnant women, according to him. “When they come back from a three-month maternity leave, they might not be able to have their job back. In other words, employers would be fully free to terminate contracts whenever they like,” he warned.

Going backwards
As explained by the Cambodian NGO CLEC (Community Legal Education Centre), this would mean destroying social guarantees. Indeed, CLEC reminds that the Arbitration Council, created and supported by the International Labour Organisation, had interpreted Labour Law in the following way in several decisions it rendered: Any fixed duration employment contract (FDC) will legally become an undetermined duration employment contract (UDC) when the total length of the renewals exceeds two years.


Chuom Momthol, president of the CKU, a trade union considered to be close to the government, aligned itself with the position adopted by its peers, and proves as concerned and critical about the reform, “neither urgent nor compulsory” but just good enough, according to him, to be enforced in communist countries like China, Vietnam, Laos or Myanmar. “Protest is so strong among big international unions and among financial backers that I think the government will have to backpedal”, he says, while warning that if the government keeps turning a deaf ear to their calls, workers will launch an important strike – their only available weapon.

Trade Unions calling to government
Noriyuki Suzuki echoed the dissatisfaction of trade unionists in front of representatives of the Ministry of Labour on Monday March 2nd. Unionists promised they would bring their call all the way up to the government, until new negotiations are started again between the authorities, trade unions and employers.


Mid-February, Neil Kearney, general secretary at the International Textile, Garment & Leather Workers' Federation (ITGLWF), which brings together some 10 million members in 110 countries, wrote to prime Minister Hun Sen to ask him to “desist from its efforts to extend the use of temporary contracts and instead take measures to ensure security of employment”. He added that from what he knew, several major garment manufacturers had already “switched from permanent to temporary contracts”. This trend, if it is to be confirmed, “would make Cambodia less competitive from the point of view of corporate social responsibility,” the unionist warned.