A labor dispute spanning nearly a decade has concluded as three Cambodian garment workers reached an out-of-court settlement with their former employer. So Chanthea, Keut Sokny, and Tep Sreynoeun, who were terminated in 2017 after establishing a union at the CIK Cambodia factory in Phnom Penh, have agreed to drop their lawsuit in exchange for reinstatement and compensation.
The workers formed the union to challenge factory policies, specifically the dismissal of pregnant employees. While CIK Cambodia cited a reduction in orders as the reason for the layoffs, labor advocates contested this explanation. Despite previous rulings from the Arbitration Council and the Phnom Penh Municipal Court that mandated the workers' reinstatement and back pay, the case remained stalled for years following a failed appeal by the company and a subsequent $100,000 counterclaim filed against the workers.
Under the terms of the new agreement, the company's counterclaim has been withdrawn. The factory, which has since transitioned operations to Mix & Match Garments Co., will welcome the workers back on August 17. Reflecting on the resolution, Tep Sreynoeun expressed relief at the end of the long process, stating, “We decided to end the dispute throughout the mutual agreement and I hope there is no pressure or discrimination of the union again.”
The case gained international attention earlier this year when South Korean President Lee Jae-myung urged government intervention, noting that the unresolved conflict negatively impacted South Korea's reputation. Khun Tharo, a program manager at the labor group Central, which represented the workers, noted that the case underscores systemic weaknesses in Cambodia’s labor dispute resolution mechanisms.
Source: CamboJA News
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