Mr. Ith Sam Heng, Minister of Labour and Vocational Training, on Thursday, told Mr. Josh Bornstein, head of the delegation from the Australian Judicial Committee for Labour Dispute, that the Cambodian draft law on labor disputes and tribunal procedures will be finalized soon.
He added that the draft law is giving more rights and power to the Arbitration Council (AC) that plays a very significant role in resolving labor disputes effectively before sending the cases to labour court.
Minister Sam Heng also said that all comments and/or opinions contributing to the draft law will be taken in consideration before the passage of the law.
"However, the law won't satisfy everybody. But it won't be subjected to criticism as much as the previous laws do," added the minister.
In response, Mr. Bornstein said that his government will continue to cooperate with the Cambodian Ministry of Labour and Vocational Training and the AC in order to help the Kingdom of Cambodia improving its legal system.
Earlier this week, in a conference on labour disputes resolution system, Mr. William A. Heidt, U.S. Ambassador to Cambodia, said the draft law on labor disputes and tribunal procedures should be used as an instrument to find solution concerning labor dispute at all levels. The draft law should also set out clear roles for other institutions concerned including the ACF.
As for the ambassador, in Cambodia, the AC plays a very important role in settling labor disputes in garment industry which represents 10 percent of the Cambodian GDP. This institution will continue to play this crucial role in the country for many years to come as long as a high functioning labor court does not exist yet.
"The ACF’s role will be all the more important as the Government considers how to implement a system of labor courts in Cambodia. Realistically speaking, once the necessary laws are passed, it will take some time – probably years – to develop high functioning labor courts in Cambodia," said Mr. William A. Heidt.
Moreover, the ambassador added that the AC is also an important agency through which other international institutions, such as International Labor Organization, Better Factories, could involve directly in supporting Cambodian garment sector.
The ambassador also said that the participation of the international institutions in strengthening industrial labor dispute resolution proves that the RGC is openly and internationally committed to find better solution regarding labor dispute that affects also buyers of Cambodian products.
"In a labor intensive business like garments, it is critically important to build mechanisms that can resolve labor disputes without disrupting value chains. For more than a decade, the Arbitration Council Foundation has been such a mechanism, and has played a key role in building an environment of confidence for investors," added the ambassador.
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