A Change of Guard

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Thursday 29 May 2014

Levi Strauss Cuts Orders From Cambodian Factories

Cambodian workers sitting in front of their rooms near a factory in Phnom Penh on Jan. 6.
 
Agence France-Presse/Getty Images















Clothing manufacturer Levi Strauss & Co. has reduced orders from Cambodian factories after a nationwide strike by garment workers to demand higher wages was quelled with a violent crackdown.
The denim maker, along with a handful of U.S. and European brands including Gap Inc. and Hennes & Mauritz, attended a meeting with government officials on Monday to discuss a new wage-setting mechanism.
” Levi Strauss & Co. supports the Cambodian government establishing a methodologically sound and inclusive process for determining the minimum wage to ensure stability in the industry,” Levi spokeswoman Amber McCasland said. This “should lead to the announcement of a new minimum wage as soon as possible.”
The company cut back its Cambodia sourcing to minimize supply-chain risk and ensure delivery, Ms. McCasland said.

1 comment:

Anonymous said...

CNRP's strategy has paid off. By causing disruption against the garment industry, CNRP can hurts CPP's tax revenue.

Next round, if CPP refuses CNRP's demand, CNRP can try to hurt CPP some more.

For CPP to counter CNRP's attack, CPP needs to let people know that they are losing jobs because of CNRP's disruption.

-Drgunzet-