Section 7. Worker Rights
e. Acceptable Conditions of Work
The minimum wage covered only the garment and footwear sector. It was more than the official estimate for the poverty income level.
The law provides for a standard legal workweek of 48 hours, not to exceed eight hours per day. The law establishes a rate of 130 percent of daytime wages for nightshift work and 150 percent for overtime, which increases to 200 percent if overtime occurs at night, on Sunday, or on a holiday. Employees may work a maximum two hours of overtime per day. The law prohibits excessive overtime, states that all overtime must be voluntary, and provides for paid annual holidays. Workers in marine and air transportation are not entitled to social security and pension benefits and are exempt from limitations on work hours prescribed by law.
Workers reported overtime was often excessive and sometimes mandatory; many complained that employers forced them to work 12-hour days, although the legal limit is 10, including overtime. Workers often faced dismissal, fines, or loss of premium pay if they refused to work overtime.
The Ministry of Labor and Vocational Training is responsible for enforcing labor laws, but the government did not do so effectively. Penalties were seldom assessed and were insufficient to address problems. Penalties for violating laws on minimum wage (six days to one month’s imprisonment) and overtime (a fine of 31 to 60 times the prevailing daily base wage) were not commensurate with those for similar crimes, such as fraud (six months to three years’ imprisonment). Outside the export garment industry, the government rarely enforced working-hour regulations. The government enforced standards selectively due to poorly trained staff, lack of necessary equipment, and corruption. Ministry officials admitted their inability to carry out thorough inspections of working hours and stated they relied upon the BFC to do such inspections in export-oriented garment factories.
Because most construction companies and brick factories operated informally and without registration, workers in those sectors had few benefits. They are not entitled to a minimum wage, lack insurance, and work weekends and holidays with few days off. The majority of brick-factory workers did not have access to the free medical care provided by the National Social Security Fund (NSSF), because those factories were not registered as fund members.
By law workplace health and safety standards must be adequate to provide for workers’ well-being. Labor inspectors assess fines according to a complex formula based on the severity and duration of the infraction as well as the number of workers affected. Labor Ministry inspectors are empowered to assess these fines on the spot, without the cooperation of police, but no specific provisions protect workers who complain about unsafe or unhealthy conditions. The number of inspectors was insufficient to enforce the law effectively. Government inspection of construction worksites was insufficient. Penalties for violating occupational safety and health laws (typically a fine of 30 to 120 times the prevailing daily base wage) were not commensurate with those for similar crimes, such as fraud (six months to three years’ imprisonment.)
Mass fainting remained a problem. The NSSF noted that 239 workers in three factories reportedly fainted during the first six months of the year, down from 417 workers during the same period in 2019. Observers reported excessive overtime, poor health, insufficient sleep, poor ventilation, lack of nutrition, pesticides in nearby rice paddies, and toxic fumes from production processes all continued to contribute to mass fainting.
Compliance with safety and health standards continued to be a challenge in the garment export sector due largely to improper company policies, procedures, and poorly defined supervisory roles and responsibilities.
Workers and labor organizations raised concerns that the use of short-term contracts (locally known as fixed-duration contracts) allowed firms, especially in the garment sector where productivity growth remained relatively flat, to avoid wage and legal requirements. Fixed-duration contracts also allowed employers greater freedom to dismiss union organizers and pregnant women simply by failing to renew their contracts. The law limits such contracts to a maximum of two years, but more recent directives allow employers to extend this period to up to four years. The Arbitration Council and the International Labor Organization disputed this interpretation of the law, noting that after 24 months, an employee should be offered a permanent “unlimited duration contract” (also see section 7.a.).
Work-related injuries and health problems were common. On January 4, a building still under construction collapsed in the coastal tourist town of Kep, killing 36 local workers and injuring 23 others. In July a crane collapse at a construction site in the border town of Poipet killed five persons.