Asian Countries Share of Global Apparel Exports: Case Study- Report Writing Assignment

Internal Code: TV568

Report Writing Assignment:

Task: Introduction Globally, Asia tops apparel exports worldwide. In 2013, more than 60% of the US$460.27 billion in global apparel exports originated from 10 Asian countries.Concentration of garment production in Asia can be attributed to a range of factors. Low wages, government practices, trade practices, transaction time, currency appreciation and infrastructure availability all influence the location of global production network activities. Due to a range of factors – including poor capacity, limited resources, infrastructural needs and, in some cases, adverse disposition towards protective labour standards – national labour standards in producing countries remain weak. The following is an overview of working conditions of the garment industry in Cambodia. Cambodian Labour Legislation Article 36 of the 1993 Constitution of Cambodia provides for basic labour rights, including the right to freely choose employment, equal pay for equal work and the right to form and be members of trade unions. The Cambodian Labour Ministry is responsible for establishing policy standards and engaging in monitoring and compliance. The 1997 Cambodian Labour Law governs all garment factories, irrespective of their size. Provisions of the law regulate working conditions, protection against discrimination, wages, overtime work, minimum age, pregnancy entitlements, leave and occupational health and safety standards. The Labour Ministry has also issued model internal factory regulations. Despite these protective measures, enforcement is weak. A 2011 government regulation outlines a set of permissions and notifications for suppliers engaged in subcontracting. Factories with export licenses subcontracting to unregistered factories can face temporary suspension of their export licenses and repeat offenders may have their licenses revoked. In 2015, the government also announced revised minimum wages of US$140 per month. This is a marked increase from the minimum wage of US$66 per month set in November 2011. Questions: 1. Identify where the working conditions in the factories in Cambodia are in breach of the country’s legislation as well as International Labour Organisation (ILO) conventions. 2. Why do you think such a large and public organisation such as Walmart can continue to utilise the employment practices identified in this case study? 3. What strategies need to be considered and implemented to ensure that working conditions meet standard international and national conventions and legislation? In your answer, identify the organisations that should be involved, an action plan and time frame for implementation of strategies identified. Word count: 2,500 words Analyse the issues presented, derive an understanding of the causes of the problem/issue and develop strategies for resolution. Your discussion of the causes and strategies for resolution are to be supported by quality peer reviewed journals and government/agency/consultant publications. A minimum of six (6) references are to be used.