Blog 2

Cambodia and the US signed a trade agreement in 2006. Since then, garment factories have been Cambodia’s primary export. The low wages and poor treatment of workers have lead to International companies including H&M and Gap Inc. to condemn Cambodia. Apparel workers in Cambodia have been striking more and more frequently in 2013 and 2014.  The article states that “global trade has lead to worsening conditions in Cambodia.” The author argues that western companies have done little beyond condemn Cambodia to improve the situation. The industry pays employees below subsistence levels. Those on strike are asking for $160 a month to cover their rent, however, the factories are set on $100 a month. Factories argue that they can not pay workers more unless the retailers pay more for the work, placing the blame on large US and European brands. Cambodian factories fear that if they raise their prices, brands will take their jobs to cheaper places like Myanmar, who just recently opened up to free trade.

This article ties in to the former article on the Bangladesh factory fires. It looks deeper at the problems in garment factories beyond safety. The problem stems from large brands demanding low priced labor, which is so they can in turn sell their products at prices western consumers are willing to pay. Everyone wants the best products for the lowest price. Fast fashion stores like H&M couldn’t stay in business if they raised their prices to accommodate workers wages in Cambodia. Free trade may have opened the world to better, cheaper products, but the consequences on workers in developing nations are troubling.

http://america.aljazeera.com/opinions/2014/1/for-labor-no-holidayincambodia.html