Cambodia Raises Minimum Wage for 2026

The Cambodian government announced on September 17, 2025, that the monthly minimum wage for workers in the garment, footwear, and travel goods industries will increase from $208 to $210, effective January 1, 2026.

Key Salary Breakdown

In addition to the base wage, workers are eligible for several monthly benefits:

  • Attendance Bonus: $10
  • Housing/Transportation Allowance: $7
  • Seniority Bonus: $2 – $11
  • Maximum Potential Monthly Income: Up to $238

Background and Industry Impact

  • The Decision: Prime Minister Hun Manet approved the increase after negotiations between the government, labor unions, and employers. While employers suggested keeping the wage at $208, unions successfully pushed for a slight increase.
  • Industry Scale: There are over 1,500 factories in these sectors employing approximately 900,000 workers.
  • Economic Importance: These industries are Cambodia’s largest source of foreign exchange. In the first half of 2025, exports reached $7.62 billion, representing a 22% year-on-year growth.

***Photo Reference: https://www.just-style.com/news/cambodia-to-invest-us18m-in-apparel-manufacturing-projects/***