Cambodia's 2027 minimum wage for the garment, textile, footwear, travel-goods and bag-making sectors has been officially set at US$212 per month, with the new standard taking effect on 1 January 2027. Compared with US$210 in 2026, next year's base wage will rise by US$2.
The adjustment followed multiple rounds of tripartite negotiations among the government, worker representatives and employer representatives. During the talks, the parties discussed issues including workers' cost of living, the operating pressures on enterprises, job stability and sector competitiveness.
In earlier rounds of the talks, worker representatives put forward a main proposal of US$225 per month, with some representatives seeking an even higher standard; on the employers' side, they hoped to keep the current minimum wage at US$210 while retaining the related allowance arrangements. The two sides ultimately did not fully reach agreement.
On 30 September, the Cambodian government announced its final decision, setting the 2027 minimum wage at US$212 on the basis of the consultations. This figure is higher than the US$210 proposed by the employers but below the US$225 plan previously put forward by worker representatives.
It should be noted that US$212 is the basic minimum wage and does not mean that an eligible worker's total monthly income will be only US$212. Under the current system, workers may also receive allowances and benefits related to attendance, transport, housing and length of service, among others.
The garment, footwear and travel-goods sectors are important export industries in Cambodia and also provide a large number of jobs. This minimum wage adjustment will affect workers' income, employers' labour costs and the international competitiveness of Cambodia's manufacturing sector at the same time.
