Cambodian integrated resort NagaWorld in Phnom Penh has issued a statement saying it did not use Covid layoffs as an excuse to get rid of union workers.
It added that 73 percent of laid-off employees accepted mutual separation plans (MSPs) and compensation packages that exceeded the amount required by labor laws. It conceded that “360 out of a total 1,329 affected employees refused to accept the MSP.”
According to Asia Gaming Brief, the statement was in response to headline-grabbing protests outside NagaWorld, located in the capital city of Phnom Penh. More than 20 people have been arrested since mid-December, including union representative Chhim Sithar, whose apprehension by plainclothes officers has been described as “violent.”
The International Trade Union Confederation reported that 1,100 of 1,329 laid-off workers were union members. NagaWorld said the layoffs were solely due to the pandemic, which has had a decimating impact on business. NagaWorld said it was forced to implement cost-cutting measures including “the reduction of human costs, especially where there are significant excesses and staff force are idle.”
“The choice of the impacted staff is based on internal rules of the company based on business needs, past productivity, contribution and commitments and others, regardless of the unionized or non-unionized staff, locals and expatriates or front-line and management employees,” NagaWorld said. “Union membership was not used as a criterion as is alleged by the union.”
The company previously said it hoped to save up to US$2 million per month in run-rate operating costs when the workers were let go. The union says its members may not be fired let go without cause or due process.
Union member Ket Pronita told Al Jazeera she joined in the protests though she wasn’t fired. “I don’t want to leave without any justice for this, which is also for the next generation who want to work here,” she said. “If we do not take action now for new workers, they will end up like us here.”
Labor Ministry spokesperson Heng Sour said the government would continue to negotiate with the workers and casino.
