ILO held a workshop to raise awareness on the implementation of the “Global Accelerator Initiative for Just Transition in the Construction Industry in Cambodia” on Wednesday, April 23, at the Himawari Hotel, Phnom Penh. According to the ILO, more than 90 per cent of construction workers are working in the informal sector.
The workshop was organised in collaboration with the Ministry of Land Management, Urban Planning and Construction, and ILO-Korea Partnership Program. Deputy Prime Minister Say Sam Al, Minister of Land Management chaired the opening of the workshop.
Tun Sophorn, national coordinator of the ILO in Cambodia, explained that the purpose of the workshop was to raise awareness among all stakeholders from the government, including the construction ministry and the Ministry of Labor and Vocational Training, as well as representatives of enterprises and construction workers, of the concept of transition or “just transition” in a fair, climate change context.
In particular, they want to promote a change towards green, environmentally friendly and dignified construction work in Cambodia.
He said a recent estimate suggests that climate change could push about 130 million people worldwide into poverty in the next five years. This is not only an environmental problem, but also an urgent social and economic problem. Rising sea levels, as well as hot and cold weather, and resources shortages have fuelled population displacement, such as migration. This has led to many inequalities around the world.
Cambodia, particularly in the construction sector, which provides a lot of jobs and contributes greatly to the growth of the economy, is suffering from the effects of climate change. These include overheating and disruption of supply chains, as well as increased safety risks for workers at construction sites.
He said that an estimated 70,000 construction workers in Cambodia are facing serious health risks, as well as uncertainty in their occupations, which is especially alarming up to 90 per cent of them are working informally.
He explained that informal work means that they are not included in the official statistics, do not receive legal protection in accordance with the labour law or benefits from the social security system, especially the National Social Security Fund, which insures job accidents. Enrolment in this system relies on them being registered through their employer, and on regular contributions being made. In other words, they mostly earn a daily wage without any formal contract or protection.
“The construction sector is an important one, it has supported the growth of our economy for the last 20 years and created many jobs for the people,” he said, while acknowledging the need for workers to be protected.
A just transition refers to a framework aimed at ensuring that the transition to a sustainable, fair and inclusive economy takes into account the social and economic needs of all stakeholders, especially vulnerable communities.
Shin Hochul, Chief Technical Advisor of the ILO-Korea Partnership Program, explained that the programme mainly focused on skills, social protection and occupational safety and health. Building on this foundation, it has reoriented its support since last year to align more closely with the ILO's current key global priorities. Among them, one of the most critical is the just transition agenda. In line with this, it is pleased to hold this workshop here in Cambodia, one of the global accelerator pacifying countries.
“The Asia-Pacific region is one of the most digestible and vulnerable regions in the world. And this vulnerability is growing day by day due to climate change,” he explained.
“Climate change poses a serious threat to employment, economic development and environmental sustainability in the Asia-Pacific region. As a result, many workers who have lost their jobs are being pushed into the informal economy, leading to lower wages, limited social protection and poorer working conditions,” he added.
To address these issues, he explained that the Global Accelerator Initiative was launched in September 2021 by the UN Secretary-General with the aim of fast-tracking much-needed global actions to promote a job-rich recovery as well as just transitions to more sustainable and inclusive economies.
The initiative is based on collaborative efforts to accelerate the achievement of the sustainable development goals and to drive unnecessary investments for promoting decent work and expanding social protection globally. Environmental vulnerability due to climate change is further exacerbating poverty and inequality.
“Therefore, to help workers adapt to these changes, it's crucial to support the transition to low-carbon production systems and to strengthen labour market policies, social protection, occupational safety and health, and skilled training,” he added.
The construction industry in Cambodia plays a key role in economic growth with an investment of $50 billion and contributes 58 per cent of the Kingdom’s GDP. The construction sector represents 10 per cent of the workforce, of which 82 per cent are between 15 and 44 years old. However, only about 3 per cent of construction workers have social protection.
Land management minister Sam Al said on this occasion that before talking about rights, it is necessary to create a conflict-free environment in Cambodia. It is true that transitional justice is not an option, but to provide justice and a decent living for Cambodian construction workers.
“While discussing workers' rights and protesting are important, we must also consider strategic approaches to support them effectively. Establishing a fund to assist workers and exploring innovative solutions to uphold their rights and address climate change are crucial steps. Additionally, raising awareness among workers is essential," he stated.
Sophorn observed that there are still many opportunities for the sector, especially through the implementation of a “green” construction industry. He noted that this will save energy, as well as boost climate-resilient infrastructure. He believed this would open up new markets, as well as creating sustainable jobs.
He noted that to achieve this potential will require investment in skills development, as well as equipping workers with sufficient capacity to embrace new technologies. In addition, stronger occupational health and safety rules should be implemented, with social protection coverage for workers in the construction sector strengthened.
“Transitioning to a greener way in the construction sector is a promise to create jobs, especially to revitalise the economy. Therefore, it is necessary to recognise a plan to address all these challenges. This means that stakeholders need to implement a policy that focuses on programmes to facilitate change solutions. In particular, they need to address the impact on workers and enterprises,” he added.
He noted that the ILO would push for the adoption of the so-called Just Transition approach, which is not an option, but a necessity, and that this fair transition is to ensure climate action.
“This means that we create decent jobs, reduce inequality and ensure that affected workers, as well as affected communities and enterprises, receive the support they need through training, matching skills and jobs. As well as income protection to ensure that we have a successful change,” he added.
Undersecretary of state at the Ministry of Labour and Vocational Training Him Sothearoth said that the just transition should include all workers, and will enhance respect for labour rights, the expansion of social protection and the creation of decent jobs.
She said that this equitable transition is in line with economic resilience, decent work and the environment, part of the government’s guarantee that no one is left behind as the Kingdom aims for fair, green growth.
Sophorn also explained that the ILO is working with the National Social Security Fund to help strengthen and expand the protection of social protection to workers. This includes working with employers to make them aware that it is their duty to provide consistent social security protection to their workers.