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Garment Sector in Danger: Manufacturers

At least 100,000 factory workers have felt the pinch of the global economic crisis, with 60,000 losing their jobs, the Garment Manufacturers Association said Friday.

Orders are down, and Cambodia lacks competitiveness with its neighbors Bangladesh, China, Indonesia and Vietnam, Van Sou Ieng, head of the association, told reporters.

Manufacturers are facing pressure from unions to increase wages, as the crisis has cut the overtime hours many workers have come to rely on.

The garment sector is one of the chief engines of the Cambodian economy, but its main target is the US and European markets, which have been hard hit by the economic downturn.