In Cambodia, factory workers are to stage a three-day strike this month to demand for a higher minimum wage. In a country with one of the lowest minimum wage in the world, an average garment worker earns 50 USD a month. Although the government has proposed a 5 USD raise, the Free Trade Union remains firm on the strike plan, unless the minimum wage is raised to 70 USD. In Vietnam, thousands of workers in a Taiwanese-owned shoe factory held a strike demanding better pay and benefits. Earlier this year, the Vietnamese government has already raised minimum wage for workers at foreign-owned company to 52.50 USD. Likewise, in Laos, the monthly minimum wage was raised last year from 35 USD to 42 USD.

John Ritchotte, of the International Labour Organisation, said that disputes like these are common in the region. “Even in those countries without independent unions, such as Vietnam and Laos, disputes occur, particularly during periods of high inflation. The number of disputes has grown substantially over the past five years,” he said.

Chinese pay disputes mirrored across region [Financial Times, 4 July 2010]
China Provinces Raise Minimum Wages to Curb Disputes [Bloomberg Businessweek, 1 July 2010]

EVN is at the center of criticism for discouraging foreign investment in new power plants through its monopoly over power distribution and government-regulated low energy prices.

Meanwhile, demand for electricity is growing at 15 per cent per year. In Thanh Hoa province, farmers staged protests in which they forced officials from the national power monopoly to sit outside in the 40-degree heat, while demanding compensation for companies.

While pressure is growing, the government’s reform plans as yet remain unclear.

Sources:

Matt Steinglass; Vietnam blackouts have the temperature rising [FT.com/beyondbrics]

Matt Steinglass; Vietnam power shortages fuel calls to break up monopoly [Financial Times (print only)]

Source:Vietnam to spend $11b on islands [Straits Times 5 May 2010]

The decision has been keenly watched by many, including foreign partners who have shown interest in participating (Japan, China, France, Russia, and to a lesser extent the US and South Korea) and by critics, who argue that Vietnam lacks workers qualified to operate the plants.

Many in Vietnam fear that energy shortages in the future- by 2050, nuclear power could meet 30% of the country’s demands. The $11 billion project will also provide jobs for Vietnamese citizens.

Source: AFP, “Vietnam approves first nuclear power plants,” November 26, 2009, http://www.channelnewsasia.com/stories/afp_asiapacific/view/1020576/1/.html

The agreement was made in the minutes signed by the involved parties at the wrapping up of the fifth conference on Vietnam-China economic corridor.

Under the minutes of the fifth conference, the Chinese Yunnan province and four localities of Vietnam reached a high consensus on drawing up a more effective and tighten cooperation mechanism in areas of trade and investment, transportation, tourism, education and training, culture, sports, health care, management of social order in the corridor, especially along the border areas, crime prevention, and human trafficking.

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Source: Xinhua, “Vietnam, China agree to further boost economic corridor”, November 21, 2009, http://www.chinadaily.com.cn/bizchina/2009-11/21/content_9017551.htm