ILO Launches New Initiative to Promote Just Transition in Cambodia’s Construction Industry

New project aims to enhance worker safety, environmental sustainability, and labour standards, supported by the ILO-Korea Partnership Programme.

The International Labour Organization (ILO) has launched a new initiative to promote a Just Transition in Cambodia’s construction industry, with a focus on addressing key sectoral challenges while promoting environmental sustainability and improving labour standards. The project, titled “Asia-Pacific Regional Case for Implementing the Global Accelerator through a Just Transition in the Construction Industry in Cambodia,” is supported by the ILO-Korea Partnership Programme (I-KORP).

Introduced to government representatives, employers, and workers during consultations in Phnom Penh from 31 October to 1 November 2024, the initiative seeks to address the construction industry's struggles, which include a decline in construction projects, high occupational hazards, limited social security, and dependence on low-skilled labour. Before the COVID-19 pandemic, Cambodia's construction sector accounted for 5.8% of the country's GDP, acting as a significant economic driver. However, ongoing challenges have slowed growth and hindered worker welfare.

The ILO initiative will target several critical areas to support the sector's transformation, including skilling and upskilling workers, improving awareness of social security schemes, advocating for the effective enforcement of labour laws, enhancing occupational safety and health standards, and promoting social dialogue.

During the consultations, Cambodia's Minister of Employment and Vocational Training, Heng Sour, emphasized the importance of social dialogue in addressing the construction industry's challenges. “Social dialogue is vital for effective tripartite decision-making, as it fosters collaboration among partners. The maturity and constructive inputs of social partners are essential to ensuring productive discussions and finding amicable solutions to labour challenges,” said Minister Heng Sour.

Steps for Addressing Sectoral Challenges

As an initial step, the project will conduct research to assess current challenges and develop actionable recommendations for improving working conditions while promoting sustainable practices in Cambodia’s construction industry. The project will include capacity-building workshops based on the ILO’s Just Transition guidelines, advocacy for stronger occupational safety and health legislation, piloting new sustainable practices with selected firms, and increasing outreach to construction workers and small contractors.

Hochul Shin, Chief Technical Adviser for I-KORP, stated, “This initiative aims to pave the way for a Just Transition in Cambodia’s construction industry, addressing the impact of climate change and focusing on worker safety, environmental sustainability, and energy efficiency within the sector.”

Collaborative Efforts to Transform the Industry

The project will be carried out in collaboration with key Cambodian stakeholders, including the Ministry of Labour and Vocational Training (MoLVT), the Ministry of Land Management, Urban Planning, and Construction (MLMUPC), the Cambodian Federation of Employers and Business Associations (CAMFEBA), the Cambodia Construction Association (CCA), and national union confederations.

Running until December 2026, the project aims to create a comprehensive framework for promoting fair, environmentally friendly, and safe working conditions across the sector. In addition to its focus on the construction industry in Cambodia, the ILO initiative will also extend its efforts to the pulp and paper industry in Vietnam, demonstrating the ILO’s commitment to advancing Just Transitions across multiple industries in the Asia-Pacific region.

The ILO’s Just Transition initiative aligns with global efforts to foster sustainable economic recovery, reduce inequality, and promote social dialogue to safeguard workers’ rights and well-being in the face of climate change and evolving market demands.