Myanmar sets $2.80 daily minimum wage in bid to boost investment

Myanmar has set a minimum wage of 3,600 kyat ($2.80) for an eight-hour work day, a move likely to boost investment in the fast-growing country's garment industry.

The decision on a minimum wage, which follows two years of often acrimonious debate between garment factory owners and labor unions, was announced on Saturday.

Myanmar's government has targeted garments for rapid growth, and Saturday's statement may help spur this, as it gives clarity on the law and labor costs to global apparel brands buying clothes from Myanmar.

Companies that have pushed for creation of a minimum wage include giant Swedish retailer Hennes & Mauritz (HMb.ST), which works with 13 factories in Myanmar, and U.S. retailer Gap Inc (GPS.N), which buys from two.

Once a thriving industry, Myanmar's garment sector was hit hard by sanctions imposed by the United States, stripped of trade benefits and abandoned by brands who feared the reputational risk associated with the former junta.

Read more: http://www.reuters.com/article/2015/08/29/us-myanmar-economy-wages-idUSKCN0QY0A620150829

-- Reuters 2015-08-31

A step in the right direction, but given the massive increase in the number of garment factories being opened in Cambodia and Vietnam, I fear this will be too little too late.

A step in the right direction, but given the massive increase in the number of garment factories being opened in Cambodia and Vietnam, I fear this will be too little too late.

Don't fear too much Peter....clothes seem to be catching on.... I don't think demand will fall......

Pretty close to the Thai daily rate.......

Edited August 31, 201510 yr by ChrisY1

In the west 2.80 a day would be considered slavery or slave wages at best.

Asian governments proudly call it a 'boost for investment'. And guess who benefits!.

They can get away with anything over here.

$18 dollars for a T-shirt

How many can they make in an hour ?

Another country ripe for exploitation,businesses just move to were

the wages are the lowest.without regard for the workers.

regards worgeordie