Better Factories Cambodia

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Country
Project Duration
December 2012
-
December 2025
Funding and Year
FY
2010
: USD
660,000
FY
2012
: USD
1,000,000
FY
2014
: USD
700,000
FY
2016
: USD
350,000
FY
2017
: USD
370,000
FY
2018
: USD
400,000
FY
2019
: USD
520,000
FY
2020
: USD
360,000
FY
2023
: USD
400,548

Better Factories Cambodia is part of the Better Work Program, a comprehensive effort that brings together all levels of the apparel industry to improve working conditions and respect of labor rights for workers, while boosting the competitiveness of apparel businesses. As a result of their participation with Better Work, export apparel factories in Cambodia have improved compliance with labor law including issues of compensation, contracts, occupational safety and health and working time. By enhancing working conditions, Better Factories Cambodia increases the factories’ productivity and profitability.

The Problem

The garment, textile, and footwear sector remains at the heart of the Cambodian economy, generating 74% of export earnings and formally employing more than 650,000 Cambodians, the majority of them women. It is estimated that each garment worker supports another three to four family members. This means approximately two million Cambodians depend on the garment sector for their livelihoods.

Since its establishment in 2001, it has been mandatory by national law that all garment and footwear factories are assessed by BFC. Better Factories Cambodia (BFC) has taken the lead in ensuring integration of gender dimensions in its previous and current program strategy. 

Our Strategy

Better Factories Cambodia combines labor monitoring and training to apparel factories. By monitoring export apparel factories' compliance with international labor standards, the program informs major brands and buyers of labor conditions in each factory. Brands want to work with factories that will protect their reputation, so the program becomes a “race to the top” for increasing conditions, productivity and provide good jobs.  The program also educates workers and managers on labor rights and responsibilities, and provides a space for factory level dialogue between management and workers. Particularly in its gender strategy, the objective is to increase gender equality and empowerment of women and girls through systematic mainstreaming of gender throughout BFC’s core services and other initiatives. In parallel, BFC will continue working with unions to build capacity of female union representatives to support their voice and representation.

Results

BFC currently assesses working conditions in 597 garment factories employing approximately 585,764 (81% female), and 16 footwear factories employing around 43,000 workers (87% female), 17 travel goods factories employing approximately 21,500 workers, as well as one sport gloves factory employing 640 workers.

View the Cluster evaluation conducted by ILO.

Grantee:
International Labor Organization (ILO)
Implementing Partners:
International Finance Corporation (IFC)
Contact Information:
(202) 693-4900 / Office of Trade and Labor Affairs (OTLA)
Tags:
Trade
Factory
Private Sector Engagement