Summary:
Cambodia’s 2026 minimum wage is US$210/month for regular workers and US$208 for probationary workers (Ministry of Labour Prakas 214/25, issued 17 Sep 2025, effective 1 Jan 2026) — up US$2 from 2025. This statutory minimum applies only to the garment, textile, footwear and travel-goods (GFT) sector; other sectors set pay by the market.
For employers, the real labour cost is more than the headline US$210 — add attendance and transport allowances, seniority pay, overtime, NSSF contributions and seniority indemnity. This guide breaks down the 2026 rate, the historical trend, sector coverage, statutory allowances and total labour cost, and how the Manhattan SEZ (MSEZ) helps manage overall cost with infrastructure and QIP incentives.
What is Cambodia’s 2026 minimum wage? (US$210)
Cambodia’s 2026 GFT-sector minimum wage is US$210/month for regular workers and US$208 for probationary workers, effective 1 January 2026.
The Ministry of Labour and Vocational Training issued Prakas 214/25 on 17 September 2025, raising the minimum wage for the garment, textile, footwear and travel-goods (GFT) sector from US$208 (2025) to US$210 (2026); regular employees receive US$210 and probationary employees US$208. The figure is set through the tripartite National Council on Minimum Wage (labour, employers, government), a moderate and predictable annual adjustment of about 1% — and predictability itself is an advantage for employers planning mid-term budgets.
| Item | 2026 amount | Note |
| Regular minimum wage | US$210/month | Effective 1 Jan 2026 |
| Probationary minimum wage | US$208/month | US$210 after confirmation |
| Change vs 2025 | +US$2 (~+1%) | 2025 was US$208 |
| Legal basis | Prakas 214/25 | Issued 17 Sep 2025 |
Cambodia minimum wage history (2020–2026)
Cambodia’s minimum wage has risen in small, steady annual steps — no sudden spikes.
As the table shows, the GFT minimum wage rose from US$190 in 2020 to US$210 in 2026 — about +10.5% over six years, or ~1.7% a year. This “small steps” mechanism lets employers absorb increases within normal budgeting rather than face unpredictable cost shocks.
| Year | Minimum wage (US$/month) | Change |
| 2020 | 190 | |
| 2021 | 192 | +2 |
| 2022 | 194 | +2 |
| 2023 | 200 | +6 |
| 2024 | 204 | +4 |
| 2025 | 208 | +4 |
| 2026 | 210 | +2 |
Which sectors does the minimum wage apply to? (GFT only)
Cambodia’s statutory minimum wage currently binds only the GFT sector; other sectors have no nationwide statutory floor.
Garment, textile, footwear and travel goods (including bags) together employ around 900,000 workers — the backbone of Cambodia’s export manufacturing and the only sector bound by the statutory minimum wage. Other sectors — electronics, furniture, hardware, food processing, building materials, packaging and services — have no unified statutory minimum; pay is set by supply and demand, role and skill, though in practice many use the GFT minimum as a reference and add skill/location premiums. Non-GFT employers should therefore budget on the “role market rate,” not a single statutory figure, and add shifts, overtime and skill premiums. For the setup and hiring process, see setting up a business in Cambodia.
Statutory allowances: take-home well above US$210
Beyond base pay, GFT workers are entitled to several fixed allowances, so an employer’s fixed wage cost is higher than the minimum itself.
On top of the US$210 base, common fixed items set by law and collective agreement include a US$10/month attendance bonus, US$7/month transport and rent allowance, a US$0.50 meal subsidy per working day (or a free overtime meal), and a seniority bonus of US$2–11/month by tenure. For a regular, full-attendance worker with some seniority, fixed monthly pay commonly lands around US$227–238 — before overtime. Budget on “base + fixed allowances,” then layer variable overtime and social security on top.
| Item | Amount | Type |
| Base wage (regular) | US$210/month | Statutory minimum |
| Attendance bonus | US$10/month | On full attendance |
| Transport & rent allowance | US$7/month | Fixed |
| Meal subsidy | US$0.50/working day | Or free overtime meal |
| Seniority bonus | US$2–11/month | Rises with tenure |
| Fixed monthly pay (approx.) | ~US$227–238 | Before overtime |
Overtime, NSSF & seniority indemnity: the full labour cost
To get true unit labour cost, add overtime, NSSF employer contributions and seniority indemnity.
Overtime on a normal day is paid at 150% of the hourly rate; night work (about 22:00–06:00), weekly rest days and public holidays are paid at 200%; workers must have at least one paid rest day per week. For social security, employers contribute to the National Social Security Fund (NSSF) — occupational risk, health care and pension schemes — with rates and wage bases per the latest NSSF rules. On tenure, workers on undetermined-duration contracts (UDC) are entitled to seniority indemnity of about 15 days’ wage per year, paid roughly 7.5 days each in June and December. Including all of the above, unit labour cost is clearly higher than the US$210 headline; corporate tax and related burdens can be modelled alongside using the Cambodia tax guide.
| Cost item | Basis | Note |
| Weekday overtime | hourly × 150% | Beyond 8 hours/day |
| Night / holiday / rest-day OT | hourly × 200% | Night ~22:00–06:00, public holidays, weekly rest day |
| NSSF (employer) | occupational risk + health + pension | Rates per NSSF |
| Seniority indemnity (UDC) | ~15 days’ wage/year | Paid in June & December |
Regional comparison: Cambodia remains cost-competitive
On both minimum wage and total labour cost, Cambodia is below Vietnam, well below Thailand, and comparable to Laos and Myanmar.
Within the Southeast Asian manufacturing belt, Cambodia’s US$210 GFT minimum wage is below Vietnam and well below Thailand (graded by province, ~337–400 baht/day), and comparable to Laos and Myanmar. For labour-intensive export manufacturing, Cambodia pairs cost with a young, abundant workforce, USD settlement (limiting FX risk) and tariff preferences under EBA and RCEP. But a lower minimum wage is only the starting point — real competitiveness depends on whether training, yield and management efficiency turn a low wage into a low unit cost. See why invest in Cambodia for the broader case.
What it means for investors, and MSEZ’s cost-management value
With minimum wage rising only moderately, the focus should be on managing total operating cost through infrastructure and incentives.
A US$2 adjustment is no meaningful burden, and the predictable annual mechanism aids mid-term planning. At the Manhattan SEZ (MSEZ), companies cut hidden costs through one-stop administration and customs, stable power and water, wastewater treatment and efficient logistics; qualifying projects can apply for QIP, with 3-, 6- or 9-year income-tax holidays and import-duty relief on equipment, building materials and production inputs to offset moderate wage rises. In short, the minimum wage is a transparent, predictable input, and MSEZ is the platform that turns headline wages into controllable total cost. Companies should still run a project-level unit-labour-cost model on their own order, role, overtime and social-security assumptions.
Cambodia minimum wage FAQ
What is Cambodia’s 2026 minimum wage?
| In 2026 the GFT-sector (garment, textile, footwear, travel goods) minimum wage is US$210/month for regular workers and US$208 for probationary workers, effective 1 January 2026 under Ministry of Labour Prakas 214/25. |
Does the minimum wage apply to all sectors?
| No. The statutory minimum currently binds only the GFT sector; electronics, furniture, hardware, food, building materials, packaging and services have no nationwide statutory floor and set pay by the market, often using the GFT minimum as a reference. |
Beyond base pay, what fixed costs do employers bear?
| Common fixed items include a US$10/month attendance bonus, US$7/month transport and rent allowance, a US$0.50 per-working-day meal subsidy, and a US$2–11 seniority bonus; a regular full-attendance worker’s fixed monthly pay is commonly ~US$227–238 before overtime. |
How is overtime calculated?
| Weekday overtime is 150% of the hourly rate; night work, weekly rest days and public holidays are 200%; at least one paid weekly rest day is required. Employers also pay NSSF contributions and accrue seniority indemnity (~15 days’ wage/year) for UDC workers. |
How does Cambodia’s labour cost compare with Vietnam and Thailand?
| Cambodia’s US$210 minimum wage is below Vietnam and well below Thailand, and comparable to Laos and Myanmar. But real competitiveness depends on whether training, yield and management turn a low wage into a low unit cost — not the minimum wage alone. |
References and data sources
- Cambodia Ministry of Labour & Vocational Training | Prakas 214/25 (17 Sep 2025): 2026 GFT minimum wage set at US$210 (regular) / US$208 (probation), effective 1 Jan 2026.
https://english.news.cn/20250917/42ad1707900a462ba1628b89817ad288/c.html - DFDL | Cambodia: Increase in Minimum Wage for 2026 (GFT sector): 2026 rate and effective date.
https://www.dfdl.com/insights/legal-and-tax-updates/cambodia-increase-in-minimum-wage-for-2026-for-the-garments-textiles-footwear/ - ASEAN Briefing | Cambodia’s 2026 Minimum Wage: US$210 rate, fixed allowances (transport US$7, attendance US$10, meal US$0.50, seniority US$2–11), ~900,000 GFT workers, regional comparison and QIP offset.
https://www.aseanbriefing.com/news/cambodias-2026-minimum-wage-increase-what-foreign-investors-should-decide-now/ - PwC Worldwide Tax Summaries | Cambodia: corporate income tax standard rate 20%, NSSF employer contributions and other labour-related costs.
https://taxsummaries.pwc.com/cambodia/corporate/other-taxes - Council for the Development of Cambodia (CDC) | QIP incentives: 3/6/9-year income-tax holidays by activity, with import-duty exemption on qualifying equipment, materials and inputs.
https://cdc.gov.kh/incentives-and-schemes/
