A year of strikes and labor tensions may result in a rise in the national minimum wage.

The Confederation of Trade Unions of Myanmar (CTUM) has said that it will propose raising the minimum wage at this year’s meeting of the National Committee for Minimum Wage. After conducting a broad survey of the cost of living in Yangon and several states and regions, the CTUM, a labor activist group, will recommend raising the daily minimum wage from MMK 4800 to MMK 7200, CTUM member U Win Zaw told the Myanmar Times.

The proposed wage increase comes after a year of strikes and protests among garment factory workers, notably in the cities of Pathein, in Ayeyarwady Region, and Hlaingthaya, a suburb of Yangon. In addition to higher wages and better working conditions, strikers called for greater protections for employees and accountability for owners and managers.

Myanmar’s first daily minimum wage was set in 2015 at MMK 3600, and was increased to MMK 4800 in May, 2018. In both cases, the business community (led by members of the garment industry, Myanmar’s main manufacturing sector) has argued that raising daily wages would drive foreign investors away from Myanmar and force factories to cut overtime and benefits for workers. Critics also argue that raising wages will only drive up the price of Myanmar-made products, thereby increasing inflation.

In its survey, the CTUM has also taken into account the plummeting value of the kyat, which has greatly reduced the buying power of the current daily wage. When the minimum wage rose in May 2018, one dollar was worth around 1330 kyat. At the time of writing, the exchange rate is 1470 kyat to one dollar. Minimum wage supporters also point out that Myanmar’s is still one of the lowest in Southeast Asia. For example, Cambodia has a wage of USD 190 per month, roughly MMK 9000 per day.