Project BSIC Project Monitoring Final Report For BSIC Total H1 (January-June) - 2010

1. Project BSIC Project Monitoring Final Report For BSIC Total H1 (January-June) - 2010 Vietnam – Cambodia – Laos www.indochinaresearch.com

2. Background & Objectives • The Beer Selling Industry of Cambodia (BSIC) is comprised of prominent alcoholic beverage members of Cambodia Brewery Limited, Attwood, distributor of Heineken, Cambrew Limited, Dimarrs Cambodia (Guinness) and Interlocal Exim Pte Ltd. The main purpose of the BSIC is to constantly evaluate and seek improvements to the welfare or their beer promoters by setting an industry code of conduct for their beer promoters and external parties. • An in-depth research study was conducted in 2009 by CAS, which indicated significant improvements in the welfare of their promoters. However, there were some areas for improvements which the BSIC had acknowledged and acted on. As part of their constant surveillance, the BSIC wishes to evaluate the effectiveness of their implementation through quarterly research findings. Areas now being evaluated include: • Employment Status – addresses issue of remuneration • Organization of Work – to address any BP grievances • Uniforms – company branded standards • Transport – to minimize risk of harassment • Training and information – on a range of issues • Harassment – to ensure and promote a zero tolerance policy • Alcohol – to promote practice of not sitting and drinking with customers

3. Background & Objectives • Specific areas being monitored also include the following: • BP views on wearing BSIC logo • BP views on working conditions • BP reported having a written contract • Average salaries • Input on incentive systems • BP understanding of paid annual leave entitlement • BP understanding of maternity leave policies • BP awareness of company grievance procedures • Instance of making a complaint • Opinion of uniform and stash • Details on company transportation • Opinions of training offered • Incidence of sexual harassment • Frequency of sitting with customers and drinking customers • Incidence of customers trying to force them to drink alcohol

4. Research Approach & Methodology Methodology: Quantitative - Face to face interviews using a structure questionnaire Frequency: On-going monthly monitoring Monthly updates with quarterly reporting Respondent Profile: Female Beer Promoters (BP) Mix of different beer company BP Geographical Coverage Phnom Penh/Siem Reap and Sample Size: n=564BSIC BP (January – June) n=80 non-BSIC BP (March – June) FW to continue through December

5. Research Approach & Methodology • Some further notes of clarification on this study: • It was decided starting in March to also interview a sample of non-BSIC BP for comparison. A total of n=20 non-BSIC were interviewed each month from March – June. These included BP from a number of companies including Budweiser, Singha, San Miguel, Stella Artois, Asahi and Hollandia. • The minimum sample of n=75 BSIC was decreased by n=10 from March to accommodate for non-BSIC interviews and to keep the project under the agreed budget. • A minimum of n=54 interviews were conducted for each BSIC member – more interviews could not be obtained for RSE Cambodia – Guinness, owing to small number of BPs. • Some slight modifications were made to line of questioning over the past 6 months. These are noted on certain slides. In addition, certain questions were only asked of BSIC BP. • Where possible, comparisons are made to 2008 and 2009 reports. 2010 total results are indicated by H1 and are only for BSIC BP. However, on certain slides these comparisons are not available owing to the following reasons: • Data for 2008 and 2009 was either not available or incomplete, with some data shown only by company whereas some data is only shown for totals. • Some questions were not asked in 2009, and particularly in 2008 • Report is in Word format and was produced by another company. Hence, IRL does not have access to the data tables.

6. Executive Summary Demographic Profile

7. Employment Status

8. Employment Status First Time Working As Beer Promoter -Overall By Segment • Almost all respondents have indicated that this is the first time they have ever worked as a Beer Promoter, with incidence of such having increased over the past 2 years.

9. BP View On BSIC Logo

10. BP View On Wearing BSIC Logo Awareness of BSIC Logo- Overall By Segment • Awareness of the BSIC logo has improved dramatically – with almost all aware.

11. BP View On Wearing BSIC Logo BSIC Makes One More Respected In Workplace- Overall By Segment • Almost all BSIC BP said the logo made them feel more respected. • There is also the conception among just over ¾ of non-BSIC BP that the logo would make them feel more respected if they were to wear it and “know the benefits”. Applicable from April to June

12. Conditions Of Employment

13. Conditions Of Employment Possess Employment Contract – Overall By Segment 2009 90% 97% 97% 83% • The majority of BSIC BP had an employment contract, which was not the case for non-BSIC BPs.

14. Conditions Of Employment Possess a Contract Copy- Overall By Company 2009 96% 99% 94% 27% • There was a slight decrease in number of BP who said they possessed a copy of their contract. Big improvements for RSE Cambodia – Guinness. Applicable for BSIC Members

15. Conditions Of Employment Entitled To Weekly/Monthly Time Off - Overall By Segment 2009 100% 100% 100% 0% • There was a slight decrease in % of BSIC BP who said they are entitled to weekly/monthly time off, though this is biased by lower numbers for RSE Cambodia – Guinness. That said, they have seen improvements.

16. Conditions of Employment Perception Of Uniform/Sash- Overall By Segment Company Gives Uniform/Sash To Staff 2009 97% 94% 97% 98% • Almost all BSIC BP said the uniform/sash was dignified.

17. BP Awareness Of Company Grievance Procedures

18. BP Awareness of Company Procedures Presence of Grievance Procedures in Current Company - Overall By Segment Awareness of Direct Superior 2009 93% 70% 67% 77% • There has been a steady increase in number of BSIC BP who knew there were grievance procedures in their companies. Most noted improvements were for Cambrew, Attwood, distributor of Heineken and RSE Cambodia-Guinness. • The same can not be said of non-BSIC employers.

19. BP Awareness of Company Procedures Frequency of Serious Complaints Reported in Past 7 Months - Overall By Segment • Very few BP reported any complaints in the past 7 months. And when compared to 2008, there is a much lower level of making complaints. This likely corresponds to noted decreases in sexual harassment. Applicable for BSIC Members

20. Instance of Making A Complaint Complaints Registered by Superiors - Overall By Company N=40 Caution: Small Sample Size Incomplete/No data for 2008/2009 • Of those reporting a complaint, over half said the complaint was not registered by superiors. Applicable for BSIC Members

21. Instance of Making A Complaint Details of First Grievance Occasion (1)- By Overall N=40 Caution: Small Sample Size Details of Grievances Types of Outlets Applicable for BSIC Members

22. Instance of Making A Complaint Reasons for Not Reporting Grievances to Direct Superiors-Overall By Company Incomplete/No data for 2008/2009 • The reasons for not reporting complaints was very simple – because they didn’t have any. Applicable for BSIC Members

23. Instance of Making A Complaint Familiarity With Grievance Form- Overall By Company Incomplete/No data for 2008/2009 • About 2/3 of BP were familiar with the grievance form – this was much higher for Attwood, distributor of Heineken. Applicable for BSIC Members

24. Salary & Input on Incentive System

25. Salary & Input On Incentive Systems Current Base Salary- Overall By Segment Average Base Salary Total H1 2010 Average Base Salary 2009 Incomplete/No data for 2008/2009 61.1 84.1 63.3 63.7 56.8 53.9 66.2 69.4 64.0 57.2 • Average base salary for BSIC BP was $61.1 US per month. However, this doesn’t differentiate between those working part time and full-time, nor does it include extra pay for holidays, paid time off or working more than one shift, so full-time salary plus any incentives is most likely much higher.

26. Salary & Input On Incentive Systems Current Total Salary – BSIC Members • Average salary a combination of base and other payments (holiday, time off, sick leave, travel allowances, etc.) and excluding commission showed the following for each of the BSIC members: • CBL - $69 • Cambrew - $65 • Attwood (Heineken) - $74 • RSE Cambodia (Guinness) - $65 • The average base salary for non-BSIC was $55 per month, though many BP working for other beer companies are mostly paid on a commission basis.

27. Salary & Input On Incentive Systems Earn Incentives/Commissions Besides Salary- Overall By Segment Incomplete/No data for 2008/2009 • Most respondents earn incentives/commissions from sales – the except was Cambrew, which had much lower figures.

28. Salary & Input On Incentive Systems Commissions Received For Extra-Contractual Work (Reasons) – Overall by Segment Incomplete/No data for 2008/2009 • The primary commissions received was for good services rendered, with only 22% saying it was for sitting and drinking with customers. Applicable from April to June

29. Incidence of Sexual Harassment

30. Incidence of Sexual Harassment Awareness of Sexual Harassment- Overall By Segment • Awareness of sexual harassment has dropped slightly but still is high at just under 90%. High levels for non BSIC BP would indicate they are learning about sexual harrassment outside their respective companies.

31. Incidence of Sexual Harassment Actions To Take During Occasions of Sexual Harassment – Overall By Segment

32. Incidence of Sexual Harassment Frequency of Sexual Harassment at Workplace- Overall By Segment • The frequency of sexual harassment continues to decline, with over half saying it never occurs, compared to only 19% in 2008. However, frequency of sexual harrasment still occurs and is much higher among non-BSIC BPs.

33. Incidence of Sexual Harassment Have You Seen a Poster “ Do Not Forgive Those Harassing BPs” Applicable from May & June

34. Opinions On Training

35. Opinions On Training Training Received on Selling Beer Safely- Overall By Company Incomplete/No data for 2008/2009 2009 100% 98% 100% 100% • Almost all BP had received training on selling beer safely. Applicable for BSIC Members

36. Opinions On Training Training Received on Addressing Sexual Harassment Issues- Overall By Segment 2009 100% 96% 98% 91% • Almost all BP had received training on addressing sexual harassment – not the case for non-BSIC BP.

37. Opinions On Training Training Received on Refusing Beer/Alcohol Politely- Overall By Segment 2009 100% 98% 100% 100% • Almost all BP had received training on refusing beer politely – again, not the case for non-BSIC BP.

38. Opinions On Training Behavioral Change in Workplace After Receiving Training- By Overall • Main behavioral change from training was knowing how to refuse/deal with customers. Applicable for BSIC Members

39. Drinking With Customers

40. Drinking With Customers Beer Company Allows to Sit and Drink with Customers- Overall By Segment 2009 (Yes) 12% 7% 13% 17% • Almost all BSIC BP knew there companies had policies against sitting and drinking with customers.

41. Drinking With Customers Pressure from Customer- Overall By Segment • Incidence of sometimes being pressurized to drink with customers has actually increased, though being pressured “often” is on the decline.

42. Drinking With Customers Tackling Customer Pressures- Overall By Segment • Incidence of challenging customers has improved.

43. Opinions On Training Have you Ever Seen Poster “Do Not Force BP to Drink”- Overall By Segment Applicable from May & June & Guinness has small sample size

44. Drinking With Customers Occasions Of Drinking With Customers During Work Hours- Overall By Segment 2009 (Never) 13% 24% 69% 28% • Incidence of drinking with customers has seen a big decline, with just under half of BP now saying they never drink with customers. Attwood, distributor of Heineken performed best in this regard. In contrast, almost 90% of non-BSIC BP will sometimes or often drink with customers during work hours.

45. Other Issues

46. Other Issues Awareness that HIV/AIDs Can Be Contracted Through Unsafe Intercourse Applicable from April to June & Guinness has small sample size

47. Other Issues Received Training Covering HIV/Aids Topic- Overall By Segment Applicable from April to June

48. Other Issues Statements Describing Current Sentiments Towards Work- Overall By Segment 2009 (I am happy with them) 62% 71% 86% 61% • Happiness with their current employment continues to improve, with 4 out of 5 BP having high levels of happiness and only 2% expressing dissatisfaction.

49. Other Issues Three Suggested Changes at Workplace- Overall By BSIC Member Salary Contact Incentive Caution: Small Sample Size Working Rights Applicable for BSIC Members

50. Summary & Recommendations