FROM THE EDITOR-IN-CHIEF ’ s DESK …
When analysing factors that have propelled the growth of garment exports from Bangladesh , one of the biggest factors that every industry watcher talks about is ‘ low wages ’ which translates into competitive prices .
The country has thrived on this strength and understandably , today the industry is worried about the rising wages and its farreaching implications . Of course , this had to happen one day , as international labour organisations have been pushing for higher wages and better worker facilities , since long .
Just recently , the ILO has once again asked the Government of Bangladesh to ensure robust labour laws which would be able to meet the ILO convention rules . Further , they are stressing on the need for the EPZ Labour Act to allow freedom of association for workers ’ and employers ’ organisations , so that it is brought into conformity with the provisions of the convention .
No doubt , many reforms have taken place in Bangladesh , post the Rana Plaza incident and the industry has been appreciated for its quick response to labour and safety initiatives , but the fact remains that much more needs to be done …
While the top exporters and a majority of the middle ones are compliant to international norms , the issue of how much wage is a ‘ good and fair ’ wage , is still a debate .
In the meanwhile , a pro-labour force in Bangladesh has been pushing for BDT 16,000 as the minimum wage for apparel workers . The noise is getting louder as the timeline for the settlement of a fresh wage board for the 3.6 million workforce , comes nearer .
Only recently , the demand was placed afresh by IndustriALL Bangladesh Council ( IBC ), a platform of 20 pro-labour unions and associations , at a press conference at Dhaka Reporters ’ Unity on February 25 , 2018 . At present , the minimum wage for apparel workers in Bangladesh is BDT 5,300 , which was set by a wage board five years ago . Now , a fresh wage board is working to fix a new wage structure by July 2018 .
Even as the industry comes to terms with how they will cope with this change if it happens , pressure is mounting at another level . With less than 100 days until the current Bangladesh Accord on Fire and Building Safety expires , garment companies ( Retailers / Brands ) are being urged to continue their involvement to create a safe and sustainable garment industry in Bangladesh and also to sign its successor , the 2018 Transition Accord , which will continue the work of inspecting factories in Bangladesh , identifying safety hazards , and ensuring that they are corrected . As of today , 109 garment companies have signed the 2018 Accord , covering more than 2 million workers .
Even though the garment associations , including the BGMEA , have assured that reforms and monitoring work would not stop and all measures will be taken to ensure that workers do not suffer , it seems that international organisations are not ready to let go .
With issues related to wages and worker welfare heating up , 2018 is going to be a very impactful year for the industry , which needs to put its head down and think of ways to off-set the impact .
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8 Apparel Online Bangladesh | MARCH 2018 | www . apparelresources . com