EU still not happy with RMG safety measures

FE Report | Published: March 17, 2014 00:00:00 | Updated: November 30, 2026 06:01:00

The European Union is unhappy over the steps that the Bangladesh government has so far taken for improving working conditions in readymade garment (RMG) factories, as pledged by the country 10 months ago under a sustainability compact agreement.
According to the agreement, Bangladesh has to reform the labour law, recruit 200 inspectors and bring change to the garment factory structures to ensure fire safety, especially structural safety.
But in his latest statement, EU Trade Commissioner Karel de Gucht maintained that Bangladesh's reforms and safety measures were far from the desired level.
"The changes it brought in the labour law are not sufficient to safeguard workers' rights," the Commissioner said.
Bangladesh had pledged to reform its labour law to strengthen workers' rights, in particular regarding freedom of association and the right to collective bargaining, and to improve occupational health and safety, Mr Gucht said.
Bangladesh also has failed to recruit the required number of inspectors to ensure fire and other health hazard safety of the factories within the stipulated timeframe, he said
The third commitment to improve building and fire safety, especially structural safety of buildings and fire safety in ready-made garment factories, by June 2014 has also not seen any solid advancement within the time, the Trade Commissioner said.
Earlier in July 2013, Bangladesh signed a sustainability compact with the EU and the ILO for improving conditions for workers in Bangladesh's garment factories. The ILO will help coordinate efforts and mobilise technical resources.
The move was in response to the collapse of the Rana Plaza building in Dhaka in April last which resulted in over 1,100 deaths.
Mr Karel de Gucht said the EU strongly believes that all companies should respect labour standards throughout their supply chain in line with internationally recognised Corporate Social Responsibility principles and in dialogue with workers' representatives.
The EU is Bangladesh's leading trading partner. The country's total exports to the EU amounted to around US$ 13 billion in fiscal year 2012-13.
Some 90 per cent of Bangladesh's exports to the EU are ready-made garments -- corresponding to 60 per cent of Bangladesh's total apparel exports that have created some 2.9 million jobs.
As a least developed country (LDC), Bangladesh benefits from the most favourable regime available under the EU's Generalised Scheme of Preferences (GSP), namely the Everything But Arms (EBA) arrangement. The EBA grants the 48 LDCs -- including Bangladesh -- duty and quota-free access to the EU for exports of all products, except arms and ammunition.
However, in order to continue to benefit from this scheme, certain legal conditions have to be met: human and core labour rights must be respected. It is important, therefore, that Bangladesh shows sustained progress in improving its labour rights and working conditions in line with core ILO conventions, according to the EU website.
The ready-made garment industry is a driver of sustained economic growth in Bangladesh, which over the past two decades has helped cut core poverty by 62 per cent.
The garments industry employs some 4.8 million people -- of which about 80 per cent are women -- and indirectly supports the livelihoods of as many as 50 million people -- about a quarter of Bangladesh's population.