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Five issues listed as constant irritants

ILO recommends wage restructuring, labour law reform to end RMG unrest

At least 65 factories suspend operation on Sunday in fresh fracas


FE REPORT | September 30, 2024 00:00:00


The ILO has identified, at least, five issues that have been troubling the Bangladesh's readymade garment industry frequently and showed the remedies that include reform in wage structure and relevant policies, and amendments to the labour law.

In a statement issued Sunday, the International Labour Organisation (ILO) country office in Dhaka said it was closely monitoring the labour unrest in the RMG and other sectors arising from a range of worker grievances, highlighting significant systemic issues that demand urgent attention and resolution.

Meantime, at least 65 factories suspended operation on Sunday in Savar, Ashulia and Zirani area, according to sources

The ILO has identified several key areas where action is required and suggested developing an evidence-based, gender-responsive national wage policy which is vital for regular and fair wage setting.

"Reforming the minimum wage mechanism and ensuring inclusive consultations between employers and workers will help address wage-related grievances including the move towards providing living wages," it said, adding sectoral wage boards and strong collective bargaining mechanisms must be established to prevent and de-escalate unrest related to wages and working conditions.

It also calls for amendments to the Bangladesh Labour Act, aligned with international labour standards, to expand coverage to all workers, including those in the informal sector and export- processing zones (EPZs).

"The reform should strengthen mechanisms for resolving labour disputes, enhance wage protections, and simplify the processes for trade union registration."

A robust and transparent national industrial relations system is essential for addressing disputes early and preventing them from escalating into violence, the ILO suggests, adding that this should include the introduction of an independent alternative dispute- resolution institution and reforms to the labour-court system to improve case management.

"Addressing anti-union discrimination cases is also a vital step toward promoting industrial peace," the ILO report reads.

The Employment Injury Scheme, currently piloted for garment workers, should be institutionalized, legislated, and gradually extended to other sectors.

The ILO thinks establishing a comprehensive social- protection system, aligned with ILO conventions, will boost workers' safety and well-being while enhancing Bangladesh's global competitiveness.

It also calls on Bangladesh government to ratify OSH conventions No 155 and No 187 and to develop a comprehensive national OSH system, saying that this will promote a culture of safety across all sectors of the economy.

Acknowledging the complexities surrounding the challenges, the ILO underscored the importance of constructive dialogue among employers and factory owners, workers, and government representatives.

It is essential for all parties to engage in good faith, working collaboratively towards fair and equitable solutions that uphold workers' rights while ensuring the economic sustainability of the factories.

The ILO commended the RMG industry for the landmark agreement reached between workers and employers in Ashulia area, on the outskirts of Dhaka, reached on September 24, after days of escalating labour unrest that has raised hopes for harmonious industrial relations and long-term peace in the sector.

Social dialogue, which involves collaboration among different stakeholders to find solutions and resolve disputes, is a crucial tool for good governance.

"It not only supports sustainable business practices and better working conditions but also contributes to advancing social justice and decent work for all," says the ILO.

The ILO calls on all stakeholders to work for improvement of the industrial relations system through constructive social dialogue for both the stability of the RMG sector and the broader economic and social wellbeing of Bangladesh.

Out of the 65 factories having halted operations on the day, 14 factories are closed in line with labour law provision of 13(1) that states no work, no pay.

The rest 51 announced paid holiday because workers either didn't work or left factories after joining in the morning, they added.

One factory in Gazipur remained closed on the day.

Talking to the FE, Abdullah Hil Rakib, senior vice president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), blamed law-and- order situation for the ongoing labour unrest in the sector despite the fact that they have agreed all 18- point demands, including increasing attendance, tiffin and night bills.

Citing example of 'irrational demands', he said workers in a factory stopped working after lunch demanding that there should not be any target for work.

In another factory, workers worked for five hours saying the time period was enough for the wage of Tk 12,500, he noted.

"Law-and- order situation must be brought under control. Workers joined in the morning but left after lunch. Army is patrolling but as they are not strict enough, the wrongdoers instead getting lenience," he noted.

Nazma Akter, president of Sammilito Garment Sramik Federation, says demands must be legitimate and trade unions in factories also must have representation of workers.

Workers in Ashulia and Gazipur industrial belts have been staging protests since August 29 over demands for increase in different allowances, timely wage payments, arrears and wage hike, forcing numerous units to suspend production in the main export industry.

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