Dilly-dallying in protecting the RMG sector
Enayet Rasul | Saturday, 7 June 2008
What things the administration has done so far in securing the country's readymade garments (RMG) sector from short and long term threats to its existence, are too little to say the last. The RMG sector faced peril even two years ago when the country was under an elected and party led government. The eruption of violence and anarchy in this sector at that time was only half-heartedly met by the government administration though the law enforcement bodies at its command had the supreme responsibility to quell such troubles.
Even foreign companies which had invested heavily in the export processing zones (EPZs) in Bangladesh were pushed to the brink at that time and declared that they would wind up operations and leave Bangladesh for good. What such a move would mean for RMG exports from Bangladesh or buyers' retention of interest to trade in RMG products in Bangladesh, needs no explanation. Only after such dire threats from investors that government in that period appeared to come out of its slumber and did the minimum to pacify conditions in and around the RMG industries. But all concerned ones at that time were very eager to know how violent activities could flare up and were allowed to persist for days in the EPZ areas where in theory the government provides maximum physical security through its various security forces.
Ever since the destructive activities in the RMG sector in 2006, different investigative exercises were carried out to determine what factors were at the root of the troubles. Owners of garments industries, the representative association of garments producers and exporters, BGMEA, and the government's own security agencies were involved in these investigations. All of these investigative works came up with findings that included genuine unmet grievances of workers. But the findings also converged on the point that the violence was not generally initiated by the workers. In some cases, only a tiny section of the workers were involved and in others none of them had a role. In most cases outsiders on the plea of this or that grievance of the workers or after deliberately spawning baseless rumours such as brutalities of owners against workers, attacked the garments industries.
A series of attacks on garments industries were noted last week at Chittagong and Dhaka. The same also seemed to be more the outcome of mischief engineered by quarters external to the workers' community. Owners and operators of RMG industries remain very apprehensive of more troubles to come. The BGMEA has called for the establishment of a crisis management cell to ensure that a repeat of the experiences of 2006 can be avoided. They have also urged the setting up of a special squad of the police force, the industrial police, to protect the RMG sector.
Some interest groups are, of course, eager to link the violent activities in the RMG sector to increasing workers' discontent. But any objective appraisal should expose how inaccurate such explanations can be. First of all, workers generally are against turning physically against the assets such as factory buildings, equipment and finished products which earn for them their breads. They are, still, preponderantly on the side of peaceful collective bargaining to press for their demands. Besides, these demands have been also substantially addressed. Nearly 90 per cent of the RMG factories are paying the higher minimum wage to workers which was agreed after tripartite talks between government, owners of RMG industries and the workers following the troubles in 2006. The rest ten per cent are in the process of implementing the minimum wage recommendation. Furthermore, the greater number of RMG industries have been also paying in varying degrees other benefits to workers such as overtime, free lunches, etc. in contrast to only some years ago when these benefits were hardly paid. Thus, the reasons for workers' discontentment have largely diminished or at any rate conditions are not so adverse for them to plunge senselessly into activities that would threaten them with unemployment. For example, three major export oriented RMG industries were laid off in Chittagong's Kalurghat area last week and their workers cannot gain anything from the move. Therefore, they can have no incentive in behaving in a wild manner causing the laying off of their industries.
Clearly, like in the past the present incidents in the garments industries are the handiwork of the same vested interest groups who are working for the destruction of the flourishing RMG sector of Bangladesh. They represent a motley of disgruntled groups : local politicos who want to put the incumbent government into deep embarrassment and difficulties and pin the blame on it for making the economy dysfunctional ; rival producers in foreign countries and their agents in Bangladesh ; and, some so called non governmental organizations (NGOs) who are instigating our workers and engaging outsiders to artificially create violence in the sector. The NGO organizations are allegedly funded and guided by lobbies in North American and European countries who apparently maintain that the want the welfare of Bangladeshi workers but whose real aim is the creation of such conditions in Bangladesh's RMG sector that can lead to its losing of competitiveness. The sponsors of such NGOs want a shift in the procurement activities of the buyers of RMG products of their countries away from Bangladesh to other countries of their choice. Business interest of the sponsors are involved in working for this shift.
All of these angles were prominently described in the various investigation reports and these conspiracies against the RMG sector of Bangladesh have been known for a long time to those who matter in the governance of Bangladesh. But very regrettably and inexplicably, hardly any steps were taken against these conspiracies with the result that the conspirators with their networks of mischief remaining intact, are feeling confident to once again indulge in their tendentious activities.
But it is unacceptable that the government of Bangladesh will sit quietly and do nothing as the conspirators execute their plot to ensure the gradual downfall of a pillar of our national economy. No explanation is needed to realize how important the RMG sector is for the economy of Bangladesh. Apart from the remittance of our overseas workers, the RMG sector is the single biggest source of foreign currency earnings for the country. It is also a major employer of the country's workforce. In many ways, the RMG sector is helping to underwrite the economic viability of Bangladesh. Any downturn in this sector is absolutely unaffordable for the economy.
Keeping these considerations in clear view, the government must not waste a moment in going after the real perpetrators of troubles in the RMG sector from behind the wings. Only arrests of some individuals or workers will not quite secure the RMG sector on a long term basis. The greatest need is for the government to pull out immediately and very thoroughly the roots of the conspiracies against the sector. All 'promoters' of the attacks against garment industries must be very promptly arrested and subjected to the due processes of law. No further leniency or dilly-dallying in this matter can be acceptable. This is also the course of action that owners of RMG industries are expressly insisting on and it enjoys the total support of all conscious and concerned Bangladeshis.
Even foreign companies which had invested heavily in the export processing zones (EPZs) in Bangladesh were pushed to the brink at that time and declared that they would wind up operations and leave Bangladesh for good. What such a move would mean for RMG exports from Bangladesh or buyers' retention of interest to trade in RMG products in Bangladesh, needs no explanation. Only after such dire threats from investors that government in that period appeared to come out of its slumber and did the minimum to pacify conditions in and around the RMG industries. But all concerned ones at that time were very eager to know how violent activities could flare up and were allowed to persist for days in the EPZ areas where in theory the government provides maximum physical security through its various security forces.
Ever since the destructive activities in the RMG sector in 2006, different investigative exercises were carried out to determine what factors were at the root of the troubles. Owners of garments industries, the representative association of garments producers and exporters, BGMEA, and the government's own security agencies were involved in these investigations. All of these investigative works came up with findings that included genuine unmet grievances of workers. But the findings also converged on the point that the violence was not generally initiated by the workers. In some cases, only a tiny section of the workers were involved and in others none of them had a role. In most cases outsiders on the plea of this or that grievance of the workers or after deliberately spawning baseless rumours such as brutalities of owners against workers, attacked the garments industries.
A series of attacks on garments industries were noted last week at Chittagong and Dhaka. The same also seemed to be more the outcome of mischief engineered by quarters external to the workers' community. Owners and operators of RMG industries remain very apprehensive of more troubles to come. The BGMEA has called for the establishment of a crisis management cell to ensure that a repeat of the experiences of 2006 can be avoided. They have also urged the setting up of a special squad of the police force, the industrial police, to protect the RMG sector.
Some interest groups are, of course, eager to link the violent activities in the RMG sector to increasing workers' discontent. But any objective appraisal should expose how inaccurate such explanations can be. First of all, workers generally are against turning physically against the assets such as factory buildings, equipment and finished products which earn for them their breads. They are, still, preponderantly on the side of peaceful collective bargaining to press for their demands. Besides, these demands have been also substantially addressed. Nearly 90 per cent of the RMG factories are paying the higher minimum wage to workers which was agreed after tripartite talks between government, owners of RMG industries and the workers following the troubles in 2006. The rest ten per cent are in the process of implementing the minimum wage recommendation. Furthermore, the greater number of RMG industries have been also paying in varying degrees other benefits to workers such as overtime, free lunches, etc. in contrast to only some years ago when these benefits were hardly paid. Thus, the reasons for workers' discontentment have largely diminished or at any rate conditions are not so adverse for them to plunge senselessly into activities that would threaten them with unemployment. For example, three major export oriented RMG industries were laid off in Chittagong's Kalurghat area last week and their workers cannot gain anything from the move. Therefore, they can have no incentive in behaving in a wild manner causing the laying off of their industries.
Clearly, like in the past the present incidents in the garments industries are the handiwork of the same vested interest groups who are working for the destruction of the flourishing RMG sector of Bangladesh. They represent a motley of disgruntled groups : local politicos who want to put the incumbent government into deep embarrassment and difficulties and pin the blame on it for making the economy dysfunctional ; rival producers in foreign countries and their agents in Bangladesh ; and, some so called non governmental organizations (NGOs) who are instigating our workers and engaging outsiders to artificially create violence in the sector. The NGO organizations are allegedly funded and guided by lobbies in North American and European countries who apparently maintain that the want the welfare of Bangladeshi workers but whose real aim is the creation of such conditions in Bangladesh's RMG sector that can lead to its losing of competitiveness. The sponsors of such NGOs want a shift in the procurement activities of the buyers of RMG products of their countries away from Bangladesh to other countries of their choice. Business interest of the sponsors are involved in working for this shift.
All of these angles were prominently described in the various investigation reports and these conspiracies against the RMG sector of Bangladesh have been known for a long time to those who matter in the governance of Bangladesh. But very regrettably and inexplicably, hardly any steps were taken against these conspiracies with the result that the conspirators with their networks of mischief remaining intact, are feeling confident to once again indulge in their tendentious activities.
But it is unacceptable that the government of Bangladesh will sit quietly and do nothing as the conspirators execute their plot to ensure the gradual downfall of a pillar of our national economy. No explanation is needed to realize how important the RMG sector is for the economy of Bangladesh. Apart from the remittance of our overseas workers, the RMG sector is the single biggest source of foreign currency earnings for the country. It is also a major employer of the country's workforce. In many ways, the RMG sector is helping to underwrite the economic viability of Bangladesh. Any downturn in this sector is absolutely unaffordable for the economy.
Keeping these considerations in clear view, the government must not waste a moment in going after the real perpetrators of troubles in the RMG sector from behind the wings. Only arrests of some individuals or workers will not quite secure the RMG sector on a long term basis. The greatest need is for the government to pull out immediately and very thoroughly the roots of the conspiracies against the sector. All 'promoters' of the attacks against garment industries must be very promptly arrested and subjected to the due processes of law. No further leniency or dilly-dallying in this matter can be acceptable. This is also the course of action that owners of RMG industries are expressly insisting on and it enjoys the total support of all conscious and concerned Bangladeshis.