RMG buyers worried as minimum wage issue remains unsettled
Wednesday, 20 January 2010
Munima Sultana
A number of leading international buyers of the country's apparel and textile products have expressed their anxiety at the reluctance of the authorities concerned in reviewing the minimum wage of workers.
The living cost has increased significantly since the review of the minimum wage for workers four years ago.
Eleven international buyers including WalMart, H&M, IKEA, Levis, Nike and Tesco wrote a letter to the Prime Minister last week expressing their worries and seeking the government's intervention in this connection.
Buyers also representing the companies like Cotton Group, Carrefour, GAP Inc, Kappahl, Lindex and Tchibo said the compliance with labour and environmental laws is an integral part of business practices. They pointed out that unrest among the workers during 2008 and 2009 was the result of the increased cost of living as wages were not regularly revised.
"The current minimum wage level in Bangladesh is below the poverty line calculated by the World Bank and thus does not meet the basic needs of the workers and their families," said the buyers who signed the letter.
Wage of the garment workers was last reviewed in 2006 after 12 years of gap fixing the minimum wage at Tk 1662 from Tk 930. The minimum wage however then was criticised by the workers as they demanded at least Tk 2300 as the minimum wage considering a day labourer's minimum daily income of Tk 100 at that time.
A number of leading international buyers of the country's apparel and textile products have expressed their anxiety at the reluctance of the authorities concerned in reviewing the minimum wage of workers.
The living cost has increased significantly since the review of the minimum wage for workers four years ago.
Eleven international buyers including WalMart, H&M, IKEA, Levis, Nike and Tesco wrote a letter to the Prime Minister last week expressing their worries and seeking the government's intervention in this connection.
Buyers also representing the companies like Cotton Group, Carrefour, GAP Inc, Kappahl, Lindex and Tchibo said the compliance with labour and environmental laws is an integral part of business practices. They pointed out that unrest among the workers during 2008 and 2009 was the result of the increased cost of living as wages were not regularly revised.
"The current minimum wage level in Bangladesh is below the poverty line calculated by the World Bank and thus does not meet the basic needs of the workers and their families," said the buyers who signed the letter.
Wage of the garment workers was last reviewed in 2006 after 12 years of gap fixing the minimum wage at Tk 1662 from Tk 930. The minimum wage however then was criticised by the workers as they demanded at least Tk 2300 as the minimum wage considering a day labourer's minimum daily income of Tk 100 at that time.