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Representatives of the workers of the readymade garment (RMG) industry are likely to propose a minimum wage that is what they consider a living wage.
Talking to Dhaka Tribune, Sirajul Islam Rony, workers' representative at the wage board, said that they are working on a reasonable wage proposal as per the actual demands of the workers.
In this regard, they are collecting accurate data and information which will clearly prospect the actual situation of the RMG workers amid the inflation, necessary expenditure, and the capacity of the country's RMG sector.
“In the past five years, inflation has increased significantly. Considering inflation, expenditure, and other facts, the minimum wage must be around Tk20,000-22,000 but no less than Tk18,000,” he added.
On April 9 earlier this year, the Ministry of Labour and Employment formed the wage board of four permanent members, led by Senior District Judge Liaquat Ali Mollah, to review the pay of RMG employees.
The ministry also announced the names of two members -- former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Md Siddiqur Rahman and Bangladesh National Garments Workers Employees League President Sirajul Islam Rony as owners' and workers' representatives, respectively.
The debut meeting of the wage board came to an end without placing proposals from any parties on May 24 of this year, more than two months ago.
Regarding the delay in the second meeting, Shirajul Islam Rony said that they are waiting for the meeting to begin.
Two months have passed but no meeting has taken place though important work like submission of proposal and bargaining is still left.
If the meeting is not held immediately, there will be less time to do these things later and there will be a rush, he said.
He also said that they are working on the proposal making and now waiting for the owners' side.
There is a possibility of meeting in the first or second week of August. Actually, there should be at least one meeting every month, he added.
He also said that they are trying to work with all stakeholders to reach a decision regarding life standard and living wage for the workers.
“I also urge the brands, buyers, EU representatives to ensure fair prices and ethical buying which will accelerate the minimum wage from the manufacturers' end,” Rony said.
“However, the indifference of the ILO Dhaka office is noticeable, which is not desirable. Workers' rights should not be limited to only meetings and seminars,” he added.
Salauddin Swapan, executive member of IndustriAll Bangladesh Council (IBC), told Dhaka Tribune that it is disappointing that two months have passed since the first meeting and yet the second meeting has not taken place, the proposal has not yet been brought up to the board.
“We are pressing in our own way. It seems to us that delaying in this way will lead to a hasty decision at the very last stage, which will not be acceptable. Our demand is Tk23,000 minimum wage with 65% basic,” he added.
In December 2018, the government-nominated board declared a new pay structure, fixing minimum wages at Tk8,000 or $100 per month., when the inflation rate was 5.73%.
Moreover, due to depreciation of the local currency, the wages now amount to $74.5 per month.
Bangladesh pays one of the lowest monthly wages to its RMG workers while China pays a minimum $161 in RMG worker wages, India $165, Vietnam $191, Pakistan $110, and Cambodia $200.
Nearly 4 million workers in the garment industry have been struggling with high inflation for the past years.
According to the Bangladesh Bureau of Statistics (BBS), the inflation rate was 9.74% in June of this year and the price of daily necessities, electricity, gas, house rent and other expenditure has skyrocketed in the span of five years.
However, the US dollar appreciated against Taka by at least 35% during the five-year period, and the RMG factory owners benefited from the local currency depreciation.
That is why a significant hike in workers' wages is a realistic demand, said the workers.
Apparel manufacturers said that the new wage structure should be realistic by considering the interest of both the workers and owners.
According to Section 141 of the existing Labor Act of Bangladesh, while formulating any recommendation (of wages), the wage board shall take into account the cost of living, standard of living, cost of production, productivity, cost of goods produced, inflation, type of work, risks and standards, business potential, country and area concerned.
RMG sector, largest earner of the export earnings, bagged $46.99 billion in FY23.
www.dhakatribune.com
Talking to Dhaka Tribune, Sirajul Islam Rony, workers' representative at the wage board, said that they are working on a reasonable wage proposal as per the actual demands of the workers.
In this regard, they are collecting accurate data and information which will clearly prospect the actual situation of the RMG workers amid the inflation, necessary expenditure, and the capacity of the country's RMG sector.
“In the past five years, inflation has increased significantly. Considering inflation, expenditure, and other facts, the minimum wage must be around Tk20,000-22,000 but no less than Tk18,000,” he added.
On April 9 earlier this year, the Ministry of Labour and Employment formed the wage board of four permanent members, led by Senior District Judge Liaquat Ali Mollah, to review the pay of RMG employees.
The ministry also announced the names of two members -- former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) Md Siddiqur Rahman and Bangladesh National Garments Workers Employees League President Sirajul Islam Rony as owners' and workers' representatives, respectively.
The debut meeting of the wage board came to an end without placing proposals from any parties on May 24 of this year, more than two months ago.
Regarding the delay in the second meeting, Shirajul Islam Rony said that they are waiting for the meeting to begin.
Two months have passed but no meeting has taken place though important work like submission of proposal and bargaining is still left.
If the meeting is not held immediately, there will be less time to do these things later and there will be a rush, he said.
He also said that they are working on the proposal making and now waiting for the owners' side.
There is a possibility of meeting in the first or second week of August. Actually, there should be at least one meeting every month, he added.
He also said that they are trying to work with all stakeholders to reach a decision regarding life standard and living wage for the workers.
“I also urge the brands, buyers, EU representatives to ensure fair prices and ethical buying which will accelerate the minimum wage from the manufacturers' end,” Rony said.
“However, the indifference of the ILO Dhaka office is noticeable, which is not desirable. Workers' rights should not be limited to only meetings and seminars,” he added.
Salauddin Swapan, executive member of IndustriAll Bangladesh Council (IBC), told Dhaka Tribune that it is disappointing that two months have passed since the first meeting and yet the second meeting has not taken place, the proposal has not yet been brought up to the board.
“We are pressing in our own way. It seems to us that delaying in this way will lead to a hasty decision at the very last stage, which will not be acceptable. Our demand is Tk23,000 minimum wage with 65% basic,” he added.
In December 2018, the government-nominated board declared a new pay structure, fixing minimum wages at Tk8,000 or $100 per month., when the inflation rate was 5.73%.
Moreover, due to depreciation of the local currency, the wages now amount to $74.5 per month.
Bangladesh pays one of the lowest monthly wages to its RMG workers while China pays a minimum $161 in RMG worker wages, India $165, Vietnam $191, Pakistan $110, and Cambodia $200.
Nearly 4 million workers in the garment industry have been struggling with high inflation for the past years.
According to the Bangladesh Bureau of Statistics (BBS), the inflation rate was 9.74% in June of this year and the price of daily necessities, electricity, gas, house rent and other expenditure has skyrocketed in the span of five years.
However, the US dollar appreciated against Taka by at least 35% during the five-year period, and the RMG factory owners benefited from the local currency depreciation.
That is why a significant hike in workers' wages is a realistic demand, said the workers.
Apparel manufacturers said that the new wage structure should be realistic by considering the interest of both the workers and owners.
According to Section 141 of the existing Labor Act of Bangladesh, while formulating any recommendation (of wages), the wage board shall take into account the cost of living, standard of living, cost of production, productivity, cost of goods produced, inflation, type of work, risks and standards, business potential, country and area concerned.
RMG sector, largest earner of the export earnings, bagged $46.99 billion in FY23.
RMG workers to propose a minimum wage that reflects the cost of living
'Considering inflation, expenditure, and other facts, the minimum wage must be around Tk20,000-22,000 but no less than Tk18,000'
