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BGMEA rejects wage review, increment ratio hike demands

Workers’ 16 out of 18 demands resolved at labour ministry’s tripartite meeting
Staff Correspondent
23 Sep 2024 23:07:59 | Update: 23 Sep 2024 23:07:59
BGMEA rejects wage review, increment ratio hike demands
Photo shows a group of garment workers demonstrate protest by blocking the Dhaka-Mymensingh Highway on Monday - TBP

Amid unrest at factories in different areas, the readymade garment manufacturers on Monday disagreed to meet two demands — placed by labour leaders — calling for a review of the new wage board and an annual 10 per cent increment.

The development came from an emergency general meeting at the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) office in Dhaka in the evening.

Earlier in the afternoon, however, 16 of the 18 demands placed by the worker leaders were resolved during a tripartite meeting at the labour ministry.

The ministry’s Secretary AHM Shafiquzzaman presided over the meeting attended by the president and board members of BGMEA and labour leaders.

On Monday, at least 50 readymade garment factories were forced to shut production in the Ashulia zone, on the outskirts of the capital city, following demonstrations by workers pushing the authorise to meet their demands.

Of these, 27 factories were closed indefinitely in line with Section 13(1) of the Bangladesh Labour Act, which enforces a “no work, no pay” rule.

Moreover, 12 factories, including Al Muslim Apparels, Shangu Tex and Rose Dresses, were declared closed after workers arrived but chose not to work and left.

The factories that closed down following Section 13(1) include NASSA Group, Ha-meem Group, Envoy Group, Newage Group, Starling Group, Ananta Group, Shin Shin Apparels Ltd and Bando Designs.

The demonstrations and unrest started on August 31 and are yet to be brought under control, even after the interim government recently deployed the army with magistracy power.

The government, law enforcement agencies and owners have claimed that a vested group, including ousted prime minister Sheikh Hasina’s followers and those serving the interest of neighbouring country India, is fuelling the unrest to create anarchy.

To resolve the crisis, the labour ministry held a tripartite meeting on Monday, where all parties discussed the 18 demands made by the workers and 16 of them were resolved.

However, different deadlines were set for compliance with these 16 demands — some were accepted immediately while those concerned agreed to take time to meet several others.

It was also decided in the meeting that the owners will pay all dues by October 30, and in case they fail to meet the deadline, the ministry will take legal action as per the law.

Besides, owners agreed to increase the attendance bonus by Tk 225, tiffin allowance by Tk 10, and maternity leave from 112 days to 120 days in all factories.

The labour ministry will independently investigate the blacklist of workers, which has been made by the owners. BGMEA representatives accepted the decision.

Regarding the wage hike and annual 10 per cent increment instead of 5 per cent, labour leaders said that if owners cannot afford a new wage board, they can implement dearness allowance as the country is facing severe high inflation.

BGMEA President Khandoker Rafiqul Islam, however, said they cannot accept any demand regarding wage hikes until the trade body’s members approve the matter in a general meeting.

Later in the evening, BGMEA called the emergency meeting, where RMG makers disagreed to accept the two demands.

At the meeting, former BGMEA president Redwan Ahmed said, “If the government cannot ensure security, we will shut down all factories. There is a conspiracy stemming from India. They want to grab Bangladesh’s market.

“Authoritarian Hasina fled but her regime still exists in the country. All secretaries and many other government officials are her followers. They are also trying to create anarchy.”

He also said, “We will not accept any proposal that aims to increase financial benefits because the it will be unlawful as the new wage board has already been formed.”

On November 7, 2023, the Awami League government set the new minimum wage for the RMG workers at Tk 12,500, of which, 63 per cent was basic pay and the new minimum wage was effective from January 2024 with their December wages.

Moreover, both parties agreed to lower the existing grade structure from 7 to 5. The basic wages were increased by 56.25 per cent while the 5 per cent increment remains.

The development at the end of the day came after workers from several factories in Gazipur demonstrated on Monday, pushing for several demands including payment of unpaid salaries, higher wages and benefits, leading to blockades of the Dhaka-Mymensingh and Dhaka-Tangail highways for nearly an hour in the morning.

The workers also voiced concerns over issues ranging from attendance bonuses to unpaid wages.

Tensions escalated as some workers forcefully entered one of the factories and vandalised property. Joint forces later dispersed the protesters and arrested three individuals for inciting violence and damaging factory property.

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