The announcement, made through a notice signed by Labour Ministry Secretary AHM Shafiquzzaman, calls for immediate resumption of work at all Beximco facilities in the Ashulia-Chandra area. The secretary urged workers to return to their jobs promptly, emphasizing the government’s commitment to resolving the crisis.

The unrest began when workers from multiple Beximco factories staged demonstrations demanding overdue salaries. Today marked the fifth consecutive day of protests, with hundreds of workers blocking the Chandra-Nabinagar highway near the Chakraborty intersection in the Sarabo area of Kashimpur, Gazipur. Protesters resumed their blockade at around 10:00 am, following a temporary suspension of demonstrations late last night.

The blockade has disrupted transportation and trade activities along the vital highway, adding pressure on local authorities to resolve the standoff.

Speaking to reporters, a Labour Ministry official said, “This loan package demonstrates the government’s proactive role in addressing labour grievances. We urge the workers to trust this process and resume their duties immediately.”

Beximco management has welcomed the government’s support and pledged to disburse the pending salaries promptly upon receiving the funds.

The Finance Division is expected to release the loan amount within the next 48 hours, enabling factory operations to return to normal. Despite the assurance, workers have vowed to continue protests until wages are paid in full.

Local police have been deployed to maintain order, but the situation remains tense. Labour rights organizations have called for sustainable solutions to prevent recurring wage-related disruptions in the industrial sector.

The unfolding situation highlights ongoing challenges in ensuring timely wage disbursement and worker welfare in Bangladesh’s vital manufacturing sector.

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Figure: Inauguration of Fair Price Sales

The inaugural ceremony was presided over by BGMEA President Khandaker Rafiqul Islam, with Asif Mahmud Sajib Bhuiyan, the Honorable Adviser to the Ministry of Labor and Employment, attending as the Chief Guest. Special guests included the Secretary of the Ministry of Commerce, Mohang Selim Uddin, and the Secretary of the Ministry of Labor and Employment, A. H. M. Shafiquzzaman. It is worth mentioning that this initiative was launched through discussions between the owners of garment factories and the joint effort of the Ministry of Labor and the Ministry of Commerce. Under this program, three essential products – rice, lentils, and oil – will be distributed at affordable prices through TCB, an agency under the Ministry of Commerce.

BGMEA President Khandaker Rafiqul Islam welcomed this government initiative, stating that it is a timely and well-thought-out measure by the interim government and a supportive step for the industry. He further mentioned that, amid the high inflation, this special initiative will bring some relief to the workers of the garment industry and benefit the sector. The BGMEA President requested the Honorable Labor and Employment Adviser to expand this program nationwide to include all garment factories as soon as possible. Also present at the event were BGMEA Director Md. Mohiuddin Rubel, Director Abrar Hossain Sayem, TCB Chairman Brigadier General Mostafa Iqbal, AFWC, PSC, Gazipur District Commissioner Nafisa Arfin, Noman Group Chairman A. S. M. Rafiqul Islam Noman, and local garment entrepreneurs. Speeches were also given by the Honorable Adviser to the Ministry of Labor and Employment Asif Mahmud Sajib Bhuiyan, Commerce Secretary Mohang Selim Uddin, Labor and Employment Secretary A. H. M. Shafiquzzaman, TCB Chairman Brigadier General Mostafa Iqbal, AFWC, PSC, Gazipur District Commissioner Nafisa Arfin, and Noman Group Chairman A. S. M. Rafiqul Islam Noman.

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BGMEA President Faruque Hassan opened the letter by extending warm greetings during the festive season, celebrating the recent Victory Day of Bangladesh and expressing hopes for a prosperous New Year. Acknowledging the positive projections for U.S. holiday spending, BGMEA emphasized the potential for a better and prosperous year ahead.

The letter reiterated BGMEA’s previous communications dated September 20, November 8, and November 17, 2023, regarding the ongoing negotiations for minimum wages. BGMEA informed recipients that the government had officially published the final gazette on December 20, 2023, outlining the new minimum wages. These changes, effective from December 1, 2023, will see workers receiving the new wages in January 2024.

According to the letter, the new wage system reduces the number of grades from 7 to 4. Grade IV replaces the previous Grade VII, while Grade III combines the former Grades V and VI. The gross monthly minimum wage for unskilled Grade IV workers remains at Taka 12,500, representing a 56.25% increase. For Grade III, the gross monthly wage increases by 60.93% from Tk. 8,420 to Tk. 13,550.

BGMEA emphasized its commitment to worker well-being, noting that the adjustments align with official demands by workers and employers’ representatives. The association highlighted its efforts to educate member factories on the new wage system through workshops involving 1900 participants from 1300 factories.

The letter acknowledged the significant impact the new wages will have on industry costs but underlined the global community’s and brands’ emphasis on ensuring decent living wages for workers. BGMEA revealed it had received letters from influential organizations, including AMFORI, AAFA, and ACT, urging for fair wages during negotiations.

The letter also addressed the broader economic challenges faced by the industry, citing increases in production costs, electricity, gas, diesel prices, and other factors. BGMEA urged brands to consider these factors, including investments in sustainability, when calculating price adjustments.

Lastly, BGMEA expressed gratitude for the prompt response from many brands in adjusting their price calculations and urged continued collaboration to ensure a smooth and sustainable supply chain within the parameters of Environmental, Social, and Governance (ESG) standards.

As Bangladesh moves towards implementing the new minimum wages, the collaborative efforts of brands and manufacturers will play a crucial role in fostering a fair and sustainable garment industry.

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Earlier, on last Sunday (November 12), a declaration was made to shut down all activities of 130 garment factories in the area, ensuring the safety of workers and protection of the factories’ properties for an unspecified period. However, within two days of this announcement, the decision to reopen all factories was made following discussions involving workers, labor leaders, factory owners, and law enforcement.

BGMEA Director Mahiuddin Rubel stated that as the situation gradually normalizes, all closed factories will be reopened. The decision was reached through discussions involving workers, labor leaders, factory owners, and law enforcement.

In a statement addressing the current situation in the garment industry, BGMEA President Faruk Hasan mentioned that, with the cooperation of workers, labor unions, local political leaders, administration, industrial police, and media personnel, the garment industry in all areas of Bangladesh is currently operating in a stable and peaceful environment. Production activities are ongoing in all factories. As of now, there are no reports of dissatisfaction among workers in any factory.

He further mentioned that, in response to BGMEA’s call, workers, labor unions, local political leaders, administration, industrial police, and media personnel in the Ashulia area have expressed their desire for all closed garment factories in Ashulia to resume operations. Workers have assured that if the factories are reopened, they will work diligently. As a result, all closed factories in Ashulia will be reopened on November 15. Additionally, three garment factories in Kashimpur and Konabari areas have already been reopened. Consequently, normal production activities are taking place in all factories in those areas.

BGMEA President Faruque Hassan requested law enforcement agencies to ensure the security of all types of industrial establishments, including garment factories. He urged them to take strict measures for the safety of their properties. However, he emphasized the importance of working cautiously to prevent any worker, employee, or owner from falling victim to any fraud or deception in the process.

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She also urged the demonstrating workers to rejoin their respective factories.

Of the new wages, 63% of it will be basic pay, while the new minimum wage will be effective from January, with their December wages.

The new minimum wage surpasses the previous entry-level RMG workers’ wages of Tk8,000 that was set in 2018.

Earlier on the day, the RMG factory owners hiked their wage proposal to Tk12,500 from the previous Tk10,400 per month during the sixth meeting of the Minimum Wages Board.

However, the workers’ representative persisted in their previous demand, Tk20,393.

However, both parties agreed to set 63% as the basic wage, up from the existing structure and lowered the grade to 5 from 7.

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