Workers propose 15pc annual pay hike

The worker representatives proposed an annual increment of 15 per cent instead of the existing 5 per cent pay hike until the minimum wages are re-fixed in the readymade garment sector. However, the owners have not yet forwarded any proposals related to it to the labour ministry in the past two weeks, resulting in uncertainty over resolving the workers’ annual pay hike on time in the event of high inflation in the country.

Non-stop labour unrest hit Gaziour and Savar, outskirts of Dhaka, for various demands including wage hikes, following the changed political situations in July-August. Later, labour leaders and apparel factory owners reached a negotiation on 18 issues in September. Worker wages will be reevaluated in six months, as well as reports on annual pay hikes will be submitted to the government within November. The labour ministry also formed a committee consisting of three representatives each from workers and factory owners to set the next course of action.

According to sources concerned, the worker representatives proposed an annual increment of 15 per cent until the minimum wages are re-fixed at the second meeting of the committee at the labour ministry on 4 November with additional secretary Sabur Hossain in the chair. At the meeting, factory owners are requested to consider high inflation and place specific proposals on annual wage hikes for workers by 19 November. The third meeting was scheduled for 20 November, but it was postponed since the owners forwarded no proposals. The meeting will be held on Sunday, 24 November.

Currently, the minimum wage of the workers is Tk 12,500 for the readymade garment, which has been in effect since 1 December 2024.

For an annual rise of 15 per cent in wages until the minimum wages are re-fixed, worker representatives reasoned that workers’ wages are not historically consistent with the necessities of leading a decent living. Discrimination arises because of unsuitable wages to maintain the least livelihood, and inadequate wage is a major reason behind the unrest.

Bangladesh Jatiyatabadi Sramik Dal central committee youth affairs secretary Mohammad Khorshed Alam, Bangladesh Garments and Industrial Workers Federation general secretary Babul Akhtar and Bangladesh Sramik Kallayn Federation central vice president Kabir Ahmed represent the workers in the committee.

The workers’ proposal states inflation currently is close to 10 per cent yet wage increases by 5 per cent. Workers’ real income and purchasing power decline regularly because of high inflation, as well as the growth of workers’ actual income decreased by 4.72 per cent.

Regarding this, Babul Akhtar told Prothom Alo, “We are working on re-fixing the minimum wage of the RMG workers and we will place a proposal to the ministry’s committee on it soon.”

Factory owners finalised no proposals on annual wage hikes within the stipulated time. So, they requested the ministry to defer the third meeting.

Factory owners’ representative and RMG factory owners’ organisation Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) executive president Fazlee Shamim Ehsan told Prothom Alo, “We want to take a little more time to submit the proposal. That is why we requested to hold the meeting on 24 November.”

This report appeared in the print and online editions of Prothom Alo and has been rewritten in English by Hasanul Banna