BD garment workers reject 56pc pay rise

08 Nov, 2023

DHAKA: Bangladesh raised the minimum monthly pay for the country’s four million garment workers by 56.25 percent on Tuesday, a decision immediately rejected by unions seeking a near-tripling of the figure.

The South Asian country’s 3,500 garment factories account for around 85 percent of its $55 billion in annual exports, supplying many of the world’s top fashion names including Levi’s, Zara and H&M.

But conditions are dire for many of the sector’s four million workers, the vast majority of whom are women whose monthly pay starts at 8,300 taka ($75).

Workers have gone on strike to demand a near-tripling of their wages, with violent scenes in recent days, while employers offered 25 percent.

The minimum wage is fixed by a state-appointed board that includes representatives from the manufacturers, unions and wage experts.

“The new minimum monthly wage for garment factory workers has been fixed at 12,500 taka ($113),” Raisha Afroz, the board secretary, told AFP.

The figure was immediately rejected by unions, which have been demanding a 23,000 taka minimum.

Unions say their members have been hard hit by persistent inflation, which in October reached nearly 10 percent, and a cost of living crisis partly triggered by the taka depreciating about 30 percent against the US dollar since early last year.

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