RMG factories free to shut after monitoring situation today.
Garment workers from several factories block the Dhaka-Narayanganj Link Road near Chashara in Narayanganj on Monday, demanding a minimum monthly wage of Tk30,000. Photo: TBS/File
Garment manufacturers have backed away from their decision to keep factories in labour unrest-hit areas closed indefinitely, opting instead to keep them open today and monitor the situation following a government request.
If violence continues or workers refuse to resume production, factory owners will be free to decide individually whether to shut their units indefinitely. The decision was taken at a meeting of leaders of the two major garment industry associations last night, sources said.
Infographics: TBS
Meanwhile, the newly formed wage board is scheduled to hold its first meeting today. Sources said the board may announce after the meeting a new minimum wage.
A BGMEA leader who attended the meeting told TBS that owners had initially decided to keep factories in areas affected by labour unrest closed indefinitely. However, they later agreed to keep them open on Wednesday following the government’s advice.
“The wage board may meet on Wednesday. After the meeting, it may signal that the new wage will be announced by December,” he said. He expressed hope that this would help calm the situation.
“If that does not happen, factory owners will be free to decide individually whether to close their factories indefinitely,” he added.
Mijanur Rahman, BGMEA vice-president, told TBS, “There was a proposal to keep factories open on Wednesday, so they will remain open. However, if unrest continues or workers refuse to return to work, the owners of the affected factories will be allowed to shut them under Section 13(1) of the Labour Act.”
Under Section 13(1), factory owners can suspend operations indefinitely in cases of unrest or similar circumstances. Workers are not entitled to wages for the period of closure.
He said he had heard that the wage board was scheduled to meet on Wednesday, adding that the meeting might produce some indication of the next steps.
Meanwhile, labour leaders appointed to the wage board have said they will work towards announcing a new minimum wage for workers by December.
Earlier, at a meeting of senior leaders of the BGMEA factory owners decided to keep factories in labour unrest-hit areas closed indefinitely if production cannot be maintained.
The move comes as labour unrest, which began around two weeks ago over demands for higher wages, has intensified since the beginning of this week.
Although the government formed a new wage board on Sunday to review workers’ pay, protests continued and spread to more industrial areas on Monday.
Factory owners, government officials and representatives of law enforcement agencies have been holding a series of meetings to address the situation. At a meeting with factory owners on Monday, the home minister urged them to keep their industrial units operational.
Unrest continues
Labour unrest continued across several industrial areas yesterday, with workers clashing with police and blockading roads in Mirpur, Gazipur, Ashulia and Hemayetpur, and Narayanganj.
More than 300 factories in Mirpur, Gazipur, Mymensingh, and Ashulia and Zirabo areas declared holidays as 6.95 lakh workers left their workplaces, according to BGMEA data.
In Mirpur, clashes between protesters and police forced the temporary suspension of metro rail services at Mirpur-10 station in the morning. A police constable was also severely beaten by protesting garment workers after he became separated from his colleagues.
In Ashulia, workers and police engaged in repeated chases and counter-chases throughout the morning. Police fired tear gas shells to disperse protesters, who attempted to block roads by setting fires at several points.
In Savar’s Hemayetpur, workers blocked the Dhaka-Aricha Highway for two hours. Demonstrations and attempts to block roads were also reported at several points in Gazipur.
In the afternoon, a large group of workers clashed with police after blocking the Dhaka-Narayanganj Link Road for around two hours.
Authorities stepped up security, deploying additional police and Border Guard Bangladesh personnel in industrial areas and intensifying surveillance to prevent further escalation.
The Dhaka Metropolitan Police arrested 33 members of the banned Awami League and its affiliated organisations over the past 24 hours on suspicion of involvement in sabotage.
They had posed as garment workers amid the ongoing labour unrest, said Additional Deputy Commissioner Niaz Mehedi of the DMP’s Media and Public Relations Division.
Operations becoming unsustainable
Factory owners said most of the factories that could not operate on Monday also remained closed on Tuesday. Mijanur Rahman said three of his six factories were unable to maintain production.
“If this continues, it will not be possible to keep factories open for long, with workers sitting idle while owners continue paying their wages,” he said.
He said that although the government had urged factory owners to keep their units operational and law enforcement agencies were trying to restore normalcy, the situation had not improved. Rather, it deteriorated further on Tuesday.
“Rather than dying a slow death, it is better to die once and for all,” he said, describing the mounting pressure on factory owners.
Narayanganj, where factories had largely remained operational during the initial phase of the unrest, was also affected on Tuesday.
Fazlee Shamim Ehsan said 25-30 factories, mostly large units employing around one lakh workers, had been forced to suspend production after workers took to the streets.
Buyers cut orders amid delivery concerns
Industry sources said representatives of several international brands had contacted suppliers for updates. A representative of a major European buyer has also met law enforcement officials to assess the situation.
Some buyers are reportedly cutting orders by 10-15% from their initial commitments, while others are seeking assurances about how long the disruptions might continue.
On Monday, a representative of one of Bangladesh’s five largest apparel buyers asked an exporter whether the situation was getting out of control and what the government was doing to address it.
Shovon Islam said some buyers were confirming orders up to 20% below their initial commitments. “They may shift these orders to other countries,” he said.
A senior official at the Dhaka office of another European brand said the company would reduce its planned orders for the next two months.
Source: The Business Standard
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