Bangladesh announced the formation of a wage board on Sunday to review minimum wage standards for garment sector employees amid escalating labor demonstrations. The move came as thousands of workers continued protesting around Dhaka and surrounding industrial zones, with reports of confrontations between demonstrators and police involving tear gas and sound grenades.
Workers are seeking a minimum monthly wage of 30,000 taka, more than double the current 12,500 taka minimum. Labor representatives cited substantial increases in living expenses across food, housing, transportation, and healthcare as reasons for the wage demands. The newly established six-member board comprises representatives from government, workers, and factory owners and will be responsible for determining appropriate wage levels.
Government officials characterized the board’s formation as a resolution to the labor dispute. Ministry of Labour and Employment adviser M Sakhawat Hossain Chowdhury stated that workers should return to their posts. However, Labour and Employment Minister Ariful Haque Chowdhury cautioned that extended factory shutdowns and production disruptions could delay export shipments and payments from international customers, potentially creating additional hardship for both manufacturers and workers.
The labor actions began on Saturday and led approximately 30 garment factories in Dhaka’s outskirts to issue holiday notices. Police reported injuries sustained during clashes in Ashulia, including injuries to officers. The garment industry represents Bangladesh’s largest export sector after China’s apparel manufacturing, contributing roughly 10 percent of the nation’s gross domestic product and employing millions of workers. Industry representatives have highlighted challenges including elevated production costs, intermittent utility shortages, and energy market volatility stemming from regional geopolitical circumstances.
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