Home / Knowledge / News / Textiles / BIDS for higher wages for garment workers
BIDS for higher wages for garment workers
10
Nov '15
Bangladesh garment workers' real wages have increased but there is scope for a further increase as competitiveness of the $27 billion export-earning sector has not eroded due to a wage spike in 2013, according to a study by Bangladesh Institute of Development Studies (BIDS), a newspaper has reported.

The study calls for participation of global buyers and retailers to improve working conditions so that workers can make a decent living, saying that buyers and retailers take 75-88 per cent margins over the retail prices of an apparel item.

“They cannot avoid their responsibility of sharing part of the cost of social upgrading," said Nazneen Ahmed, senior research fellow of BIDS, who presented the study at a programme -- BIDS Research Almanac 2014-15 in Dhaka. Dev Nathan of New Delhi-based Institute for Human Development co-authored the report.

According to the study, the minimum real wages of garment workers rose 37 per cent in 2013, helping to improve their economic and working conditions.

Citing the fears of entrepreneurs that wages would affect competitiveness, she said the reality is different: an increase in wages and an improvement in working conditions have not resulted in the loss of international competitiveness of Bangladeshi garment manufacturers.

The unit value of garment exports rose 16.86 per cent over the two-decade period of 1990-2009, benefiting entrepreneurs, said Nazneen. The rate was higher than in India, China and Vietnam.

But even after the increases in wages, Bangladesh's minimum wage is less than that in competing countries. Bangladesh's minimum wage of $68 a month is lower than the $80 in Cambodia, $71 in India, $79 in Pakistan and $78 in Vietnam.

Despite improvements in economic and working conditions, she said: "These progresses still do not amount to what the ILO terms 'Decent Work', and the minimum wage in Bangladesh is not yet a living, family wage."

The 2006 price data of some garments showed that the living wage as a percentage of retail was as low as 0.3 per cent to as high as 3 per cent. The living wage was taken at Tk 5,000, ($63) as against the then-existing minimum wage of Tk 1,662 ($21) in 2006, she said.

Speaking at the same function, Planning Minister A H M Mustafa Kamal said that many government and semi-government entities are in the habit of evading taxes, another newspaper reported.

“Instead of paying taxes, some government institutions are filing cases in court when the National Board of Revenue (NBR) asks them to cough up the amount,” he said. The Minister added that such acts are hindering overall development of the country.


Must ReadView All

Textiles | On 23rd Jun 2017

Textile ministry organises training workshop on GST

The ministry of textiles had organised training workshop on GST which ...

Apparel/Garments | On 23rd Jun 2017

Uware Brands into licensing agreement with Polaroid

Uware Brands has entered into a licensing agreement with Polaroid for ...

Textiles | On 23rd Jun 2017

Ralph Lauren ex-president Tiger of Sweden's new CEO

Hans-Christian Meyer, former president of Ralph Lauren Corporation,...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Sunil Kumar Sharma
Loknayak JPNSSSG Ltd

'The blend of cotton–linen yarn has high demand in the domestic and...

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search