Execution of minimum wages in garment sector will ease unrest

03 Jun '08

1 min read

All textile mill owners will be under strict watch by the Government from August 1, and action will be taken against those who do fail to provide minimum wages to the workers. Government's committee on Social Compliance for Ready-made Garments (RMG), made this decision on June 2.

The apparel sector of the nation plays a vital role in the economy of Bangladesh as it is a major foreign currency earner for the country. During last fiscal from (July 2006 to June 2007), the nation exported garments worth approximately US $9.27 billion. This accounts for nearly 70 percent of the total export earnings, which were nearly 12.18 billion.

The Government is taking measures in support of the workers because if they decide to go on a strike, the entire industry will suffer heavy losses, that in turn will affect the nation's economy.

This step is taken after months of turbulence that the sector has faced that includes shut downs and protests made by mill workers.

Now the minimum wage that is been set by the decision makers is, 1662.50 taka per month. Industry insiders suggest that, this resolution will surely see a smooth working of garment industry for quite some time.

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