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Dhaka yet to take call on EU proposal for jobless workers
07 Sep '20
2 min read
Pic: Shutterstock
Bangladesh has failed to arrive at a decision on a European Union (EU) proposal to offer incentives for jobless garment factory workers in the country three months after receiving it because of unavailability of a list of laid-off workers, a proper work plan, ambiguity over criteria for jobless workers and a consensus among the factory owners.
The government’s economic relations division (ERD) and the owners say they are mulling over sitting with officials of the EU embassy in Dhaka soon to determine who will get the incentives and how.
After Bangladeshi exporters approached the EU with a request not to cancel orders and force the buyers to purchase products, the latter proposed the incentive plan for jobless workers following several rounds of discussions.
The bloc wanted to give a total of €117 million, including a €20-million contribution from Germany, a news agency reported quoting an official at the ERD’ European division. Discussions were held as to who will get the help and how much, he said.
Readymade garments sector entrepreneurs say the proposal got stuck due to complexities, primarily over definition of jobless workers and determining the number of such workers.
The EU money could be used to help the workers of the factories that want an exit route due to a financial crunch, according to the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
BGMEA president Rubana Haq said the EU incentives will come in handy if the authorities use the money for food, medicine or hospital for the workers instead of supplementing pay. If the complexities persist, the entrepreneurs will make this proposal to the EU, she added.
The government’s economic relations division (ERD) and the owners say they are mulling over sitting with officials of the EU embassy in Dhaka soon to determine who will get the incentives and how.
After Bangladeshi exporters approached the EU with a request not to cancel orders and force the buyers to purchase products, the latter proposed the incentive plan for jobless workers following several rounds of discussions.
The bloc wanted to give a total of €117 million, including a €20-million contribution from Germany, a news agency reported quoting an official at the ERD’ European division. Discussions were held as to who will get the help and how much, he said.
Readymade garments sector entrepreneurs say the proposal got stuck due to complexities, primarily over definition of jobless workers and determining the number of such workers.
The EU money could be used to help the workers of the factories that want an exit route due to a financial crunch, according to the Bangladesh Garment Manufacturers and Exporters Association (BGMEA).
BGMEA president Rubana Haq said the EU incentives will come in handy if the authorities use the money for food, medicine or hospital for the workers instead of supplementing pay. If the complexities persist, the entrepreneurs will make this proposal to the EU, she added.
Fibre2Fashion News Desk (DS)
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