Bangladesh: Garment workers reject government's 56% pay rise

Bangladesh on Tuesday raised the minimum monthly wage for garment workers by 56.25 per cent, a move that immediately invited resistance by unions seeking a near-tripling of the figure.

The country has about 3,500 garment factories that account for 85 per cent of its $55 billion in annual exports which supply products to many of the world’s top fashion retailers including Levi’s, Zara and H&M.

But conditions are dire for many of the sector’s four million workers, the vast majority of whom are women whose monthly pay starts at 8,300 taka ($75).

Workers have gone on strike to demand a near-tripling of their wages, with violent scenes in recent days, while employers offered 25 percent.

The minimum wage is set by a government-appointed board which includes representatives from the manufacturers, unions and wage experts.

“The new minimum monthly wage for garment factory workers has been fixed at 12,500 taka ($113),” Raisha Afroz, the board secretary, told AFP.

The government’s offer was rejected by unions who say they have been affected by inflation and a cost of living crisis triggered by the taka depreciating about 30 percent against the US dollar since early last year.

“This is unacceptable. This is below our expectations,” said Kalpona Akter, head of the Bangladesh Garment and Industrial Workers Federation.

The Southeast Asian nation has been witnessing intense protests by workers prompting police officials to fire tear gas on demonstrators last week.

Police said around 600 factories that make clothing for many major Western brands were shuttered last week and scores were ransacked as the worst wage protest in a decade hit major industrial areas and a suburb of the capital.

Four factories were torched and at least two workers were killed in the violence, with tens of thousands of workers blocking highways and attacking factories.

The protests have coincided with separate violent demonstrations by opposition parties demanding the resignation of Prime Minister Sheikh Hasina ahead of elections due in January.

With inputs from AFP