As Eid-ul-Fitr approaches, uncertainty looms over the payment of wages and bonuses for readymade garment (RMG) workers in approximately 200 factories, according to the Industrial Police. This year, the situation is particularly complex, with manufacturers required to pay February wages, Eid bonuses, and half of March wages by Ramadan 20, which falls on 21st March. The remaining March wages are due by 7th April, right after the Eid holidays.
Hashibul Alam, additional Deputy Inspector General (operation and crime) of the Industrial Police, stated that a preliminary list of factories at risk of delayed payments has been compiled. “The number of factories may vary in the final list, but currently, about 200 are at risk of not paying their workers on time,” he said. These factories are located in eight major industrial hubs and export processing zones.
The Ministry of Labour and Employment has directed factory owners to settle all outstanding wages, bonuses, and dues by Ramadan 20 during a tripartite consultative council meeting held on 12th March. They have also encouraged entrepreneurs to pay at least 15 days’ wages for March, depending on their financial capacity.
According to Industrial Police data, among the risky factories, 128 are members of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), 16 are affiliated with the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), and four are part of the Bangladesh Textile Mills Association. Additionally, nine factories fall under the Bangladesh Export Processing Zones Authority, while the rest are unregistered.
As of Sunday, only six of the 2,107 active factories in the country were closed, three due to layoffs, two on general holiday, and one operating under a no work, no pay guideline under the Bangladesh Labour Act. Notably, 124 BGMEA factories had not paid their February wages, and five factories were still outstanding on January wages.
Mohammad Hatem, president of the BKMEA, expressed concerns about the mounting pressure on businesses, urging the Government to clear a Taka 7,000 crore debt in export subsidies or cash incentives. “Banks are not assisting us. If we receive that money, we will be able to pay the wages,” he stated. Hatem acknowledged that the BKMEA had 16-17 risky members and that they were closely monitoring these factories.
Khairul Mamun Mintu, organising secretary of the Garment Workers’ Trade Union Centre, called for Government action regarding the risky factories. “The Government and manufacturers must work together sincerely, as the situation is more complex this year. Factory owners must pay February wages, half of March, and bonuses by this month, with the rest of March due by 7th April,” he emphasised.
