DHAKA: Bangladesh raised the minimum monthly pay for the country’s four million garment workers by 56.25 percent on Tuesday, a decision immediately rejected by unions seeking a near-tripling of the figure.
The South Asian country’s 3,500 garment factories account for around 85 percent of its $55 billion in annual exports, supplying many of the world’s top fashion names 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 fixed by a state-appointed board that 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 figure was immediately rejected by unions, which have been demanding a 23,000 taka minimum.
Unions say their members have been hard hit by persistent inflation, which in October reached nearly 10 percent, and a cost of living crisis partly triggered by the taka depreciating about 30 percent against the US dollar since early last year.
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