Bidi workers’ protest to stall tax increase orchestrated by factory owners: Study

Bangladesh

TBS Report
12 March, 2022, 10:10 pm
Last modified: 12 March, 2022, 10:18 pm
The study reveals that associates of factory owners, some marketing officers and agents of the companies work as organisers of such protests

The protests staged ahead of the declaration of the national budget each year by bidi workers over any tax increase on bidis are not spontaneous, rather staged by factory owners, according to a study.

Research and advocacy organisation Progga (Knowledge for Progress) unveils this finding in its study titled "Understanding the Reasons behind Bidi Workers' Protests in Bangladesh: A Qualitative Investigation" conducted in 2021 in the districts of Lalmonirhat, Rangpur, Pabna and Kushtia, read a press release.

These districts were selected considering the concentration of bidi factories, and the frequency and the intensity of bidi workers' protests. A total of 92 participants comprising bidi workers, labour leaders, representatives of local civil society organisations were purposively selected for the study. 

The findings of the study were unveiled on Saturday during an event at the Cirdap International Conference Centre, Dhaka. The study was conducted with support from Campaign for Tobacco-Free Kids.

The study reveals that associates of factory owners, some marketing officers and agents of the companies work as organisers of such protests. Although there are no welfare organisations for bidi workers, some so-called labour leaders, along with company people, are the ones who speak in the human chains and protest gatherings.

The only task assigned to bidi workers is to stand mutely behind them. To draw the attention of the government, factory owners bring workers to Dhaka from different parts of the country. During such trips, factory owners pay conveyance, food and other expenses. Poor bidi workers are unable to bear the costs of such protests.

According to the study, Akiz Bidi Company is the de facto leader of such protests. The intensity of the protests is particularly high in places where there are Akiz bidi factories. Besides, the owners of Aziz Bidi and Maya bidi in Rangpur and Bangla Bidi in Pabna took the workers to the movement. 

Small bidi factory owners and their agents also feel pressurised to take part in such protests to protect their business. They also say the government wants to shut down the bidi industry. Factory owners also coerce workers, threatening to revoke the workers' cards or to shut down factories if the workers do not participate in protests. 

Another shocking revelation of the study is that the companies are the ultimate beneficiaries of bidi workers' protests. For example, due to protests from bidi factory owners and workers, in 2019, the NBR revoked additional taxes on bidi. As a result, bidi factory owners got a Tk28 increase in profit per 1,000 sticks. However, bidi workers only saw a meagre Tk6 increase in their wages per 1,000 sticks. 

The study makes several recommendations which include imposing higher taxes on bidis to discourage consumption of bidis among the most vulnerable populations; utilising revenues collected from increasing bidi taxes for the rehabilitation of bidi workers and supporting alternative livelihoods for them.

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