300 factories shut as RMG workers continue movement over wage

At least 300 garment factories in Mirpur, Ashulia, Chandra, Gazipur and some other areas have suspended operations due to the ongoing labour movement, demanding higher wages.

About 250 garment factories in Gazipur, Chandra, Kashimpur, Ashulia, Kaliakair, Shafipur, and Mirpur closed on Tuesday, with an additional 50-60 factories joining the closure list on Wednesday, according to BGMEA officials responsible for handling labour-related issues.

However, the exact number of factories that remained shut could not be confirmed yet.

In response to the unrest, factory owners have decided to adopt a "no work, no pay" policy, but some owners are concerned that the strategy may backfire.

The worker strife is unfolding against a backdrop of broader economic challenges, including export and import issues, declining demand, taka devaluation, and inflation.

Exporters have warned that if the labour unrest is not swiftly resolved, it could potentially impact Bangladesh's exports, given that the apparel industry accounted for nearly 85% of the country's total exports in FY23.

"All factories in Ashulia were shuttered on Wednesday, with workers clocking in using their time cards and then leaving," said AKM Shahid Reza, chairman of the Reza Group, which operates three apparel factories in Ashulia.

The Business Standard correspondent found that most garment factories in Ashulia remained shut on Wednesday, with some factory owners announcing a general holiday indefinitely, following intensifying unrest over the last three consecutive days.

A notice announcing an indefinite general holiday was seen hanging in front of the Fashionit Company Ltd factory on Wednesday. Notices announcing a general holiday for Wednesday were also seen hanging in front of some other factories, stating that the factories would reopen on Thursday.

"We have been protesting since 30 October for the minimum wage hike. The factories were open on Sunday and Monday. However, when we came to rejoin work today [Wednesday], the authorities asked us to leave," said Manjurul Huq, a worker for Naba Knit Composite Ltd.

Factory authorities also informed Manjurul that the factory will remain closed until the situation normalises.

Additional members of the police were deployed in front of some of the factories.

The overall situation in Ashulia remained calm yesterday, with only a few scattered incidents of workers attempting to hold processions and block roads at five to six points in Jamgora, Nischintapur, and nearby areas. Industrial police quickly dispersed them.

"The situation is normal today [Wednesday] except for a few scattered incidents," an industrial police official, unwilling to be named, told TBS.

Superintendent of Industrial Police 1 Mohammad Sarwar Alam said, "The situation in Ashulia remained a lot calmer On Wednesday than what it was on Tuesday. Some factories remained open, while most factories located along the road remained closed."

No work No pay: Owners

Apparel exporters announced that they will follow Section 13/1 of the labour law, which is the "No work, no pay" rule, against any workers involved in unrest or who are unwilling to do their jobs.

Bangladesh Garment Manufacturers and Exporters Association (BGMEA) President Faruque Hassan made this announcement at an emergency general meeting at its headquarters in Dhaka's Uttara on Wednesday. Nearly 200 factory owners gathered at the Uttara office to express their concerns.

Section 13/1 of the labour law entails that an employer may, in the event of an illegal strike in any section or department of any establishment, close down either wholly or partly such section or establishment.

Hameem Group Managing Director AK Azad said the closure decision should be implemented on an area basis. Factories in areas where unrest and vandalisation occur should be declared closed.

Many entrepreneurs agreed with AK Azad, one of them, BGMEA Vice-President Arshad Jamal said, "The 'no work, no pay' approach will be followed for the days on which factories will remain closed due to the labour unrest. Everyone needs to agree on this."

Take action against those involved in the unrest: Owners

BGMEA President Faruque Hassan said, "In the last few days, we have talked to more than 100 labour federation leaders. All of them said that they were not involved in vandalism. So, who is doing this?"

"People involved in the ongoing unrest in the RMG sector should be arrested immediately," he said.

"We have already contacted the National Security Intelligence (NSI), the Directorate General of Forces Intelligence (DGFI) and other government agencies to take action against those who are fuelling the unrest from behind the scenes," he said. 

Faruque also requested all law enforcement agencies to take appropriate measures to ensure the security of apparel factories and their employees.

Abdus Salam, former deputy inspector general of industrial police, said there is a lack of coordination in resolving the issues brought on by the workers. "If workers take to the streets, it is very difficult to bring them back to the factory," Salam added.

Outsiders are taking advantage, say leaders 

Former BGMEA president Shafiul Islam Mohiuddin said that the wage board is formed every five years and that some local and foreign groups are trying to take advantage of the fact that it is being formed before the elections.

He said the ongoing unrest could cause many garment owners to lose their businesses and default on their loans.

BGMEA Senior Vice-President SM Mannan Kochi alleged that outsiders are involved in burning and vandalising factories.

Hameem Group Managing Director AK Azad said, "We have handed over some video footage to law enforcement agencies which shows some of his employees were attacked inside the factory, but no action has been taken yet." 

He said four of his factories in Ashulia were closed, and it is very difficult to continue operations during this unrest.

In the meeting, BGMEA leaders and factory owners urged the government to ensure security and safety for the employees and the factories.

RMG leaders meet home boss, request security

BGMEA leaders had called upon Home Minister Asaduzzaman Kamal at his office in Dhaka yesterday to inform him about the RMG situation and to seek the safety and security of the workers and factories.

Speaking to The Business Standard, former president of the BGMEA Shafiul Islam Mohiuddin said, "We asked the government to protect the lives of our workers and our factories. This rampant destruction should not happen anymore."

During the ongoing protests by RMG workers seeking a hike in minimum wages, two workers lost their lives and many factories were damaged. 

The protest entered its ninth day on Wednesday. Thousands of garment workers have been protesting at major RMG industrial zones since 23 October, demanding Tk23,000 as the monthly minimum wage. Currently, their minimum wage is Tk8,000.