BGMEA moves to form RSC to take over Accord operations

BGMEA has started a move to set up a special purpose company namely 'RMG Sustainability Council (RSC)' aiming to take over Accord activities after the expiry of its tenure, sources said.

The aim of the formation of the company is also to oversee the issues related to workplace safety, labour standards and others, they added.

To this end, they said, Bangladesh Garment Manufacturers and Exporters Association (BGMEA) is processing the memorandum of association and article of association while it will apply for registration to the authority concerned to form the special purpose company early next month.

When asked, BGMEA president Dr Rubana Huq said the company will be formed by the end of August.

The private sector-led multi-stakeholder sustainability platform-RSC-will have representatives from government, labours, brands, BGMEA and BKMEA (Bangladesh Knitwear Manufacturers and Exporters Association).

The RSC will be operating under the legal framework of the Bangladesh government and in close cooperation with the commerce ministry while collaborating with the labour and employment ministry and Department of Inspection for Factories and Establishment (DIFE), Ms Huq added.

"The overarching objective of RSC is to create an independent national compliance and safety monitoring regime for the ready-made garment industry,' she said.

It has been agreed in principle that the commerce minister would be the chair of the proposed RSC, competent sources said.

It will ensure smooth transition of Accord so that it can take over the structure, operations and resources of Accord as it phases out from the country, they added.

The RSC will be working on three specific areas such as workplace safety, labour standard, and environmental sustainability that included monitoring and evaluation of safety standard, CAP completion, skills development, productivity, research, social dialogue, awareness raising, health related issues, benefit and compensation, management of chemical, water and waste, they said.

The RSC might have the authority to collect funds from government, non-government, foreign or local, buyers, and commercial or non-commercial entities and to run its activities, they also added.

The Accord, a platform of more than 200 global apparel brands, retailers and rights groups based mostly in Europe, was formed immediately after the Rana Plaza building collapse to improve the workplace safety in the country's apparel industry for five years that ended in May last year.

The government allowed a six-month extension until November 30 last while the platform wants to stay for some more time.

The Supreme Court in May this year allowed Accord to continue its activities for 281 days after Accord and BGMEA signed a memorandum of understanding in this regard.

According to it, the proposed RSC would be set up during this time and will inherit both the Accord's staff and infrastructure after the expiry of its tenure.

The 'Alliance', another platform, folded its operations in the garment sector here as its transitional period ended on December 31.

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