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Garment owners and labour leaders have locked horns over whether the enhanced annual wage increment for workers in the country's readymade garment (RMG) sector will continue beyond 2025.
According to labour leaders, workers are entitled to a 9.0-per-cent annual increment, which includes an additional 4.0 per cent agreed upon last year, until the government revises the rate.
Industry leaders, however, claim the 9.0-per-cent increment applies only for 2025 - introduced as a one-off measure to resolve last year's labour unrest.
Garment workers are scheduled to receive their next annual increment in January, which, according to labour leaders, should be 9.0 per cent, while factory owners insist it will revert to 5.0 per cent.
Earlier, on December 9, 2024, representatives of owners and workers, in the presence of government officials, agreed to raise the annual increment for garment workers by 4.0 per cent to 9.0 per cent in total.
Subsequently, in January this year, the labour ministry issued a gazette notification announcing the 9.0-per cent annual increment effective from January 2025.
The notification stated, "This wage increase will continue until the government re-evaluates or the Minimum Wage Board announces the next minimum wage rate."
The government had raised the annual increment rate by 4.0 per cent from 5.0 per cent following a wave of labour unrest in the apparel sector.
When contacted, Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), said the 9.0-per cent annual increment was applicable only for 2025.
His remark sparked debate with labour leaders at a programme held on Sunday at a city hotel.
Babul Akhter, general secretary of IndustriALL Bangladesh Council, rejected the BKMEA president's statement, saying it was not correct.
He noted that during the negotiations, workers had demanded a 10 per cent annual increment, while owners proposed 8.0 per cent. Both sides eventually agreed on 9.0 per cent in the presence of government representatives.
Citing the labour ministry gazette, he said workers are entitled to the 9.0-per cent annual increment until the next review by the government or the wage board.
In 2023, the government fixed Tk 12,500 as the minimum monthly wage for entry-level garment workers, with a 5.0-per cent annual increment, replacing the previous minimum wage of Tk 8,000 set in 2018.
Echoing the BKMEA position, Bangladesh Employers' Federation (BEF) president Fazlee Shamim Ehsan said the gazette mentioned that the revised minimum wage would continue until further review, but it did not specify the duration of the 9.0-per cent increment.
He added that the 4.0-per-cent increase was agreed upon considering high inflation at the time, which has since eased. "A 9.0-per cent annual increment is not justifiable for a single sector," he said, warning that such a rise could threaten employment and sustainability.
Citing the decline in exports, Mr Ehsan said the BEF might request BGMEA and BKMEA to inform their members to revert to the 5.0-per-cent increment rate from next year.
A recent survey by Awaj Foundation found that 13 per cent of garment workers reported not receiving the enhanced annual increment, while 65 per cent said it had been implemented. Another 22 per cent were unsure about its implementation.
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