BGMEA urges US brands to pay more for apparel products
Staff Reporter :
Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has urged US clothing retailers and brands to pay higher prices for Bangladesh made apparel products as the local manufacturers will implement a higher wage to the workers from December 1.
Faruque Hassan, President of the BGMEA, made the request in a letter to the American Apparel & Footwear Association (AAFA) President and Chief Executive Officer Stephen Lamar.
In the letter, Hassan said, “Ensuring decent living of the workers is also a top priority for us as well as for global brands and retailers. Since we have accepted the new minimum wage, we will ensure its implementation. We need your support in terms of responsible purchasing practice.”
The Minimum Wage Board has increased the minimum wage for garment workers to Tk 12,500 from Tk 8,000 now. It will come into effect from December 1 this year and workers will receive salaries under the new structure in January.
“To ensure uninterrupted and smoother operation in the industry, it is important that prices of all goods, which will be shipped from December 1, are duly adjusted or up-charged covering the increment in the wage component,” the BGMEA president added.
“Furthermore, from now onward, all business negotiations and deals will have to adhere to the new minimum wage policy,” Hassan said.
The BGMEA chief requested the AAFA to convince its members to collaborate with their Bangladeshi suppliers with due empathy and consideration.
“With every effort and action we take, we mean to complement our long-term goal, which is to grow mutually and sustainably,” he said.
He said the BGMEA is working with the government to ensure a more favourable business environment.
The BGMEA president, however, in another letter clarified the impact of the new wages for the RMG workers and claimed that the garment workers are unfoundedly better than any other sectors.
He said that the factory owners provide various non-wage benefits like food and groceries at subsidized price, transport facilities, schools for children and day care centres to the workers to make their lives easier and comfortable.
“Besides, the average age of RMG workers is around 23-24 years. The minimum wage Tk 12,500 is applicable for the unskilled worker and they will be able to earn Tk 17,744-Tk21,094 per month by working overtime two to three hours per day, which should be enough considering their household profile,” Hassan said.
On the other hand, there are different types of factories within the industry. As a result, the large factories have the ability to pay higher, while the small and medium factories will be faced with more challenges, the BGMEA chief added.
He further said, “We must remember that the importance of the jobs created by this industry cannot be over-emphasized, and there is no alternative sector that can absorb such a huge amount of employment.”
“Therefore, the industry deserves more appreciation and attention, as much as we do care for our workers, so that we don’t make the equation one-sided and imbalanced,” he added.
