Victim workers seek HC ruling against India company Marico Bangladesh

Staff Reporter:
Nineteen former employees of Marico Bangladesh Limited (MBL) have filed a case with Dhaka labor court alleging that the company had not constituted a provident fund and workers welfare fund for them from the fiscal year 2006-07 to the fiscal year 2012-13.
While the case was ongoing, Marico Bangladesh Limited filed a writ petition number with the Bangladesh High Court challenging the case.
Being the respondents , the 19 employees filed an application with in the High Court on 14 May 2025, raising a claim of Tk 1822.98 crore under sections 234 and 240(3) of the Labor Act.
In the application, Marico Bangladesh Limited has applied for a court ruling to block the money from being sent to Marico Limited, the Indian parent company of Marico Bangladesh Limited, until the ongoing case with the workers is settled, that means to prevent the money from being sent to India.
It is worth noting that although the formation of provident fund  and workers welfare fund is mandatory according to Section 234 of the Bangladesh Labor Act, Marico Bangladesh Limited refrained from forming these funds from the fiscal year 2006-07 to the fiscal year 2012-13, violating the law.
Later, the company started forming these funds regularly from the fiscal year 2013-14. Marico Bangladesh Limited started its business operations in Bangladesh in 1999, and currently the company’s notable products include Parachute Coconut Oil, Parachute Belly Flower, Parachute Extra Care, Parachute Natural Shampoo, Saffola Edible Oil, Parachute Just for Baby and others.
Initially, Kallol Traders Limited, an associate company of Kallol Group, was responsible for serving their products. Later on December 4, 2003, Marico Bangladesh Limited (MBL), a joint venture of Marico Limited, India and Adil & Associates, LLC (AA), expanded their business scope. Marico Bangladesh Limited, Marico Industries Limited and Kaya Skin Care Limited have been operating in Bangladesh as various subsidiaries of Marico.
Marico Limited, India, owns 90% of the shares of Marico Bangladesh Limited and has remitted about Tk 3200 crore in profit in the last 16 years, out of which Tk 419.29 crore has been declared eligible for remittance. In the financial year 2024-25 alone, Tk 1077.64 crore has been declared eligible for remittance, which is about 34 percent of the total remittance amount in the 16 years. In this situation, the petitioners have applied to the High Court to not remit any more money abroad until the case is settled and the dues of the former workers are paid.
The petitioners in the case said that the workers involved in the case are concerned about the move to transfer a huge amount of money abroad, depriving the workers of their fair dues and they are hopeful that they will get justice from the High Court to recover the money they have claimed.