The present minimum wage in the country's readymade garment (RMG) sector is insufficient for workers to live a healthy life, according to experts.
They also said that the existing minimum salary of Tk8,000 was set five years ago, in 2018, and is no longer enough for RMG workers.
They were speaking at a seminar on "Securing Green Transition of the Textile and Readymade Garments Sector in Bangladesh" held by the Centre for Policy Debate (CPD) in partnership with the Swedish Embassy in Bangladesh on Tuesday in the capital.
At the event, Charles Whiteley, ambassador, and head of delegation of the EU to Bangladesh, said that it had been five years since the last wage revision in the garment sector, where the minimum pay was fixed at Tk8,000.
“By any stretch of the imagination, it isn't a very healthy way to live on that salary, particularly if you have children to feed,” he added.
Moreover, he stressed that companies and consumers share in the responsibility for addressing the issues faced by workers along with the government and called for real engagement and collaboration.
“So, the onus is not only on the government or the industry, it's also on brands and buyers and there are excellent examples of real engagement and partnership amongst brands,” he added.
Echoing the EU Ambassador, the Netherlands’ Charge D'Affaires in Bangladesh Thijs Woudstra, said that Bangladesh should move away from the “low wage trap” after graduating from the LDC status.
There are no alternatives to improving working conditions and wages, he added saying that a comprehensive reassessment of labour policies in the sector is needed.
Dr Shamsul Alam, State Minister of Planning, was present as chief guest while Ambassador of Sweden to Bangladesh Alexandra von Linde and BGMEA Vice-President Shahidullah Azim were guests of honour.
In his speech, Dr Shamsul Alam said that the five-year plan is the flagship program of the government.
The government is giving various incentives to industries.
He also suggested the manufacturers demand fair prices from the brands and buyers to accelerate the greening process in the RMG sector.
BGMEA should train their workers well regarding their rights, privileges, safety, health issues, and other facilities. On the other hand, the depreciation of the Dollar is helping the RMG industry of the country and they should sustain this growth, he added.
By enforcing, formulating regulations, directing and suggesting the government can assist the greening process, he added saying that they are emphasizing renewable energy.
He also said that green, sustainability, labour rights and related issues will be included in the ninth Five-Year Plan.
BGMEA Vice-President Shahidullah Azim said that the RMG industry has already made unparalleled advancements in the green transition, and they are considered a global model of green manufacturing hub.
“We want to continue this momentum toward excellence. The RMG industry is already under intense scrutiny, but to make it more comprehensive for the wider economy I think the approach should be to secure the green economy and get all stakeholders on board,” he added.
As an apex organization, BGMEA’s strategic vision for 2030 includes reducing 30% GHG emission, 50% use of sustainable raw materials, 50% reduction of groundwater usage, 100% use of ZDHC chemical usage, 30% reduction of energy usage, 20% use of renewable energy and 30% reduction of deforestation.
These targets have been fixed in accordance with the “Race to Zero” GHG emission, SDGs and National Priority Indicators of the Government of Bangladesh.
“We are now working with several development partners like GIZ, Charter for Climate Action, Green Button and others,” he added.
Sweden’s Ambassador to Bangladesh, Alexandra von Linde, and BGMEA members also spoke on the occasion.
Muntaseer Kamal, research fellow of the CPD presented the keynote at the event. In the keynote, he said that self-motivation and marketing strategies are the key forces behind the initiative of greening garment and textile factories in Bangladesh.
The study on securing a green transition of the textile and readymade garments sector in Bangladesh found that 69.70% of the factory owners transitioned on their own volition.
Moreover, 54.55% of the owners have taken green initiatives thanks to their marketing strategy while 39.39% made it for competitiveness in the market.
According to the study, conducted on 403 factories and 4,541 workers, 86.26% of respondents said that they are aware of green practices in the factories and it reduces health hazards and improves workers’ productivity.
The study also identified several significant sustainability areas, such as energy, water, air, and chemical and waste management, where firms are investing in upgrading the technology for sustainable and green practices.
Moreover, small and medium-sized and micro-sized factories have a greater reliance on grid electricity compared to large factories, 86.59%, 93.35%, and 65.12%, respectively.
In the last five years, large factories, small and medium factories, and micro-factories invested Tk78.07m (36.98% of total investment), Tk1.37m (44.84% of total investment), and Tk0.16m (53.99% of total investment), respectively.
Regarding challenges and barriers, the study said that the factories face challenges including regulations and policies, institutional barriers, factory-level barriers, and market-level barriers.
He told the journalists that the manufacturers were motivated by various factors rather than a single factor to establish green factories.
CPD Executive Director Dr Fahmida Khatun chaired the event.
