DHAKA, April 24, 2019 (BSS) – Bangladesh Garment Manufacturers and Exporters Association (BGMEA) today opposed the statement of Transparency International Bangladesh (TIB) which was made at a press conference on 23 April 20149, just on the eve of the 6th anniversary of Rana Plaza tragedy.
“The statement of not adjusting 5 percent annual automatic increment with the basics of the new wage structure is not found true. Whereas the accumulated impact of 5 percent automatic annual increments yields an aggregated 27.63 percent increment to the basics in all grades over 5 years, the actual increase by the minimum wage board was made at rates ranging from 28.7 percent to 36.7 percent,” a BGMEA press release said.
“We would appreciate if TIB clarifies the methodology of their calculation,” the release added.
Referring to the time-bound production target and production efficiency as a continuous process, BGMEA said it is not fixed on month-wise basis.
“We have to bear in mind that we are operating in a global market place where economic competitiveness matters most. Whereas China, Vietnam and Turkey’s efficiency are 65 percent, 55 percent and 70 percent respectively, we are at 40 percent to 45 percent only,” the trade body added.
To the best of their knowledge, BGMEA said, there was no correlation with the increase in minimum wage and efficiency as considered by the Minimum Wage Board.
“However, for future reference to sustain competitiveness of this industry wages should always be linked to skills. BGMEA will strongly recommend wage – skill matrix so that the workers get paid according to their skills,” BGMEA added.
Referring to the time that workers take to use toilets during working hours, BGMEA said, this is not appreciated and also random references to workers working overtime without additional payment is also not properly substantiated by TIB.
“Similarly, the issue of unpaid or unmet compensation is not substantiated and detailed data is sought from TIB on these matters,” BGMEA added.
BGMEA said in the light of the misinterpretation and misrepresentation of the facts BGMEA could formally like to sit and collaborate with TIB to assess the actual situation based on a substantial sample size.
“Publication of such reports at a time sensitive point, just a day before Rana Plaza anniversary, is not appreciated,” BGMEA added.
BGMEA informed that “Ours is an industry where the exports alone are over US$ 30 billion; striking improvements in safety and workers’ rights have occurred over the past years. To condemn the whole industry based on a study with a sample size of 80 respondents is indeed unjust.”