Problems of Bangladesh Garments Sector and their Solution
Abstract: The paper relates to the Bangladesh garments sector. Garments workers are badly exploited by the factory owners in collaboration with their foreign buyers resulting in a sub-human standard of life of workers. The occasional agitations for higher wages and better amenities for workers are alleged to be fanned up to violence by some interested quarters together with the privileged unorganized labour leaders and certain NGOs. The recent violence following the declaration of the Wage Structure 2010 is alleged to be backed by those interested in taking away this industry from Bangladesh. The paper highlights the major problems faced by the industry and suggests solution in the light of the teachings of Islam.      



I. Introduction
After the decline and fall of the jute industry just after liberation – (recent media reports show a hopeful prospect of this industry) – the garments industry now plays a vital role in the economy, starting about a decade or so after the emergence of Bangladesh. Like the jute growers and the jute industrial workers that were once the driving force of the Bangladesh economy, the same role is being played today by the garments industry and its workers, and they are the single largest number of industrial workers in the country. With the toil, sweat and untiring effort of the garments workers, this industry has achieved immense expansion. These workers join this industry with a hope of achieving social security and in search of livelihood. They usually come from the wretched families of rural Bangladesh. These rural families give their children very elementary education up to class one or two for making them eligible to work in the urban based garments industries. It has been shown in different research publications that about 96% of the male and 76% of the female workers are educated up to that level, but their attitude towards life is modern. Many young women want to avoid the curse of immature marriage and try to grow up as the mistress of their own life by working in this sector (Wasif, 2010, P.13). The enthusiasm of rural youths, both male and female, forms the huge industrial cheap labour force of this sector.       
Apart from cheap local labour and subsidized energy such as gas and electricity, the garments sector of the economy is almost 100% dependent on imported machineries and other raw materials such as cloths, threads, buttons, furnace oil etcetera, and is almost 100% dependant on foreign buyers of its commodities, such as knitwear and woven garments. The local cheap labour do the function of ‘value-added’ only and for that reason we may say that what we export as garments to the foreign market is only the local cheap labour, and the foreign buyers and investors are attracted to Bangladesh solely for this reason. Recently, since the wage rate of the workers of China are increasing, the Chinese industrialists are thinking of moving their investment to countries where labour is cheaper. Bangladesh may avail of this opportunity (Ittefaq Report on Economics, 5 June 2010, P.02). Bangladesh garments industry, like many other industries in the global economy, is highly sensitive to the ups and downs of the global market situation. Because of the nature of this particular industry, the economic lot of its labour class is also connected, ceteris paribus, with the prospect and prosperity of the global economy.       
As this is the single major sector of the Bangladesh economy employing a huge number of industrial workers, the well being of the workers should be of prime concern to the entrepreneurs of this sector and the government of the country for the lasting prosperity of the sector. It is neither a casual nor a seasonal industrial sector; its importance will prevail for a long time to come, since so long as civilization lasts people will wear clothing and import it. Bangladesh is still a strong competitor in the world apparels market with minor ups and downs. This paper discusses the various problems and prospects of this sector with special reference to the plight of the workers who are engaged in this very important modern sector of the Bangladesh economy.       
The article is arranged as follows: Section II deals with the principles of wage determination for the garments workers, Section III examines the newly declared wage structure 2010 for the garments workers. Section IV discusses the workers’ reaction to the new wage structure. Section V dwels with the owners’ reaction to the new wage structure, while Section VI comments on the profit motive of the garments owners and the imperialistic capitalists buyers. Section VII Concludes.
II. Principles of Wage Determination for the Garments
     Workers
As regards wages of the garments workers, one may be identify at least three different opinions conformable to Capitalism, Socialism and Islam.
01. Capitalism
Let us first of all look at the problem from the capitalistic point of view. David Ricardo, one of the fathers of the modern capitalistic thoughts of economics maintains that a labour should be given that amount of wage which is barely necessary to maintain his life and able to sell his labour. From here comes the capitalistic concept of the “subsistence theory of wages”. This subsistence wage rate ensures a labour to live like a mere animal.
In this system the labourer as a person has no value to the capitalists; what concerns the capitalists is the labour power which they purchase. If the person X dies out of hunger the person Y will be available to the capitalists to sell labour at the wage rate at which X died. So it does not matter to the capitalists whether the “subsistence wage rate” is enough to keep the labourer alive or not. Capitalism in comparison to Slavery and Feudalism is an improved system in the sense that it has ensured the labourer freedom of his body; the labourer is free to work at the “subsistence wage rate” or die out of hunger. While the freedom to work or die does matter little to the capitalists, it did matter to the slave owner in Slavery or to the serf owner in Feudalism, since the death of a slave or a serf was a loss to the slave owner or a feudal lord like the death of a cattle to the farmer. Unlike the system of Slavery and Feudalism, Capitalism has given the owner class the advantage of dissociating them from the responsibility of making arrangement for the labourer to live. Thus the process of exploitation in capitalism is more inhuman than that of the system of Slavery and Feudalism; capitalism is a new type of more inhuman exploitative system, the basis of which is labour-slavery.        
Recent advancement in the determination of wage for the labourer in capitalism is the calculation of daily calorie intake necessary by the individual labourer to give the capitalist optimum labour per day. This in other sense is the basis of scientifically determining the “subsistence wage rate”. On this count, now it is maintained that the minimum wage rate should be the amount which is necessary for the reproduction of labour power; even this amount of wage rate is scarcely given by the owners of mills and factories to the labourers in most of the developing economies including Bangladesh and the scope of inhuman exploitation of the labourers by capitalists as explained above remains unaltered.       
02. Socialism
The socialists maintain that the characteristic of human labour force is that it is able, by being used, to create the value which is more than the value of its production. The extra value id est. surplus value thus created is grabbed by the capitalists as their “profit”. This is capitalist exploitation. The socialists want to ascertain that the labourers get this surplus value which they produce instead of the capitalists, and thus the process of labour exploitation will come to an end and the labourers will get the due share of their produce in the form of wages.    
According to the socialists, the garments workers of Bangladesh are not even given the value of their labour power which they sell to the garments owners, not to speak of the “surplus value” which they create in the process of production in this sector. The workers of this sector are subjected to “super-exploitation” instead of the normal process of exploitation that usually goes with capitalism (Selim, 12 August 2010, P.9).  
03. Islam
Islam, in ascertaining the wage of labourers, goes beyond the materialistic calculative methods of determining wages as we have seen above in Capitalism and Socialism. It appeals to and emphasizes on the responsibility of the employers on behalf of Allāh to do justice to the workers in giving them their remunerations for the services they render to the employer so that both the employers and the workers can afford equal standard of living for their joint salvation and peace here in this world and the Hereafter. Islam, the religion of peace, gives special emphasis on and appeals to the brotherly humane character and spiritual gain of the employers to take into account while determining the wage for the workers they engage, instead of the material approach followed in Capitalism and Socialism.   
It is a piety to provide the workers with proper wage rate and remunerations. Hazrat Mohammad (s) says to the employers that, “They (the employees) are your brothers. Allāh has entrusted you with their responsibilities. So those on whom such responsibilities have been entrusted are liable to give them such food as they eat, make arrangement for them to wear such cloths as they wear, and shall never compel them to do such works which are painful and beyond their capacity to do, and if they are to do such works the employees will have to be given necessary assistance to do that piece of work” (Hadith: Bukhari Sharif – Kitabul Imaan). Hazrat Mohammad (s) also said that, “the workers will not be compelled to do such work which will render them incapable and good-for-nothing” (Hadith).
To bring the nicely and properly determined wage rate to a level of justice, the following three conditions will have to be fulfilled: Firstly, the whole time wage is necessary to be of that amount which is capable of meeting the basic needs of the worker; in other words, each and every worker should be able to meet the general needs of himself and his family by the wage he receives. Secondly, after fulfilling the basic necessities, the employee or the worker should enjoy the opportunity of earning more according to the nature, craftsmanship or technicalities of the work, efficiency, the quality of his produce and according to the differences in proportions he makes to the profit made by the employer, id est. efficient, skilled and workers engaged in risky economic activities will get more.  Thirdly, the wage will be determined under the above two conditions on the basis of free will and voluntary mutual understanding of the employer and the employee.       
With the purpose of creation of an environment of brotherly cooperation and for the fulfillment of the condition of just wages the following duties will have to be performed by the employer at the level of code of good conduct for piety. A portion of the product that is produced by the workers will have to be given away to the workers free of cost or at a nominal price. The residential accommodation, health care facilities, educational facilities, provision for harmless amusements and other relevant facilities will have to be provided to the workers. At the time of distribution of profits, a portion of that as bonus will have to be given to the workers. There shall have to be arrangements for monetary help from some special funds for the workers in times of adversity. Working hour should be specific and the time for rest will have to be ascertained. Workers will have to be treated with sympathy under all circumstances. As soon as the work under contract is finished, the worker or the employee must be paid his wage or salary immediately without delay as the case may be. Hazrat Mohammad (s) says, “Pay off the wage of workers before the sweat of his tired body is dried up” (Hadith).
III. Declared Wage Structure 2010 for the Garments Workers of
      Bangladesh
01. Rise of the Garments Sector
If we want to go back to the origin we shall have to start with Riaz Garments which presented its product id est. shirts on behalf of the then East Pakistan (now Bangladesh) in 1969 to the three astronauts Neil Armstrong, Edwin Aldrin, and Michel Collins who were invited to this country for successfully completing the first human Moon mission. Afterwards Riaz Garments first exported garments in 1978 to Europe.  Since then much water has gone down the river Buriganga, and Riaz Garments is no more (Rahman, 11 July 2010, P. 13).   
It is on record that in 1983-84, garments export was worth $31.57 million which was 3.89% of the total export of Bangladesh. Because of the coming forward of private sector banks, the garments industry started growing rapidly. In 1986-87 garments export was worth $298.67 million, which was 27.74% of the then total export; and in the past financial year 2009-10 garments export was worth $12.35 billion (in Bangladeshi currency Taka 864.50 billion) which is 79.33% of total export. In the financial year 2008-09 the GDP of Bangladesh was Taka 6149.43 billion of which the contribution of the garments industry is about 10%. According to a survey report of the Department of Textile the total investment in the textile and garments industry is about Taka 406.00 billion (Rahman, 1 August 2010, P.13).        
At present, in this labour intensive totally private sector of the Bangladesh economy, around 4 millions workers, which is about 65% of the total workers engaged in the manufacturing sector of the country, are directly engaged in about 5 thousand garments industrial units. The number of workers engaged directly and indirectly in this sector and other related industries will exceed 20 million. Of the garments workers about 80% are girls. There are about 3 thousand owners of the 5 thousand garment industrial units (Rahman, 11 July 2010, P.13, 23 and 1 August 2010, P.13). From this point of view this is the most successful business sector of the present day Bangladesh (excluding the manpower export sector of the economy). This may be compared with the once prosperous jute industry of Bangladesh (erstwhile East Pakistan of the sixties of the past century).    
As regards the rights of women to work together with men outside home (here the garments industry) there is no bar in Islam in doing that so long as they maintain appropriate Parda conformable to Islam. About the overall rights of the women Allāh says, “They (women) have rights similar to those (of men) over them”.2/228 As regards Parda Allāh says, “Tell the believing men to lower their gaze and be modest. That is purer for them. And tell the believing women to lower their gaze and be modest, and to display of their adornment only that which is apparent, and to draw their veils over their bosoms, and not to reveal their adornment save to their own husbands or fathers or husbands’ fathers, or their sons or their husbands’ sons, or their brothers or brothers’ sons or sisters’ sons, or their women, or their slaves, or male attendants who lack vigour, or children who know naught of women’s nakedness. And let them not stamp their feet so as to reveal what they hide of their adornment”.24/30-31 “Verily! Allāh loseth not the wages of the good.”9/120
The income that a woman earns is her own and the husband has no ownership on that. Thus the economic rights of women have been well established in Islam. In respect of dignity and right of men and women Islam has established equity and justice (Dainandin Zibane Islam, 2000, P. 438).     
02. Wage Structure 2010
The Wage Board Chairman handed over to the government a draft proposal of Wage Structure for the Garments Sector of Bangladesh which was declared on 29 July 2010 (Table 1). The draft proposal says that, before assessing the minimum wage for this industry, the cost and standard of living of the workers, the productivity of the workers, the price of the produce, inflation, and business capability etcetera have been taken into consideration. The Wage Board presented the draft proposal of Wage Structure as per the order No. 139 of the Bangladesh Labour Law 2006. The last wage structure in the Garments Sector was declared in 2006. Although according to the labour law a new wage structure is to be fixed 5 years after the previous fixation of wage in an industry, the government has declared the new wage structure right now, the new minimum wage structure will come into effect from 01 November 2010.

serein

Serein

Serein is an English-language documentary newspaper published in Dhaka, Bangladesh, founded in 2017.

Post A Comment:

0 comments: