Thousands of garment staff lose jobs

Image collected
Thousands, mostly garment operatives, have lost their jobs in what industry insiders describe as a fall in production and work orders amid the Covid-19 pandemic.

Some 67 factories, including seven non-RMG (ready-made garment) units, have terminated a complete of 17,579 employees until May 31, in line with the Department of Inspection for Factories and Establishments (DIFE).

Besides, the info of the Industrial Police (IP) shows 10,493 workers lost their jobs in five industrial zones, except Dhaka metro area, under its jurisdiction in this viral outbreak.

Of the workers, IP sources said, 9,010 were garment and textile workers.

Fifty-seven Bangladesh Garment Manufacturers and Exporters Association (BGMEA) member mills have shed 8,364 jobs, and 10 Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA)-registered units 637.

Two mills under Bangladesh Textile Mills Association also have cut nine jobs.

Some 47 personnel from factories under Bangladesh Export Processing Zones Authority and 1,436 personnel from 10 non-RMG units were terminated through the corona period, in line with the IP.

Labour leaders alleged that the number is much greater than the available official figures.

Major job losses were witnessed in May despite repeated calls from the federal government never to do so despite its stimulus package for making wage payments through the pandemic, they said.

The apparel-sector leaders, however, expressed concern with more job cuts in the coming months, saying that the industry is currently operating with 55-per cent capacity.

When asked on Thursday, DIFE inspector general Shibnath Roy said they have enlisted all of the terminated workers and discovered that 17,579, mostly garment workers, were terminated until May 31.

Twenty-six factories found in Dhaka terminated 7,488 employees and 30 Gazipur units 9,193, according to the DIFE.

An estimated 554 personnel from two factories in Narsingdi, 193 from six units found in Narayanganj and 151 from three units in Chattogram were terminated.

A meeting to explore the reason why was scheduled for Thursday nonetheless it has been postponed until June 15, the DIFE chief told the FE.

The DIFE will ask RMG leaders why they axed jobs regardless of the government's support to pay personnel from March to May and its own call for no retrenchment before Eid.

It'll scrutinise whether legal procedures were met before termination and staff received their lawful compensation, Mr Roy told the FE.

"If we find any deviation from regulations of the land regarding termination, the government would choose legal action against those factories," he uttered.

The DIFE will suspend renewal of the errant factories and file cases against them, Mr Roy warned.

Meanwhile, BGMEA president Dr Rubana Huq at a virtual ceremony to launch a lab on Thursday expressed fear that more employees might lose jobs in the coming months.

Factories are actually operating with 55-per cent production capacity for shortages of work orders and maintaining health safety guideline, social distancing and dealing with less workforce, she said.

Many entrepreneurs would be out of business while a good number of employees would lose jobs because of the unprecedented coronavirus pandemic, she apprehended.

Citing a study of McKinsey and Company, Ms Rubana said global apparel consumption would lessen by 65 per cent for Covid-19, meaning that consumers will be conservative in buying clothes.

She apprehended that the sector might receive 30 % of the mandatory export orders in next months.

It could not be easy for owners to continue with 100-per cent workforce with 55 % production capacity and 30 % work orders, she predicted.

"But you want to be optimistic as the united states imports from China have fallen by 52 per cent and only 2.0 % from Bangladesh through the pandemic."

It could be an opportunity for Bangladesh to seize a portion of Chinese apparel export to US market, hoped the BGMEA president.

After controlling the infection rate of Covid-19, Bangladesh could be a good sourcing destination for global buyers, she concluded.
Source: https://thefinancialexpress.com.bd

Tags :

Share this news on: