Economy
GSP Plus status

Govt eyes amendment to labour law

The government wants to amend the labour law as soon as possible to comply with European Union labour standards in a bid to obtain the GSP Plus status in the key export market, said the commerce secretary yesterday.  

The government will also reform the labour rules prepared to apply the labour law in 2015, said Senior Commerce Secretary Tapan Kanti Ghosh after a meeting with the foreign, labour and law secretaries at the Padma Guest House in Dhaka.

The government plans to ensure conformity in labour laws for the workers of the factories located in and outside of export processing zones (EPZs).

The government has already set a target to eliminate more than one lakh hazardous child labourers from various sectors by appointing over 100 non-governmental organisations across the county by 2025.

The government has launched the employment injury insurance scheme on a pilot basis to improve labour rights, Ghosh said.

"We have discussed the progress that has been made so far for the amendment."

Bangladesh will have to position its labour law in line with the International Labour Organisation standards to qualify for the Generalised Scheme of Preferences Plus status of the EU after the graduation of the country to a developing nation from the grouping of the least-developed countries in 2026.

In a meeting with Ghosh in Dhaka on Thursday, Christopher Wilson, assistant United States Trade Representative for South and Central Asia, suggested a revision to the labour law and improvement to labour rights to attract more foreign direct investment from the world's largest economy.

During its visit last month, a high-powered EU delegation urged Bangladesh to implement the National Action Plan by 2026 and amend the labour law soon to obtain the GSP Plus status.

The government has framed the NAP to address the challenges that the country might face after the LDC graduation.

Currently, the labour law allows full freedom to workers outside the EPZs to form unions. The labourers of the factories located inside the zones have workers' participation committee.

The EU's GSP Plus gives developing countries a special incentive to pursue sustainable development and good governance.

In return, the EU cuts its import duties to zero on more than two-thirds of the tariff lines of exports from the beneficiary countries.

Bangladesh will have to ratify 32 international conventions linked to good governance, human rights, labour rights and protection of the environment to be eligible for the trade benefit.

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