RMG buyers urge Dhaka to review workers' wage

MFA Forum, a global collaboration of RMG and textile buyers and stakeholders, has urged the Bangladesh government to urgently convene the Minimum Wage Board for the RMG workers and introduce an annual review of their wage levels.
It also called for lifting restrictions on trade union activities invoked by the emergency power ordinance and implementing a framework for mature industrial relations based on tripartite agreements, ILO conventions and national labour laws.
“This will benefit the RMG industry and enhance its reputation,” the Forum said in a letter to Chief Adviser Dr Fakhruddin Ahmed recently, sharing the outcome of the MFA meeting held in Dhaka on June 28-29.
The MFA Forum is an open network of buyers, suppliers, non-governmental organisations (NGOs), trade unions, international institutions and multi-stakeholder initiatives that are building collaborations for sustainability in the textile and garments industry worldwide by promoting responsible competitiveness.
Participants of the MFA meeting in Dhaka were the signatory to the letter. They included Tesco, Oxfam International, Groupe Carrefour, Levi Strauss & Co., H&M, tvmania, Marks & Spencer, Odhikar, SBGSKF, International Textile, Garmet and Leather Workers Federation.
The MFA Forum expressed concern over the increasing cost of living due to inflation and increased prices of basic foods.
They apprised the Chief Adviser of the areas of concern, seeking leadership and support from the government of Bangladesh for the sustainability of the RMG industry. They expected that the Chief Adviser would take their concerns into consideration and address them as soon as possible.
The MFA Forum and its buyers group recognised that they, on the other hand, need to work together to address the issues they reached a consensus at the Dhaka meeting of the Forum and sought active government engagement in this regard.
The Dhaka meeting focused on three key elements -- purchasing practices, labour conditions and the macro-economic environment facing the RMG industry in Bangladesh.
The participants reached the consensus for future action on skill enhancement of workers, stable and trusting relationships between suppliers and buyers, trade unions have a positive and responsible role to play and that freedom of association should be resumed and respected.
They also agreed that wages need a review as soon as possible and the buyers should recognize that an increase in minimum wages will have to be incorporated into the prices paid by the buyers.
The other agreed issues included sustaining responsible competitiveness and understanding the government plans by the industry for improving the industrial infrastructure, such as power supplies, transportation, ports and environmental protection.
The MFA forum said the international buyers require the freedom of association as part of their ethical compliance code as per the core conventions of the International Labour Organisation (ILO).