Promoting Social Dialogue and Harmonious Industrial Relations in Bangladesh Ready-Made Garment Industry

The Ready-Made Garment (RMG hereinafter) sector in Bangladesh has grown rapidly since the 1980’s. It currently employs an estimated four million workers, of which 80 per cent are women. This fast paced growth has not been accompanied by similar developments in labour market institutions, resulting in significant challenges in working conditions and labour rights, which require to be addressed urgently. Moreover, literature suggests that many women employed in this sector are illiterate or semiliterate and come from economically weak sections, which leave them with little bargaining power. These factors have posed gender specific challenges in the RMG sector. Following major garment factory accidents in 2012 and 2013, the ILO (International Labour Organization) developed a comprehensive programme to support the Government’s efforts to engage in a much-needed reform process, to improve safety, working conditions and rights at work in this sector, including workers’ and employers’ right to organise, bargain and dialogue at the workplace. While notable progress is being made to improve the country’s legal context, momentum must be maintained and more needs to be done to effectively improve working conditions and rights at work in the garment sector. Bangladesh still lacks effective institutional mechanisms for supporting the implementation of the new legislative framework (amended in 2013); furthermore, the level of trust between workers and employers is very low and dialogue at the workplace is very limited and lacking at the RMG sector level. The proposed project builds upon the results being achieved by the ILO technical cooperation programme to improve safety, working conditions and right at work in the RMG sector in Bangladesh. The results being achieved include a reformed legislative framework; gradual improvement in the government enforcement mechanism in the areas of workers’ rights, working conditions and safety and health; continuous improvement in the capacity, knowledge and understanding of both employers and workers and their representatives; and slow but progressive use of social dialogue processes. The proposed project will focus on three specific outcomes: the development of dialogue mechanisms and relations between employers and workers and particularly at the workplace level as a means for preventing disputes; and, the development of the conciliation and arbitration mechanisms into a more credible, trusted and transparent system. In achieving these two outcomes, the project will focus intensively on building the capacity of workers and employers to engage in social dialogue and collective bargaining at the workplace and sector level and to make effective use of the dispute prevention and resolution mechanisms. Furthermore, given the large presence of female workforce in the lower ranks of the occupational hierarchy, inclusive strategies and gender mainstreaming will be emphasized so that the project achieves gender balance in the direct beneficiaries as well as full representation of women’s workers’ interests and requirements. (i) Outcome 1: Sustainable improvement in social dialogue, workplace cooperation and grievance handling; (ii) Outcome 2: Sustainable and effective mechanisms for conciliation and arbitration are established; (iii) Outcomes 3: Enhanced capacities of employers’ and workers’ organizations to dialogue and prevent and resolve disputes including those of gender concerns.

Project symbol

BGD/15/03/MUL

Admin unit

CO-Dhaka

Start date

01/11/2015

End date

31/03/2023

Total allocation

9131263

Total expenditure

Status

Closed

8798884

Development Partners

Multi-donor funding Sweden and Denmark for Industrial Relations in Bangladesh

Country/Countries

Bangladesh

Outcomes

Outcome 1: Strong tripartite constituents and influential and inclusive social dialogue