Bangladesh forms wage board as garment protests turn violent

Bangladesh established a six-member wage board on November 1 to examine garment workers' pay, as violent protests demanding higher wages persisted in major industrial areas. Workers are seeking a minimum monthly wage of 30,000 taka, more than double the current 12,500 taka, citing soaring costs of living. The industry employs around four million people, accounting for over 80% of Bangladesh's export earnings and supplying clothing to numerous Western brands.

Labour and Employment Minister Ariful Haque Chowdhury called for a return to work, after talks with workers and industry leaders.

Despite the board's formation, hundreds of garment workers continued demonstrations on Sunday. Police responded with tear gas and water cannons, dispersing protesters who blocked a key intersection in Dhaka. Bricks were thrown at officers during clashes. Some workers also blocked a major highway in Gazipur, disrupting transport in one of the country's key industrial belts. As a result, 25 to 30 factories were forced to close, and authorities deployed Border Guard Bangladesh personnel to maintain order.

The unrest follows demonstrations in Ashulia, a major garment manufacturing hub on Dhaka's outskirts, where factories suspended operations for two days due to workers' pay protests. Minister Chowdhury warned that prolonged disruptions could delay export shipments and payments from international buyers, causing additional challenges for manufacturers and workers.

Bangladesh's ready-made garment industry, the world's largest after China, contributes about 10% of the country's GDP and serves as the backbone of the economy. However, manufacturers face mounting challenges, including rising production costs, periodic gas and electricity shortages, and energy market uncertainty due to Middle East tensions.