Bangladesh to apprise US, EU of labour rights progress
The senior commerce secretary said 60% of Bangladesh’s exports are bound for the EU and the UK. The US is also a big market. Bangladesh is doing business competitively in the key markets. However, more compliance needs to be achieved, so the process continues.
The commerce ministry will apprise the United States of the latest progress in Bangladesh's labour rights situation in writing. Simultaneously, the ministry will present the same information to the European Union during the upcoming "Three Plus Five" meeting scheduled for later this month.
The initiatives that the government intends to implement in the coming days to improve labour standards will also be highlighted, said Senior Commerce Secretary Tapan Kanti Ghosh on Monday (4 December) after a review meeting on the newly announced labour policy of the US.
Speaking to journalists after the meeting, he stated that the labour situation in Bangladesh has significantly improved due to amendments in the labour law and the enactment of the new Bangladesh Economic Zones Authority (BEZA) labour law. Trade union opportunities have been extended.
"A meeting regarding the labour situation in Bangladesh was held last month with the EU. Additionally, talks with the US took place during the US-Bangladesh Trade and Investment Cooperation Forum Agreement (Ticfa) meeting last September," he added. "They expressed their satisfaction in those meetings. As a result, there was no situation to impose trade restrictions on Bangladesh based on labour rights."
Ghosh said the US and the EU want more progress, adding, "We also think we need to make more progress. That is why the reform process regarding labour rights has continued. The government introduced a universal pension system, which included workers. Workers are included in various social security programmes."
The senior commerce secretary said 60% of Bangladesh's exports are bound for the EU and the UK. The US is also a big market. Bangladesh is doing business competitively in the key markets. However, more compliance needs to be achieved, so the process continues.
"The US wants the situation to improve. We want it too," he said.
He said, apart from informing the US separately, the new wage structure for garment workers, the new benefits guaranteed through the Labour Law Amendment, and the Beza Act will be presented at the "Three Plus Five" meeting this month.
"The progress of implementation of the National Action Plan will also be highlighted, along with updated information on what Bangladesh has done to ensure labour rights," said the secretary.
After the Rana Plaza collapse in 2013, the US suspended the GSP facility and imposed conditions on Bangladesh to implement the 16-point action plan. A forum known as "Three Plus Five" was formed with Bangladesh's commerce, foreign, and labour secretaries, as well as the envoys of the US, the EU, the Netherlands, Spain, and Canada, to regularly inform the US and some European countries of the progress of the implementation of those conditions.
The US has ratified a memorandum establishing labour rights. It states that the US can impose other sanctions, including trade embargoes, on any individual, organisation, or state deemed to have violated labour rights. The EU is also taking various steps on the issue of labour rights and human rights, which it wants to implement in the source countries of imports.
Since then, there has been concern among the country's exporters, especially ready-made garment manufacturers. The Bangladesh embassy in Washington has sent a letter to the Ministry of Commerce warning that Bangladesh may be one of the targets of this policy, and the letter also indicates that Washington may take such a decision for political reasons. After receiving that letter, businessmen's anxiety has increased.
After the Rana Plaza collapse that killed over 1,100 workers, Bangladesh developed a national action plan to ensure labour rights and safety. The action plan sets out a roadmap for implementation from 2021 to 2026, with progress not being satisfactory, the EU Everything But Arms Review Mission said last month.
FBCCI President Mahbubul Alam, BGMEA President Faruque Hassan, and BKMEA Executive President Md Hatem were present in the meeting held at the commerce ministry.
Labour Secretary Ehsan-E-Elahi, who was also present at the meeting, said some segments of the National Action Plan have been implemented while others have not. The EU wants further progress on 7/8 issues. Soon, the government will make those amendments along with entrepreneurs, which will be presented in the next parliament.
The BGMEA president said the government and the owners have taken various initiatives to ensure labour rights. Many other initiatives are underway.
"These have been done in preparation for the transition from the least developed countries in line with the policies of the US and the EU. As a result, businessmen do not think Bangladesh may face trade restrictions on labour rights issues. Businessmen are not worried about that," he asserted.