Bangladesh: a letter of complaint

By: Leonie Barrie - 21 June 2006 17:27

Not surprisingly, European and US buyers want to see a quick solution to the ongoing unrest in the Bangladesh garment industry, and have now written to urge the country’s government to find a speedy solution to the problems. Understandably they’re deeply concerned about the situation, not only because it affects their own ability to place orders and plan deliveries, but also because the first whiff of worker exploitation could be enough to prompt a boycott among European consumers.

Most workers have returned to work after a series of proposals were hammered out by the government, workers and employers – including a fixed minimum wage. But sporadic low-level unrest has continued to break out amid delays in implementing the changes. The reality for retailers, though, is that part of the appeal of sourcing from Bangladesh is the fact that it’s so cheap. And the reality for many Bangladeshi businesses is that they can survive only by paying such low wages. And however appalling that may be to us in the west, it’s very likely that 2 million people – 80% of them women – would lose their jobs if Bangladeshi businesses paid wages on a par with Thailand, China or even India.

Comments on this blog post

Social and economic unrest in Bangladesh won't be ended easily without a change in the system of government, and particularly the ruling BNP. Potentially a stable and reliable Bangladesh could remain a good partner for world business whilst delivering living wages and decent working conditions.

Yasmin Ali, United Kingdom

The present situation in Bangladesh is certainly a difficult issue for all parties involved - the overseas buyers, the Bangladeshi Government and employers, and the Bangladeshi workers. As recently discussed at the ASBCI Conference in the UK (The Moral Dilemma - Economics v Ethics) the challenge is to improve the working conditions and standard of living of the poorest workers on the planet, whose legal minimum wage prior to the unrest was less than US$15/month, whilst not making matters worse with an exodus of orders. However, the point was also made that no one in the West really needs a pair of jeans that costs less to buy than a pizza - especially when that cost is being subsidised by low wages.

Malcolm Ball, United Kingdom