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RMG owners threaten factory shutdowns

Published : Thursday, 12 November, 2026 at 1:06 PM
Observer Online Report
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Garment factory owners may shut down factories under Section 13 (1) of the Bangladesh Labour Act, 2006, if workers continue work stoppages, protests, workplace unrest and vandalism, amid growing tensions across the country’s apparel industry.

The owners have reached an in-principle decision on the matter. If the situation does not improve, a final decision may be taken at an emergency general meeting (EGM) scheduled for Saturday (November 14) at the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) headquarters in Uttara, Dhaka.

The BGMEA is planning to convene the emergency meeting to review the ongoing labour unrest and the overall situation in industrial establishments and determine the next course of action, sources within the organisation said.

According to industry sources, factory owners may adopt a tougher stance if workers continue demonstrations and work stoppages instead of returning to their workplaces, while incidents of vandalism and damage to factory property persist.

In addition to possible factory closures under the labour law, owners may also reconsider their participation in ongoing discussions at the minimum wage board.

Section 13(1) of the Bangladesh Labour Act, 2006, allows employers to shut down a particular department or section of an establishment, or the entire factory if necessary, in the event of an illegal strike. Workers participating in such a strike are not entitled to wages for the period of closure under the provision.

BGMEA President Mahmud Hasan Khan said workplace disorder could not continue alongside negotiations over wages.

"We cannot have wage negotiations going on while disorder continues at the same time. At yesterday's meeting, we decided to monitor the situation until today. If there is no improvement, we will take decisions in the interest of the industry," he said.

He added that the owners would participate in minimum wage board discussions in good faith, but would not accept continued disruption at factories.

Khan said the owners were interested in reaching an acceptable settlement through negotiations. However, maintaining a stable working environment and ensuring normal production were essential to keeping the discussions on track.

Garment workers have been staging protests and work stoppages in several industrial areas for days, demanding a minimum monthly wage of Tk 30,000.

The demonstrations have been accompanied by reports of vandalism at factories, road blockades and disruptions to production.

In response to the workers' demands, the government formed a new minimum wage board on November 1. The board has already held two meetings, with representatives of workers and factory owners discussing a revised wage structure.

At the latest meeting, the workers' representative proposed setting the minimum monthly wage for garment workers at Tk 32,000. The employers' representative said the owners would present their proposal at the next meeting.

Despite the formation of the wage board and the start of negotiations, protests have continued, with many workers yet to return to work.

Incidents of factory vandalism, damage to property and road blockades have also been reported in different locations, increasing tensions in industrial zones and disrupting production.


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