The Minimum Wage Board for the readymade garment sector has finalised Tk12,500 as the minimum wage for the sector, in line with the proposal of factory owners and almost half short of what the protesting workers have been demanding.

State Minister for Labour and Employment Begum Monnujan Sufian briefed journalists about the wage following the 6th meeting of the board on Tuesday (7 November).

The wage has been hiked by 56% from Tk8,000 following the instructions of Prime Minister Sheikh Hasina, the state minister said.

Following the meeting, an RMG workers' representative Sirajul Islam Rony, said, "In light of the reality of the RMG industry and the prime minister's instructions, the workers will accept the board's decision."

However, there has been no decision on providing rations for RMG workers. But the government is planning to introduce family cards for them, added Monnujan Sufian. 

She also urged the protesting RMG workers to resume work. 

Awaj Foundation Executive Director Nazma Akhter has said the unions and workers are "utterly disappointed" over the new wage.

In 2018, the wage was $95. If the last five years' increment is calculated, the amount is in fact far less than what it should be.

"The factory owners have surely benefitted through this owing to the dollar exchange rate," she said.

Urging the factory owners and the prime minister, Nazma said, "Revise the minimum wage for RMG workers once more for the sake of their survival and livelihood amid rising living costs due to inflation."

Earlier today, readymade garments factory owners had proposed the minimum wage to be increased to Tk12,480.

Siddiqur Rahman, the owners' representative on the wage board and former president of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), had confirmed the matter to The Business Standard.

The garments sector — the jewel in Bangladesh's export crown, with exports reaching over $46.99 billion in the fiscal year 2023 — have been ravaged by protests in recent days.

The workers were protesting with the demand for a minimum wage of Tk23,000, despite efforts by the government, workers' leaders, and owners' associations to normalise the situation.

On 21 October, workers demanded that their minimum wage be increased from the existing Tk8,000 to Tk20,390 while the owners have proposed to increase it to Tk10,400.

On 30 October, at least two people were killed and about 40 injured in massive clashes between police and ready-made garment workers in several industrial areas in Ashulia, Savar, and Gazipur.

Following the weeklong clashes, the factory owners on 1 November agreed to pay higher minimum wages to garment workers than Tk10,400, which they proposed earlier.