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๐Ÿ‡ง๐Ÿ‡ฉ Bangladesh /Economy & Trade

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From Daily Star · () English

Summarized and contextualized by DistantNews.

At a glance

News Named sources Outcome reported
  • Two factories in Gazipur, Unique Washing & Dyeing and Unique Designers Ltd, have permanently closed due to financial difficulties, rendering approximately 1,800 workers jobless.
  • A settlement was reached to pay workers their outstanding wages, notice pay, and service benefits, with all payments scheduled for July 27.
  • Workers and labor leaders expressed anxiety about receiving their dues despite the agreement, highlighting the bleak future for the unemployed workforce.

The permanent closure of two factories, Unique Washing & Dyeing and Unique Designers Ltd, in Gazipur's Board Bazar area has left around 1,800 workers facing an uncertain future. The factories cited financial difficulties and other challenges as the reasons for shutting down operations.

Around 1,800 workers were employed in these two units. With the sudden closure, we have been left in dire straits.

โ€” Billal SohagA worker described the impact of the factory closures on the employees.

Authorities confirmed the closure on Monday. A settlement regarding the payment of outstanding wages and other dues was reached during a tripartite meeting on Sunday. The meeting, involving workers, management, and government labor departments, agreed that workers would receive remaining wages for April and May, along with notice pay and service benefits. All outstanding payments are slated to be settled in a single installment on July 27.

We have heard that our dues will be cleared on July 27, but we are still worried about whether we will actually be paid.

โ€” Billal SohagA worker expressed anxiety about the promised payment of outstanding dues.

Despite the agreement, workers like Billal Sohag expressed worry about actually receiving their money. Shafiul Alam, president of the Gazipur Metropolitan unit of the Bangladesh Garments and Industrial Workers Federation, noted that the management chose permanent closure over resuming operations. He also stated that the June 21 agreement did not fully ensure overdue benefits and compensation as per labor law, potentially depriving workers of their rightful entitlements.

The crisis over arrears and benefits was resolved through tripartite discussions. The management chose to permanently close the factory instead of resuming operations. As such, hundreds of workers have become unemployed with a bleak future ahead.

โ€” Shafiul AlamThe president of a local garment workers' federation commented on the closure and its consequences.
DistantNews Editorial

Originally published by Daily Star. Summarized and contextualized by our editorial team with added local perspective. Read our editorial standards.