Home Apparel Lockouts disrupt production in troubled apparel hub

Lockouts disrupt production in troubled apparel hub

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An abrupt shutdown of apparel factories amid labour unrest in Ashulia has created multiple socioeconomic repercussions affecting export production, workers’ livelihood and numerous dependent trades. A visit to the now-derelict area also reveals that the fallout of the mass closure of factories transcends beyond the key industrial zone up to national goals like poverty alleviation and country’s economic uplift. Such strong negative reaction emanates not only from the hard-working labour force being laid out but also from adversities facing other vibrant economic actors who largely depend on the workers for their social leap. The indefinite shutdown has been enforced by the factory owners applying section 13 (1) of the labour law in the wake of unrest over workers’ demand for a substantial wage hike. The crisis sent in waves of panic and tension to various businesses that usually deals in necessities to the workers in the highly employment-intensive belt.From vendors to shop owners, every life in the supply chain fell into a pit of uncertainty because of the incredulous stance between apparel manufacturers and workers over pay-hike demand. Farid Hossain, who runs a shop selling cosmetics, low-cost jewelry and leather products at Jamgora, said his business mostly depended on the arrival of female workers, who contributed nearly 80 per cent to the total workforce there.”Since the chaos erupted here, sales have come down at least 70 per cent. If it continues for few more days, we’ll be in real danger,” he said.Mohammad Kibria, a grocer at Kathaltola of Berun in the area, said a large number of workers collected rice, pulses, oil, sugar, soap and other essentials on credit from his shop.”Once they (workers) get salaries, they pay these bills. If the factories do not reopen, how will they close such accounts?”The business climate remains almost same in other parts of the sensitive industrial area which witnessed a major labour crisis after a long break.Showing unpaid bills, Hafiz Uddin, a 50-year-old restaurant owner at Mollabazar in the belt, said some 20 bachelor workers consumed contractual meals on monthly payment of Tk 2500 each.”Half of them went back home shortly after the owners had closed their units for indefinite period, leaving me in uncertainty,” he said.Like other businesses, those who sell vegetables on foot also found them in difficulties to cope with a changed situation. “I used to sell a kilogram of cauliflower at Tk 25 just four days ago, but now I’m forced to sell the same size at Tk 10,” said vegetable vendor Saidur Rahman at Norosinghapur.He said many people from the country’s remote areas come to the employment-intensive industrial belt in search of job opportunities and dream again by investing little amounts of money. “The production suspension would take many of them back into the previous state of extreme poverty that they never want,” the small trader observed, on a note of frustration. But a good number of landlords in Ashulia and Savar verbally asked their tenants for paying enhanced rents from January 2017, notwithstanding a government decision on keeping accommodation expenses unchanged for the next three years. Sohel, who works as a helper at a unit of Ha-meem Group, said he received a gross monthly wage amounting to Tk 7,300 but two necessities-meals and house rent – eat up Tk 5,000 per month.”It is not possible to meet my other necessities with the remaining amount. At the same time, house owners verbally hinted to me further increase in rent,” he lamented. The FE correspondent found authenticity of the claim over possible enhancement in house rent while visiting several houses in the special manufacturing zone. A landlord at Hazipara in the belt, Abdul Mazid, admitted to having signaled rent hike to his tenants.When his attention was drawn to a recent decision taken by a panel of ministers following meeting with the workers’ leaders over the burning issue of annual rent hike, he said the decision was taken without consulting the house owners. He said the government promised keeping rent unchanged for a long time. On the other hand, it’s frequently enhancing tariff of utilities. “It’s illogical. “When contacted, local lawmaker Dr. Md. Enamur Rahman said they held a series of meetings with the local government representatives, labour leaders, owners, law-enforcers and landlords to restrain the house owners from raising rent frequently.”We’ll strictly monitor landlords’ proceedings in this connection. If utility bills go up, they can readjust that…but we’ll not allow unprecedented raise in the name of tariff hike of utilities,” he said.The ruling-party MP said a team comprising local people was formed to deal with the issue.