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416 factories likely to miss payment of salary and bonus before Eid: Industrial police data

At least 416 factories are likely to face problems in paying wages and bonuses to their employees before Eid-ul-Fitr, according to a list prepared by the Industrial Police. 

According to sources, of the factories, 171 are member factories of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), 71 are members of the Bangladesh Knitwear Manufacturers Association (BKMEA) and 29 are members of the Bangladesh Textile Mill Association (BTMA).

The Industrial Police held a meeting on Monday to discuss preparations for preventing any undesired problems regarding the payment of RMG workers’ salaries and Eid bonuses.

In a press statement issued after the meeting, the Industrial Police said press release after the meeting said, “If the owner of a garment fails to pay the salary and other allowance, we request that they find an alternative.”

Chief of Industrial Police Mahabubor Rahman told The Business Standard, “The list we have prepared might increase or decrease in the coming days.”

“We are alert, we hope there will be no problem before Eid,” he added.

Mohammad Hatem, executive president of BKMEA told TBS, “Many factories do not have enough purchase orders. In addition, the Bangladesh Bank has not yet released a significant amount of incentives. Due to this, some factories are facing problems paying salaries and bonuses.”

He also said, “In reality, more factories are in financial crisis than the list given by the Industrial Police. But we are continuing to try to resolve it.”

Faruque Hassan, outgoing president of BGMEA told TBS, “There is an impact of the increase in wages of RMG workers last December. At the same time, the facility of incentives has been reduced. Due to these reasons, it may be difficult for many factory owners to pay bonuses before Eid.”

Meanwhile, Zahidul Islam Siddique, managing director of Oishi Desigb Limited, located in Savar’s Ashulia area, which is on the Industrial Police list, told TBS, “There is no problem in our factory. We have no dues. I don’t know why is our factory name on the list.”

The number of factories in the area under the jurisdiction of the Industrial Police is 9,467. Apart from this, there are also factories in the area under the jurisdiction of Dhaka Metropolitan Police.

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