Labour leaders to work with garment owners to iplement new wages

Leaders of 52 labour organizations on Friday agreed to work together with garment owners for implementing new wages to be announced finally by wage board on November 21. The labor leaders expressed the view at a meeting with leaders of the Bangladesh Garments Manufacturers and Exporters Association (BGMEA) held at BGMEA Bhaban here, said a press release.

BGMEA president M Atiqul Islam presided over the meeting.

Vice-president M Shahidullah Azim, vice-president Riaz Bin Mahmud, former president of Federation of Bangladesh Chambers of Commerce and Industry (FBCCI) AK Azad and former leaders of BGMEA attended the meeting. 

The labour leaders said there will be no vandalism of garment units centering the announcement of wages.

Owners and workers will work in a coordinated manner to carry the multi- billion dollar apparel industry forward, they observed.

Factory workers, who went on work stoppage, will also join their respective work places from Saturday and help smooth production at factories.

JICA to help repair risky garment factories

The Japan International Cooperation Agency (JICA) will provide Taka 100 crore in loan for repairing risky buildings of garments factories to minimize accidents like Rana Plaza collapse.

Bangladesh Bank (BB), Public Works Department, JICA,Bangladesh Garment Manufactures and Exporters Association (BGMEA) and Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) will sing a memorandum of Understanding (MoU) tomorrow.

After the singing of MoU, the central bank will publish a circular for the commercial banks informing them about the fund and its utilization, said BB's SME and Special Programmes Department General Manager Sukamal Sinha Choudhury.

"Only the owners of risky building will get the loan facility...the highest tk. 10 corer will be given to a owner," he added.

Loan will be allocated on the basis of the inspection reports of the JICA representatives and first come, first served basis.

Police in open fire as textile workers protest over pay

Bangladeshi security forces have opened fire on textile workers protesting in pursuit of a higher minimum wage.

Police used batons, rubber bullets and tear gas on day five of demonstrations near the capital Dhaka.

Workers on a minimum wage equivalent to 28 euros a month, want their monthly income to rise to 74 euros.

The huge Bangladeshi garment trade has been under the spotlight amid deadly incidents including the collapse of a building housing factories in April that killed more than 1,130 people.

In the latest protests, workers are said to have dispersed after security forces moved in. Police did not provide details of the injuries sustained.

Maximum of 10 years jail under MLM Law

A gazette was published on Thursday passed by the President on September 2 regarding the control of MLM companies and protection of related stakeholder's interests. All charges indicted under this ordinance will be considered punishable and non bail able.

The ordinance avers that any person found guilty of selling homologous products under the MLM business will be disposed between 5 to 10 years of jail along with 50 lakh taka fine. Moreover, anyone found guilty of carrying out MLM activities without license will be awarded with 5 to 10 years of jail along with 50 lakh taka fine.

The gazette also mentions that involvement in any other type of sales activities without packaging may lead to at most 2 years of jail with 2 lakh taka fine, unjustified price hikes will also be counted as a crime and may lead to a minimum of 1 to a maximum of 3 years of jail with 3 lakh taka fine. In addition actions will also be taken against sales of inferior quality goods, with a maximum of 5 years of jail and 5 lakh taka fine.

The ordinance defines MLM activity as a means of selling or distributing goods or services through a specialized network of multiple layers on conditions of commission or dividend or any other kind of compensation.

The ordinance has clauses to ensure that no company can act as a MLM company without license. The goods listed as transact able under MLM system are household items, electric and electronic items, home appliances, cosmetics and toiletries, herbal products, telecommunication services, training related services and agricultural goods. However, the government holds the jurisdiction to change the list of items through a gazette notification.

July-August remittances total 2.25 bln USD

Bangladeshis living and working abroad remitted home 2.25 billion U.S. dollars in the first two months of the current 2013-14 fiscal year, central bank data showed Tuesday.

According to Bangladesh Bank (BB) data released Tuesday, the flow of inward remittances plunged over 14.46 percent year on year to 1,008.20 million U.S. dollars in the last month.

Remittances, one of the key sources of foreign exchange for the impoverished nation, in July was 1,238.96 million U.S. dollars, it showed.

The inflow of remittances from nearly 9 million Bangladeshis in the 2012-13 fiscal year which concluded in June reached a record high of nearly 15billion U.S. dollars, about 13 percent higher than the same period a year ago, the BB data showed.

Most of the remittances come from Saudi Arabia, the United Arab Emirates, the United States, Kuwait, Britain, Malaysia, Oman, Qatar, Singapore, Bahrain, Italy & Australia, according to the bank.

Jute Minister for lower interest rate

Bangladesh's Minister of Textiles and Jute, Abdul Latif Siddique, has said that single digit bank interest rates are necessary for smooth industrialization in the country.

Inaugurating the "Textech, Dye and Chem and Yarn/Fabric Exhibitons" in Dhaka, the Minister said it is not possible to remain competitive in the international market when the bank interest rate is over 18 percent.

He said if the interest rate is lowered to single digit, owners would be able to pay high wages and thus reducing labour problems. The Financial Express reported.

During the setting up of industries phase, the interest rate should be two to three percent, and the tax rate can be increased once the industries are set up, the Minister added.

Speaking from the same platform, Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) vice president Md. Hatem urged foreign investors to take advantage of various facilities offered by the Government and invest in the backward linkage.

About 450 exhibitors from more than10 countries are participating in the four-day fairs.