Bangladesh announced a six-member wage board on Sunday to address pay demands in the garment sector.
The ready-made garment industry employs about 4 million workers and generates more than 80% of Bangladesh's export earnings. Labour and Employment Minister Ariful Haque Chowdhury said the wage board was formed after discussions with workers' representatives and industry leaders. Thousands of garment workers staged fresh demonstrations on Sunday.
Police used tear gas and water cannon to disperse workers who had blocked a busy intersection in Dhaka, police said. Hundreds of workers also blocked a major highway in Gazipur. The demonstrations forced owners to shut 25 to 30 factories.
Gazipur Industrial Police Superintendent Mohammad Amjad Hossain said authorities deployed Border Guard Bangladesh personnel to maintain order. Dozens of factories suspended operations on Saturday. Ariful Haque Chowdhury warned that prolonged disruptions could delay export shipments and payments from international buyers.
Manufacturers, however, said the sector is facing mounting challenges, including rising production costs, periodic gas and electricity shortages, and uncertainty in energy markets linked to tensions in the Middle East.
