ready made garments sector in bangladesh -...
TRANSCRIPT
Mamunur Rahman
Labour Market Assessment
Ready Made Garments Sector in Bangladesh
Annex 3
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Executive Summary The Ready Made Garments (RMG) industry in Bangladesh is the single largest export earning
industry of Bangladesh contributing around 80% of total export earnings and 18% of the GDP.
The RMG industry also provides employment to around 4.4 million Bangladeshis of whom 70
percent are women. The labour intensive Ready Made Garment sector faces a shortage of
skilled workers. RMG is one of the two targeted sectors for the Skills and Employment
Programme-Bangladesh (SEP-B) co-funded by UK Department for International Development
and the Swiss Agency for Development and Cooperation. In order to design the content and
management plan for the implementation of SEP-B programme a study was carried out to
conduct detailed scoping of the labour markets for the Ready Made Garments sector in
Bangladesh. The study was conducted following a combination of secondary data research
and primary data survey.
The ready-made garments industry in Bangladesh consists of many small to medium garment
factories, both registered and unregistered, that produce garments catering to foreign buyers.
In 2013, there were 5600 registered factories mostly located in Dhaka, Gazipur, Narayangong
and Chittagong districts. The RMG sector is maintaining an average growth rate of 12% per
year and the export earnings from RMG is expected to double by 2015 and triple by 2020
compared to the earnings of 2010. With the growth of the sector the number of RMG
employees is also expected to reach 8 million by 2020.
Readymade garments manufacturers in Bangladesh are divided mainly into three broad
categories based on their products namely woven, knit and sweater garments manufacturer.
Total 36 occupations are commonly used under different production processes among which
25 fall under worker role and the rests under supervisory or technical role. Sewing is the single
largest process employing 57% of total employees followed by Finishing process employing
20% of all employees. Both Sewing and Finishing processes are highly dominant by female.
The survey result shows that most of the occupations suitable for female and DAP also related
to sewing and finishing process. Considering skill level RMG employees are categorized as
unskilled, semi-skilled and skilled. Results of different study show the distribution of these
three categories as 17%, 20% and 61% respectively. The RMG sector is currently running at
under capacity with a shortage of 15-20% skilled worker. Sewing Machine Operator is at the
top of the list in terms of number of existing and projected labour demand followed by Overlock
Machine Operator and then by Sweater Knitting Operator. High turn-over of the employees is
one of the major challenges for the employers of RMG. The turn-over tendency of unskilled
employees is higher compared to semi-skilled and then skilled employees. Minimum wage of
RMG workers is determined by the Government and the current minimum wage is 5300 taka
for the lowest grade worker, usually the unskilled workers. The wage difference between
unskilled, semi-skilled and skilled worker are very minimum which is a clear disincentive for
workers to invest for skills training. Supervisors are on top of the list in terms of monthly
earnings followed by technician and then the workers. The workers involved in sweater
production process earn based on their produced pieces and usually earn more than other
workers. The unskilled and semi-skilled employees have potential to become skilled employee
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and even supervisor by learning skills and gathering experiences. The productivity of RMG
factories largely depends on the efficiency and skills of workers. Occupations with maximum
number of employees have also significant influence to the overall productivity.
At the worker level recruitments are done through interview and by skill test of the worker. No
standard certification system exists to assess the skill level of the worker. RMG employers
prefer at least class 5 level education while recruit workers and at least class 8 for the technical
occupations and supervisors.
In RMG sector the practice of formal training is still not so popular. Only technicians and
managerial staff undergo some formal training system but for the workers and supervisors the
skills are achieved mostly through informal training which is well known as on-the-job training.
Only a small number of entrepreneurs have been investing for developing the skills of their
workforce. These are mainly multinational companies in the export-processing zones (EPZ)
as well as some large manufacturers. The percentage of such companies having their in-firm
training centre is not more than 10 percent. The high turn-over rate of skilled workers and the
pouching tendency of skilled worker by other factories create disincentives for entrepreneurs
to invest into the skills training of their workforce.
The total number and capacity of current out-of-firm training centres is nowhere near to meet
the existing skills demand of the sector. The existing out-of-firm training provision catering to
the RMG sector and overseas market can be broadly classified in to four main categories –
Government initiative, private initiative, public private partnership and aided/funded programs.
The private initiatives are initiated by the two main private industry associations BGMEA and
BKMEA and also by some NGOs. Most of the private initiatives owned by the private
entrepreneurs are centred round the EPZ areas due to the high demand from worker side as
the factories in EPZ mostly use modern automatic machines and recruit mostly operators
having knowledge of operating automatic machines. These type of private training centres
offer low cost training courses and they are sustaining their business by their own efforts.
However the poor infrastructure, low capacity, lack of training tools and machineries are the
major challenges of these private training providers.
Based on the analysis of secondary and primary data, this study has put forwarded several
recommendations for SEP-B programme in order to better design the interventions for
RMG sector such as, focusing on four districts namely Dhaka, Gazipur, Narayangonj and
Chittagong; designing separate interventions to support both in-house and out-of-firm training
initiatives; considering NGO led training centres in parallel to private training centres for
partnership; selecting the occupations from the recommended list; targeting skills
development at different levels such as, unskilled - semi-skilled – skilled - supervisory skill;
regular updating the curriculum considering technological update and need of the sector and
the workers; providing additional support to RMG employers in development of effective HR
policy, introduction of skill matrix system, improvement of working condition; finally keeping
the training duration shorter and the cost within the affordable limits of the trainees.
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Table of Contents
Executive Summary ............................................................................................................... i
Table of Contents .............................................................................................................. iii
List of Abbreviations .......................................................................................................... vi
List of Tables .................................................................................................................... vii
List of Figures .................................................................................................................. viii
CHAPTER 1 .......................................................................................................................... 1
Introduction ....................................................................................................................... 1
1.1. Rationale ............................................................................................................ 1
1.2. Background of the study .................................................................................. 1
1.3. Objectives of the study ..................................................................................... 2
1.4. Structure of the report ...................................................................................... 2
CHAPTER 2 .......................................................................................................................... 3
Approach and Methodology ............................................................................................... 3
2.1. Methodological approach ................................................................................. 4
Secondary data research ............................................................................................... 4
Interviews, consultations and discussions ...................................................................... 4
Primary data collection ............................................................................................... 4
Compilation and synthesis of findings ............................................................................ 5
2.2. Challenges and limitations of the study .......................................................... 5
CHAPTER 3 .......................................................................................................................... 6
Basic Information about the RMG Sector ........................................................................... 6
3.1 Size and geographical distribution .................................................................. 7
3.2 Current GDP contribution ............................................................................... 11
3.3 Projected GDP contribution ............................................................................ 13
3.4 Current share of employment ......................................................................... 13
3.5 Projected share of employment ..................................................................... 16
3.6 Employee demographic information .............................................................. 17
Educational level of existing employees ....................................................................... 17
Age distribution of existing employees ......................................................................... 18
CHAPTER FOUR ................................................................................................................ 19
Labour Market Assessment of RMG Sector ..................................................................... 19
4.1. Occupations, employment and wage structure ............................................ 19
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Production process and major occupations .............................................................. 19
Current employment by occupation and gender ....................................................... 21
Current employment by skill level ............................................................................. 25
Existing and projected (5 years) labour demand by occupation and skill level .......... 28
Employee turn-over by occupation and skill level ..................................................... 29
Occupation-wise wage ............................................................................................. 32
Future occupations by employment potential ............................................................ 34
Occupations suitable to female and DAP .................................................................. 35
Occupations with greatest potential for career progression....................................... 35
Occupations with greatest potential for productivity improvement ............................. 36
Duration of training to achieve skills required for different occupations ..................... 37
4.2. Managing workforce demand and job access in RMG sector ...................... 38
Recruitment practices ............................................................................................... 38
Entry requirements by occupation and skill level ...................................................... 40
4.3. Skills development practices in the RMG sector .......................................... 42
In-house training facilities ......................................................................................... 42
Out-of-firm training facilities ...................................................................................... 44
Major constraints related to hiring and retaining skilled workers ............................... 46
Practice of supporting external training centre .......................................................... 47
Practice of hiring trained persons from external training institutions and level of
satisfaction ............................................................................................................... 48
Willingness and ways to collaborate with SEP-B ...................................................... 49
4.4. Summary of analysis and findings ................................................................. 49
CHAPTER 5 ........................................................................................................................ 52
Conclusions and Recommendations ............................................................................... 52
Recommendation-1: Selection of geographical location for SEP-B interventions: ........ 52
Recommendation-2: Selection of partners for SEP-B interventions: ............................. 52
Recommendation-3: Selection of occupations: ............................................................ 53
Recommendation-4: Targeted skill level:...................................................................... 53
Recommendation-4: Support updating curriculum and course materials ...................... 54
Recommendation-5: Support to retain skilled employees ............................................. 54
Recommendation-6: Training duration and cost ........................................................... 54
References ...................................................................................................................... 56
Attachments ........................................................................................................................ 57
Attachment-1: Minimum wage structure for the RMG sector ................................. 57
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Attachment-2: List of RMG industries surveyed ...................................................... 60
Attachment-3: List of individuals consulted ............................................................ 61
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List of Abbreviations
ADB Asian Development Bank
BB Bangladesh Bank
BBS Bangladesh Bureau of Statistics
BDT Bangladeshi Taka
BEPZA Bangladesh Export Processing Zones Authority
BGMEA Bangladesh Garment Manufacturers and Exporters Association
BKMEA Bangladesh Knitwear Manufacturers and Exporters Association
BMET Bureau of Manpower , Employment and Training
BOI Board of Investment
BTEB Bangladesh Technical Education Board
CPD Centre for Policy Dialogue
DAP Differently Abled People
DFID Department for International Development
EPB Export Promotion Bureau
EPZ Export-Processing Zones
FDI Foreign Direct Investment
FY Fiscal Year
GDP Gross Domestic Products
GSP Generalized System of Preferences
HSC Higher Secondary School Certificate
ILO International Labour Organization
KII Key Informant Interview
MoF Ministry of Finance
NGO Nongovernmental Organization
PROGRESS Promotion of Social, Environmental, & Production Standards
RMG Ready-made Garment
SEP-B Skills and Employment Program-Bangladesh
SSC Secondary School Certificate
TIDC Textile Industry Development Centre
TTC Technical Training Centre
TVET Technical and Vocational Education and Training
UNDP United Nations Development Program
US United States
USAID United States Agency for International Development
WDI World Development Indicators
WTO World Trade Organization
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List of Tables
Table 3.1: Growth of the Industry and Employment ............................................................... 8
Table 3.2: Contribution of RMG sector to the total export of Bangladesh (selected years) .. 11
Table 3.3: Characteristics of population and labour force over the years (in million) ........... 13
Table 3.4: Employment by broad economic sectors (percent) in 2010 ................................ 14
Table 3.5: Rate of unemployment (percent) by age group, sex and residence in 2010........ 14
Table 3.6: Rate of unemployment (percent) by level of education in 2010 ........................... 14
Table 3.7: Age distribution of RMG employees ................................................................... 18
Table 4.1: RMG factory distribution according to type of factory (product type) ................... 19
Table 4.2: Production process of RMG factories ................................................................. 19
Table 4.3: RMG occupation list ........................................................................................... 20
Table 4.4: Percentage of existing employees in different occupations separated by gender
and DAP ............................................................................................................................. 24
Table 4.5: List of occupations with greatest absorption capacity in RMG sector .................. 25
Table 4.6: Existing and projected (5 years) labour demand by occupation and skill level .... 28
Table 4.7: RMG occupation list with average monthly salary ............................................... 33
Table 4.8: List of top 15 occupations in terms of wage ........................................................ 34
Table 4.9: List of future occupations .................................................................................... 34
Table 4.10: List of occupations suitable to female and DAP ................................................ 35
Table 4.11: List of occupations with significant contribution to the overall productivity ........ 37
Table 4.12: Duration of training to achieve the skills required for different occupations ....... 38
Table 4.13: Recruitment practice of employers ................................................................... 39
Table 4.14: Minimum education demanded for most common occupations ......................... 40
Table 4.15: Key findings on in-house training practices among surveyed factories ............. 43
Table 4.16: Comparison of different types of training providers from a qualitative perspective.
........................................................................................................................................... 45
Table 4.17: List of major constraints related to hiring and retaining skilled workers ............. 47
Table 4.18: Expectations of private sector entrepreneurs regarding skills training ............... 48
Table 5.1: List of recommended occupations for SEP-B ..................................................... 53
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List of Figures
Figure 2.1: Study Approach................................................................................................... 3
Figure 3.1: Garments Industry of Bangladesh ....................................................................... 7
Figure 3.2: RMG factories distribution by major districts ........................................................ 9
Figure 3.3: RMG workers distribution by major districts ......................................................... 9
Figure 3.4: Geographical location of RMG factories in Bangladesh ..................................... 10
Figure 3.5: Share of RMG as percentage of GDP ............................................................... 12
Figure 3.6: Share of exports as percentage of GDP ............................................................ 12
Figure 3.7: Total labour force and RMG employees ............................................................ 15
Figure 3.8: RMG employees as percent of total labour force ............................................... 16
Figure 3.9: Current and projected employment (in million) in RMG ..................................... 17
Figure 3.10: RMG workers distribution by Education level .................................................. 18
Figure 4.1: Distribution of employees in woven garments production process ..................... 22
Figure 4.2: Distribution of employees in knit garments production process ......................... 22
Figure 4.3: Distribution of employees in sweater production process .................................. 23
Figure 4.4: Distribution of employees in RMG sector .......................................................... 24
Figure 4.5: Skill Profile of RMG workers according to CPD survey ...................................... 26
Figure 4.6: Skill Profile of RMG workers according to primary data survey .......................... 27
Figure 4.7: Comparison of the survey results on the skill level distribution of RMG employees
........................................................................................................................................... 27
Figure 4.8: Employee turn-over tendency by occupation and skill level ............................... 31
Figure 4.9: Typical career progression path of RMG workers .............................................. 36
Figure 4.10: Employers' expectation of minimum educational qualification for different
occupation .......................................................................................................................... 41
Figure 4.11: Classification of Out-of-firm training provisions in RMG sector ........................ 44
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CHAPTER 1
Introduction
1.1. Rationale
Bangladesh is a developing country in South Asia and is one of the most densely
populated countries in the world with around 156 million people living in a land area of 56,977
square miles (147,570 square kilometres)1. Around 30% of the population lives below the
poverty line2. Agriculture and industry are the first two contributors to country’s economy.
Although Bangladesh is not developed in industry, Ready Made Garment (RMG) has been
one of the most important industries in the country. RMG is the single largest export earning
industry of Bangladesh contributing around 80% of total export earnings and 18% of the GDP3.
The RMG industry also provides employment to around 4.44 million people of whom 70 percent
are women. The industry is growing constantly maintaining an average annual growth rate of
12% and creates employment opportunities for thousands of poor unemployed people every
year. This steady increase in employment opportunity is significantly contributing to improve
poverty indicators in Bangladesh.
The labour intensive Ready Made Garment industry encounters shortage of skilled workers.
In order to respond to the growing market demand of Bangladeshi garments and to remain
competitive, skills development of the workers has become an important issue for the
development of this sector. On the other hand, skills training can create opportunities for the
increasing number of unemployed people and increase their income.
Designing an effective skills development programme, capable of increasing income for the
unemployed and under employed, requires an assessment of the existing skills gaps, current
and future skills demand and the expectations of different stakeholders engaged throughout
the sector. These efforts to strategically plan maximize efficiency within the RMG sector and
ensure Bangladesh remains a competitive industry supplier in the global market. As the
numbers of unemployed lessen, the Bangladesh economy strengthens to the benefit of society
as whole.
1.2. Background of the study
Private sector companies in Bangladesh consistently identify low skill levels within the labour
force as a fundamental constraint to Bangladeshi growth. The Ready Made Garments and
Construction sectors are developing rapidly, and have tremendous potential to absorb labour
1Bangladesh Bureau of Statistics (BBS). 2011, Population Census 2011. Dhaka, BBS 2 HIES 2010 3 Bangladesh Bank; Export Promotion Bureau 4 BGMEA website
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and offer employment to large numbers of uneducated men and women. However, a shortage
of skilled workers limits potential to fully capitalize on the opportunities.
The Skills and Employment Programme-Bangladesh (SEP-B) is a co-funded programme of
UK Department for International Development and the Swiss Agency for Development and
Cooperation which aims to stimulate private sector investment in training for poor people. The
£20.5 million, 5-year project, strives to cultivate an enabling policy environment and transform
private sector training markets to support the absorption of large numbers of disadvantaged
groups into skilled and semi-skilled employment. It will support skills training market that
targets the poor and those with limited education. The project interventions will be tailored to
employer needs in the Ready Made Garments and Construction industries, and linked to jobs
that improve earning potential and subsequently enable beneficiaries to graduate from
poverty. The SEP-B project is implemented by GRM International in partnership with
Swisscontact and the British Council.
Realizing that the success of SEP-B programme largely depends on the appropriate design
of content and management plan for implementation, this study was designed and carried out
during the inception period. It presents a detailed scoping of the labour markets for the Ready
Made Garments sector.
1.3. Objectives of the study
The overall objective of this study is to conduct detailed scoping of the labour markets for the
Ready Made Garments sector in Bangladesh.
The specific objectives of the study are as follows:
To map the largest firms/employers within the sector across all (7) divisions including
locations and assess their current and future demands for skilled and semi-skilled
workforce.
To assess and analyse occupations with the greatest absorptive capacity, greatest
earning potential, greatest potential for career progression, most attractive to
vulnerable groups, allowing sufficient skills development in a short training interval.
To analyse wage bands across grades.
To collect workers’ demographic information
To identify recruitment processes and entry barriers for employment, and bottlenecks
hindering sector stakeholder collaboration.
1.4. Structure of the report
Chapter 1 sets the rationale, background and objectives of the study. Chapter 2 describes the
approach and methodology adopted in this study. Chapter 3 presents basic information about
the sector including the current and projected GDP contribution and employment share of the
sector. Chapter 4 gives the assessment result of RMG labour market incorporating the results
of secondary research and primary survey conducted. Finally, Chapter 5 draws the
conclusions and provides recommendations.
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CHAPTER 2
Approach and Methodology
The study was conducted following a combination of secondary data research and primary
data survey. A schematic of the research approach is shown in Figure 0.1. The present
study made use of a mix of research techniques and tools. The choice and application of
tools and techniques were done based on the overall objective of the study, type and
quality of information at hand, resource and time constraints, and local situations. This
adaptive approach was necessary to conduct the study in most efficient manner. Research
was conceptualized based on review of existing literature and professional experience of
the researcher. The researcher has 9 years of working experience in the field related to
the Ready Made Garments sector in Bangladesh.
Figure 0.1: Study Approach
Study Approach
Conceptualization Analysis and
Synthesis Reporting
Primary Data Survey
KII
Survey of Employers
Consultation
Secondary Data Research
Literature Review
Data collection
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2.1. Methodological approach
Secondary data research
A total of 16 sources were utilized for secondary data analysis. The background report
on RMG for the study titled “Private Sector Training Certification and Employment
Services in Bangladesh” commissioned by UK Department for International Development
in 2012 was an especially key secondary document used for this study. Labour market
study reports of Unnayan Onneshan were collected and used as reference. Economic
data were collected from various sources such as Bangladesh Bank, Ministry of Finance,
Export Promotion Bureau and World Bank for analysis. Labour force data were collected
from Bangladesh Bureau of Statistics and World Bank. The Department of Inspection for
Factories and Establishments was the key source of data related to RMG factories and
worker. Data compiled by BGMEA and BKMEA, the two associations of RMG employers,
were also collected for analysis. A list of reference is given at the end of this report.
Interviews, consultations and discussions
In order to validate the findings from secondary research as well as collect new
information, concerned persons of the employers’ associations from BGMEA and BKMEA
were consulted. In addition, owners of Private Training Centres and RMG Employers were
also interviewed for the purpose of this study. A list of persons consulted is given as
ANNEX-2 and 3 of this report.
Primary data collection
For the purpose of primary data collection statistical sampling rule was followed. As per the
BGMEA, there are 5600 garment factories in the industry whereas BKMEA estimates this
number as 53005. These estimations clearly indicate absence of clear database. Therefore,
to be on safe side, total number of factories was considered as 5600 and following methods
have been used for calculating the sample size.
Population size : 5600 Confidence level : 90% Margin of error : 12% Sample size : 45
The following formula was used to calculate the sample size:
Sample size =
Z2 * (p) * (1-p)
c2
Where:
Z = Z value (1.645 for 90% confidence level)
p = percentage picking a choice, expressed as decimal (0.5 used for sample size
5 Based on consultation carried out at BGMEA and BKMEA headquarters on 07 May 2014.
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needed)
c = confidence interval, expressed as decimal (here .12 = ±12)
The available data show that 99%6 of the industries are located in four districts: Dhaka (40%),
Gazipur (38%), Narayangonj (10%) and Chittagong (11%) district. Hence samples were
selected using random sampling method proportionally from these four districts. An available
list of 1566 RMG factories was used to randomly select factories for the survey.
Given the time constraints and sensitivity of doing employee survey, interviews were
conducted only with the employers. A mix of quantitative and qualitative surveying would be
the ideal methodology of this study, but due to time limitations a qualitative assessment could
not be completed. A thorough and detailed questionnaire with both open-ended and close-
ended questions was prepared for collection of primary data focusing on major research
questions and is presented in ANNEX-4 of this report.
Compilation and synthesis of findings
The findings from secondary data research, primary surveying, key informant interview,
discussions, consultations and literature review were documented and summarized. The
results of analysis were summarized in tabular formats, charts and diagrams. Finally, the
findings were synthesized and are reported in Chapters 3, 4 and 5.
2.2. Challenges and limitations of the study
Limited Secondary Data- Due to lack of available data, several tables and charts
presented in this report are based on the author’s calculation combining available
secondary data. The distribution of RMG industries and employees by major districts is
an example of this.
Insufficient Study Time- Due to time limitation the sample size was determined with
high margin of error (12%). However, given the homogeneity of the industrial units and
considering the fact that the primary survey is to validate the existing secondary
information, 12% margin of error is still acceptable. In addition the survey questions are
of more qualitative nature and open ended. Hence high margin of error will not affect the
interpretation significantly.
Limited Staffing Resources for Delivery- Due to resource limitations in staffing the
primary data collection had to be outsourced to an external firm. However, the research
team guided the enumerators and monitored the quality aspect through- out the survey.
Sector Sensitivity- Considering the sensitivity and restrictions from employers’ side,
primary surveying was not conducted at employee level. The employee demography has
been collected from available secondary sources and has been incorporated into this
report.
6 Website of Department of Inspection for Factories and Establishments (http://www.dife.gov.bd), May, 2014
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CHAPTER 3
Basic Information about the RMG Sector
The Ready Made Garment (RMG) industry in Bangladesh is only thirty five years old since the
first garment exporting unit took the first step in the clothing export market in 1978. Currently
Bangladesh holds more than 4 percent share in the
global clothing export market and has positioned itself
as the third-largest garment exporting country in terms
of value after China and Turkey.
RMG roughly covers 80 per cent of the total export
revenue of the country and is the highest earning
industry in the economy.7 Total GDP of the country is
129.8 billion US$ (FY: 2013) where the RMG sector
contributes 18%. Around 6% of the total workforce is
employed by this sector.
The ready-made garments industry in Bangladesh
consists of many small to medium garment factories,
both registered and unregistered, that produce
garments catering to foreign market. In 2013, there
were 5,600 registered factories that employed 4.4
million workers8 of whom 70 percent were women.
RMG products are of two major types: knit garments and woven garments. Historically,
Bangladesh focused on producing knit garments but in recent times Bangladesh is more
successful in woven production as well. Recently Bangladesh enjoyed being the second
largest knitwear exporter in terms of volume in 2012. The knitwear and woven garments export
volume has grown at 10% and 15% respectively in FY 2012-13, which is higher than that in
FY 2011-129.
The competitiveness of garments exporters largely depends on the fulfilment of four main
expectations of buyers namely low cost, better quality, product variations and delivery in the
shortest possible time. It is obvious that ensuring high quality and having product variation
requires skilled workers. Improving productivity influences the maintenance of low cost and
ability to meet delivery dates. When garment factories are functioning optimally, management
can appropriate adequate attention to overcoming challenges such as the increasing cost of
raw materials, power crises and transportation bottlenecks. In order to respond positively to
7 Bangladesh Bank; Export Promotion Bureau 8 BGMEA website. 9 Bangladesh Bank; Export Promotion Bureau
Box 1: Key facts and figures of RMG sector:
More than 5500 RMG
factories in BD and rising
Average annual growth rate
is 12%
79.6% of export earnings
and 18% of GDP come from
the RMG sector.
40% (4.4 M) of the industrial
workforce or 6% of the total
workforce is directly
employed by the RMG
sector.
70% of workers in the RMG
sector are women.
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the growing market demand of Bangladeshi garments and to remain competitive, skills
development has become the most important issue for the development of the sector.
3.1 Size and geographical distribution
The broad Garments industry of Bangladesh is mainly divided into two sectors namely Textile
and RMG. Textile sector comprises of spinning mills and textile factories. Both spinning mills
and textile factories use imported and locally produced cotton as raw material to produce yarn,
fabric and home textiles. The yarn produced by the spinning mills and fabric by the textile
factories are used as raw materials by the RMG factories. The home textiles (such as bed
sheet, curtain, towel etc.) are also exported mainly to US and EU markets. RMG sector
comprises of woven garments factories, knit garments factories and sweater factories. These
factories use yarn, fabric and accessories (both imported and locally produced) as raw
materials to produce Ready Made Garments. The RMG products are mostly exported to
different parts of the world and a small portion is catering to the local market. Other than Textile
and RMG factories there are also tailoring shops catering to local markets only by making
tailored garments. Accessories manufacturers are also part of the Garments Industry who
produces accessories like button, zipper, label, packing materials etc. and supply to RMG
factories as well as the Tailoring shops. The following figure shows the overall picture of the
Garments industry in Bangladesh:
Figure 0.1: Garments Industry of Bangladesh
Source: Author’s compilation
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During the last two and a half decades, there has been a steady growth in the field of RMG.
The RMG industry enjoyed a tremendous rise from 30 enterprises in 1980 to 5600 in FY2012-
13. Data in Table 0.1 depicts the growth of the industry in terms of number of (registered) units
and workers employed in RMG sector.
Table 0.1: Growth of the Industry and Employment
Year Number of Garment
Factories
Employment in Million
Workers
1983-84 134 0.04
1984-85 384 0.12
1985-86 594 0.20
1986-87 629 0.28
1987-88 685 0.31
1988-89 725 0.32
1989-90 759 0.34
1990-91 834 0.40
1991-92 1163 0.58
1992-93 1537 0.80
1993-94 1839 0.83
1994-95 2182 1.20
1995-96 2353 1.29
1996-97 2503 1.30
1997-98 2726 1.5
1998-99 2963 1.5
1999-00 3200 1.6
2000-01 3480 1.8
2001-02 3618 1.8
2002-03 3760 2
2003-04 3957 2
2004-05 4107 2
2005-06 4220 2.2
2006-07 4490 2.4
2007-08 4743 2.8
2008-09 4925 3.5
2009-10 5063 3.6
2010-11 5150 3.6
2011-12 5400 4
2012-13 5600 4.4
Source: BGMEA website: http://www.bgmea.com.bd (accessed in May 2014).
There is a clear lack of reliable data on RMG factories in Bangladesh. The available data from
the Department of Inspection for Factories and Establishments shows that the RMG factories
are mostly located in Dhaka, Gazipur, Chittagong and Narayangonj district. Almost 99% of the
RMG factories are located in these four districts. The rest of the factories are scattered in
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Comilla, Narsingdi, Tangail, Mymensing and Manikganj. The following graph shows the
geographical distribution of the RMG factories in Bangladesh:
Figure 0.2: RMG factories distribution by major districts
Source: Author’s calculation based on available data from the website of Department of Inspection for Factories and Establishments (http://www.dife.gov.bd)
The distribution of RMG employees also follows the pattern of factories. Almost 99% of the
RMG employees are working in Dhaka, Gazipur, Chittagong and Narayangonj districts. The
following graph (
Figure 0.3) shows the geographical distribution of RMG employees in Bangladesh:
Figure 0.3: RMG workers distribution by major districts
Source: Author’s calculation based on available data from the website of Department of Inspection for Factories and Establishments (http://www.dife.gov.bd)
Dhaka, 39.78%
Gazipur, 37.87%,
Chittagong, 10.87%
Narayanganj, 10.13%
Dhaka
Gazipur
Chittagong
Narayanganj
Mymensingh
Manikganj
Tangail
Comilla
Narsingdi
39.8%37.9%
10.9% 10.1%
0.8% 0.3% 0.2% 0.0% 0.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
Perc
en
tag
e
Districts
Female
Male
Total%
Skills and Employment Programme - Bangladesh
10
10
Figure 0.4: Geographical location of RMG factories in Bangladesh
RMG Factories
Bangladesh Map
Skills and Employment Programme - Bangladesh
11
11
3.2 Current GDP contribution
The economy of Bangladesh has undergone rapid structural transformation from an agrarian
base towards manufacturing and services. The contribution of the agriculture sector to GDP
has decreased from 49 percent in 1973-74 to around 18.7 percent in 2012-13. Over the same
period, the contribution of service sector has increased from 40 percent to 54 percent. The
industry share to GDP has also increased from 11 percent in 1973-74 to 29 percent in 2012-
13.10 The growth of industrial production has averaged more than 6% over the last 5 years.
The export sector has been the main contributor of industrial growth, where ready-made
garments played a leading role experiencing an average growth of 16 percent over the last 5
years. The bulk of exports are manufactured/processed products, ready-made garments and
knit wears11.
The country’s export-oriented RMG sector has been making significant contributions to the
economic development of Bangladesh since 1980. The earning of foreign exchange,
improving the balance of payments and dramatic employment creation, particularly for women,
has significantly contributed to poverty reduction. The sector is also encouraging the creation
of different forward and backward linkages contributing to the overall economic activities of
Bangladesh. The closely related sectors with the RMG sector are textile, transport, freight
forwarding, bank and insurance services, housing services, real estate, storage, machinery,
and cotton cultivation.
Contribution of the RMG sector to the total export has been presented in Table 3.2.
Table 0.2: Contribution of RMG sector to the total export of Bangladesh (selected years)
Year Export of RMG (in million US$)
Total export of Bangladesh (in million US$)
% of RMG to total exports
1983-84 31.57 811.00 3.89
1987-88 433.92 1231.2 35.24
1991-92 1182.57 1993.90 59.31
1995-96 2547.13 3882.42 65.61
1999-00 4349.41 5752.20 75.61
2003-04 5686.09 7602.99 74.79
2006-07 9211.23 12177.86 75.64
2007-08 10699.80 14110.80 75.83
2008-09 12347.77 15565.19 79.33
2009-10 12496.72 16204.65 77.12
2010-11 17914.46 22924.38 78.15
2011-12 19089.69 24287.66 78.60
2012-13 21515.73 27018.26 79.63
Source: BGMEA website: http://www.bgmea.com.bd/home/pages/TradeInformation (accessed in May
2014).
In terms of GDP, RMG’s contribution is highly remarkable; it has reached 18.5 percent of GDP
by 2012 which was only about 0.54 percent in 1985. Figure 0.5 and Figure 0.6 below show
10 BBS, 1978; Bangladesh Bank 2014 11 Bangladesh Bank 2014
Skills and Employment Programme - Bangladesh
12
12
the share of RMG exports and total exports as a percentage of GDP, respectively. The export
share of GDP is also showing a positive trend over the years, and this is mainly due to the
rapid growth of the RMG sector. The export share of GDP was 6% in 1985, which has
increased to 23 percent in 2012. It presents a positive trend, despite slight decline in 2009 and
2010 due to the global financial crisis.
Figure 0.5: Share of RMG as percentage of GDP
Source: WDI 2013 online database
Figure 0.6: Share of exports as percentage of GDP
0
2
4
6
8
10
12
14
16
18
20
1980 1984 1988 1992 1996 2000 2004 2008 2012
Sh
are
of
GD
P (
perc
en
t)
Year
Share of RMG as % of GDP
0
5
10
15
20
25
1980 1984 1988 1992 1996 2000 2004 2008 2012
Sh
are
of
GD
P (
perc
en
t)
Year
Share of Exports as % of GDP
Skills and Employment Programme - Bangladesh
13
13
Source: WDI 2013 online database
3.3 Projected GDP contribution
Even after political turmoil, the incidence of devastating fire at Tazreen Fashion and the
building collapse of Rana Plaza, RMG export earnings assumed a positive and satisfactory
growth rate in FY 2012-13 and in the first eight months of this current fiscal year (FY 2013-
14). The main reason behind the success is increase in the non-traditional markets. The export
of readymade garments reached USD 12233.23 million comprising 81.7 percent of total export
receipts during July-February of FY 2013-14 compared to USD 10225.68 million comprising
80.2 percent of total export receipts during the corresponding period of FY 2012-13. During
July-January of FY 2013-14, export growth rate of readymade garments increased by 17.72
percent where the growth rate was 9.92 percent respectively in the corresponding previous
fiscal year. This gives a clear indication of further increase of the RMG share in total exports
and in GDP for the fiscal year 2013-14.
The Bangladesh RMG industry will continue to face growing demand. McKinsey has forecast
demand growth through 202012. Citing the trend of global buyers, the report forecasts that
Bangladesh would fetch up to US$ 42 billion annually from RMG exports in the next 10 years
by maintaining an annual growth between 7 and 9 percent. The report in its near-term estimate
also said that the earning would be double by 2015 and triple by 2020. The report said the
advantages in price, capacity, capability and trade regulations provide the base for positive
RMG growth in Bangladesh, which will be accelerated further in the future, driven by the
increasing demand of international buyers from Europe, the US and many emerging markets.
A shift in orders from China to Bangladesh, for cost competitiveness, is a major reason behind
the rise in exports.
The report, however, said that the country’s RMG sector would face some major challenges
to achieve the status of a global hub. The challenges include poor infrastructure, limited inland
transport alternatives and lack of a deep-sea port.
3.4 Current share of employment
At national level the latest labour force survey was conducted back in 2010. The survey reported total labour as 56.7 million of which 54.1 million as employed and 2.6 million as unemployed. The total country population was 147.74 million during 2010 whereas the population of Bangladesh as of 2013 was 156.3 million. So it can be assumed that since 2010 the labour force of Bangladesh has also increased significantly. The following tables summarize the key results of labour force survey 2010.
Table 0.3: Characteristics of population and labour force over the years (in million)
Year
population Working age Employed Unemployed
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
To
tal
12 McKinsey (2011), Bangladesh’s ready-made garments landscape-The challenge of growth
Skills and Employment Programme - Bangladesh
14
14
1999-00 64.09 60.26 124.35 38.30 35.90 74.20 31.10 7.90 39.00 1.10 0.70 1.80
2002-03 68.33 65.08 133.41 41.20 39.60 80.80 34.50 9.80 44.30 1.50 0.50 2.00
2005-06 70.04 67.26 137.30 43.01 41.58 84.59 36.10 11.30 47.40 1.20 0.90 2.10
2010 74.15 73.59 147.74 47.85 47.74 95.59 37.90 16.20 54.10 1.60 1.00 2.60
Source: Labour Force Survey (LFS), 2010
Table 0.4: Employment by broad economic sectors (percent) in 2010
Broad Economic Sectors
Total Male Female
Agriculture 47.56 40.18 64.84
Non-agriculture 53.07 60.71 35.21
Manufacturing 12.44 12.73 11.77
Other industry 5.28 6.87 1.55
Services 35.35 41.11 21.89
Source: Labour Force Survey (LFS), 2010
Table 0.5: Rate of unemployment (percent) by age group, sex and residence in 2010
Age group
Bangladesh Urban Rural
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
Total 4.50 4.10 5.70 6.50 5.70 8.30 4.00 3.60 4.90
15-19 10.60 9.80 11.40 12.40 11.70 13.40 10.10 9.80 10.60
20-24 7.10 6.80 7.70 9.90 8.70 11.50 6.30 6.20 6.40
25-29 5.40 4.30 7.30 7.90 6.30 10.80 4.60 3.70 6.20
30-34 4.20 3.80 4.80 5.60 5.00 6.90 3.60 3.40 4.00
35+ 2.40 2.40 2.70 3.90 3.90 3.80 2.00 1.90 2.40
Table 0.6: Rate of unemployment (percent) by level of education in 2010
Level of Education
Bangladesh Urban Rural
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
To
tal
Ma
le
Fe
male
Total 4.50 4.00 5.70 6.50 5.70 8.30 3.90 3.60 4.90
No education 2.80 2.30 4.10 3.80 3.40 4.60 2.60 2.10 3.90
Class I-V 3.80 3.40 4.70 5.10 4.40 6.40 3.50 3.10 4.20
Class VI- VIII 5.20 4.80 5.90 5.60 5.10 6.90 4.60 4.70 5.70
Class IX-X 7.20 6.80 7.90 9.10 7.40 12.40 6.50 6.50 6.80
SSC/equivalent 7.30 7.50 6.80 9.70 9.40 10.60 6.20 6.70 4.80
HSC/equivalent 13.70 11.80 19.50 17.00 13.90 25.40 11.40 10.40 14.60
Degree/ equivalent 0.50 0.40 1.30 0.40 0.40 0.60 0.60 0.30 2.00
Master’s/equivalent 10.30 8.20 19.90 11.50 9.20 20.00 8.60 6.90 19.40
Skills and Employment Programme - Bangladesh
15
15
Engineering/ medical 14.30 10.60 30.80 14.70 11.70 27.60 12.30 5.90 48.10
Technical/ vocational 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Others 2.90 0.00 9.70 0.00 0.00 0.00 3.90 0.00 23.40
As per the World Development Indicators database of World Bank the current labour force is 76 million as of year 2012. The following graph shows the trend of labour force from 1990 to 2012 and the number of employment in RMG sector.
Figure 0.7: Total labour force and RMG employees
Source: Author’s calculation based on data from World Bank and BGMEA The share of RMG employment in total labour force is gradually increasing over last two decades. Currently RMG employment is around 6% of the total labour force and 40% of the industrial workforce. The following graph shows the share of RMG employment in total labour force from 1990 to 2012.
0
10
20
30
40
50
60
70
80
Nu
mb
er
(in
millio
n)
Year
Total labour force vs RMG employment
RMG employment (in million) Total labor force (in million)
Skills and Employment Programme - Bangladesh
16
16
Figure 0.8: RMG employees as percent of total labour force
Source: Author’s calculation based on data from World Bank and BGMEA
3.5 Projected share of employment
Industry leaders from the Bangladesh Garment Manufacturers’ and Exporters’ Association
(BGMEA) and Bangladesh Knitwear Manufacturers’ and Exporters’ Association (BKMEA) find
the shortage of workers crucial to full capacity utilization. According to them, the estimated
need hovers around 20% to fill up the vacant positions in the industry. At present employment
of the RMG sector is about 4.4 million. Considering 20% shortage of workers the current
employment capacity of the sector becomes 5.28 million.
As mentioned in section 1.1.2 McKinsey forecasted 7 to 9 percent annual growth of the RMG
industry till 2020. Considering 8% annual growth the projected number of employment in RMG
sector will reach 8 million by 2020. The following graph shows the current and projected
employment in RMG sector from 2000 to 2020.
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
Perc
en
t
Year
Share of RMG employees as % of total labour force
Skills and Employment Programme - Bangladesh
17
17
Figure 0.9: Current and projected employment (in million) in RMG
Source: Author’s calculation based on BGMEA data and McKinsey (2011) research report.
3.6 Employee demographic information
Educational level of existing employees
Although the national literacy rate for the population of age 15 and above is 57 percent (WDI
2011), among the garment workers surveyed by CPD in 2006, 95.4 percent are literate.
According to the survey 63 percent of the interviewed workers have an education beyond the
primary level, 33 percent up to class ten, and 21 percent up to a secondary school certificate
(SSC), 7 percent up to the HSC, and 2 percent bachelor and above.
1.8 1.8 2 2 2 2.2 2.42.8
3.5 3.6 3.64
4.44.75
5.135.54
5.996.47
6.987.54
8.14
0
1
2
3
4
5
6
7
8
9
Nu
mb
er
of
em
plo
ym
en
t (i
n m
illio
n)
Year
Current and projected employment in RMG
Current employment Projected employment
Skills and Employment Programme - Bangladesh
18
18
Figure 0.10: RMG workers distribution by Education level
Source: CPD/GATE survey 2006
Age distribution of existing employees
According to the CPD survey (in 2006) Average age of a male worker in the sample was 25.4
years, while that of a female worker was 24.4 years. It appeared that a female worker ends
her working life in the apparel sector in most cases before she reaches 30 years of age
possibly because of marriage, stress of work, etc.
A recent survey report published in the ABC Journal of Advanced Research, Volume 2, No 2
(2013) shows that majority of workers are in the age group of 20-30 years. The following table
shows the age distribution of the employees of five garments factories surveyed in 2013.
Table 0.7: Age distribution of RMG employees
Age Percent
less than 20 years 11.3
20-30 years 66
30 years and above 22.6
Total 100
Source: Survey result published in ABC Journal of Advanced Research, Volume 2, No 2
(2013)
No Education, 5%
Primary, 32%
Up to Class Ten, 33%
SSC, 21%
HSC, 7%
Bachelor and above, 2%
Employee distribution by education level
No Education
Primary
Up to Class Ten
SSC
HSC
Bachelor and above
Skills and Employment Programme - Bangladesh
19
19
CHAPTER FOUR
Labour Market Assessment of RMG
Sector
4.1. Occupations, employment and wage structure
Production process and major occupations
Ready-made garments manufactured in Bangladesh can be divided mainly into three broad
categories: woven, knit and sweater. Shirts, trousers, jackets are the main woven products
and undergarments, socks, stockings, T-shirts, polo-shirts and other casual and soft garments
are the main knit products. Sweaters can be broadly categorized under knit garments, but
because of the difference in manufacturing processes the product type is considered a
completely separate sub category. Depending on the type of products produced the garments
manufacturers are also divided into three types namely – woven garments manufacturer, knit
garments manufacturer and sweater manufacturer. The exact number of factories of these
three types is not available. The following table gives an estimate of the distribution of RMG
factories according to their type. The derived percentage also matches with national data on
commodity wise export earnings.
Table 0.1: RMG factory distribution according to type of factory (product type)
Source: Author’s calculation based on available data from the website of Department of Inspection for Factories and Establishments (http://www.dife.gov.bd) accessed in May, 2014
The woven garments manufacturers mostly import fabrics and perform Cutting, Sewing and
Finishing. Whereas the knit garments manufacturers are self-sufficient and perform Knitting,
up to Finishing. The production process of sweater is different from woven and knit garments.
The production steps involved in the three types of products are summarized in below table:
Table 0.2: Production process of RMG factories
Product type
Pro
duction
pro
cess Woven Knit Sweater
Cutting Knitting Winding
Sewing Dyeing Knitting
Finishing Cutting Linking
Printing Trimming
Embroidery Mending
Sewing Washing
Finishing Finishing
Type of factory Percent
Woven 55%
Knit 29%
Sweater 16%
Total 100%
Skills and Employment Programme - Bangladesh
20
20
The occupations involved in the production processes of RMG can be broadly classified in 4
different categories –
Managerial: All managerial level staff including General Manager, Production Manager, HR Manager, Compliance Manager etc.
Supervisory: Sewing line supervisor, cutting supervisor, finishing supervisor etc. mainly assigned for the supervision of a group of workers.
Technician: Employees with technical knowledge like Machine Mechanic, Electrician, Boiler Operator, Generator Operator etc.
Worker: All workers including Assistant, Operators and Senior Operators who are responsible to perform operation(s) involved in the production of a complete garment. The Government has classified the workers of the RMG sector into 7 different grades for the purpose of defining minimum wages for each grade by the minimum wage gazette 2006 which was revised latest in December 201313. The lowest grade ‘VII’ is assigned for the unskilled worker known as ‘Assistant/Helper’ and from grade ‘VI’ up to grade ‘III’ are assigned for semi-skilled to highly skilled workers respectively. Grade I & II are assigned for the technical staff such as Chief Cutting Master, Quality Controller, Electrician, Mechanic etc.
Other than the managerial roles there are 36 occupations commonly involved in the production
processes of Woven, Knit and Sweater products. Out of these 36 occupations 6 are
Supervisory, 5 Technician and remaining 25 fall under Worker category. The following table
lists the 36 occupations related to RMG sector:
Table 0.3: RMG occupation list
Production Process Occupation
Type of factory Role
Wo
ven
Ga
rme
nts
Kn
it
Ga
rme
nts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Fabric Knitting Circular Knitting Machine Operator No Yes No No No Yes
Knitting Supervisor No Yes No Yes No No
Dyeing
Dyeing Machine Operator No Yes No No No Yes
Dyeing Supervisor No Yes No Yes No No
Washing Man No Yes Yes No No Yes
Cutting
Marker Yes Yes No No No Yes
Cutter Yes Yes No No No Yes
Band Knife Machine Operator Yes Yes No No No Yes
Cutting Master Yes Yes No Yes No No
Printing
Screen man No Yes No No No Yes
Printing Operator No Yes No No No Yes
Printing Supervisor No Yes No Yes No No
Embroidery Embroidery Machine Operator No Yes No No No Yes
Sewing Sewing Machine Operator Yes Yes No No No Yes
13 Ministry of Labour and Employment. (2013)
Skills and Employment Programme - Bangladesh
21
21
Production Process Occupation
Type of factory Role
Wo
ven
Ga
rme
nts
Kn
it
Ga
rme
nts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Fusing Machine Operator Yes Yes No No No Yes
Overlock Machine Operator Yes Yes No No No Yes
Button Machine Operator Yes Yes No No No Yes
Kansai Machine Operator Yes Yes No No No Yes
Sewing Line Supervisor Yes Yes No Yes No No
Finishing
Iron Man Yes Yes No No No Yes
Quality Inspector Yes Yes No No No Yes
Folder Yes Yes No No No Yes
Poly Man Yes Yes No No No Yes
Packer/ Packing Man Yes Yes No No No Yes
Quality Controller Yes Yes No Yes No No
Sweater Production
Winding Machine Operator No No Yes No No Yes
Sweater Knitting Machine Operator No No Yes No No Yes
Linking Machine Operator No No Yes No No Yes
Mending Operator No No Yes No No Yes
Trimming Operator No No Yes No No Yes
Light Check Operator No No Yes No No Yes
Technical
Boiler Operator Yes Yes Yes No Yes No
Generator Operator Yes Yes Yes No Yes No
Electrician Yes Yes Yes No Yes No
Machine Mechanic Yes Yes Yes No Yes No
ETP Operator No Yes No No Yes No
Source: Author’s compilation based on discussion with RMG employers
The above list does not include ‘Assistant’ position as assistant can be assigned for any
process and for any occupation, for example Assistant Sewing Machine Operator, and they
are mostly the unskilled workers.
Current employment by occupation and gender
The exact number of employees involved in different occupations is not available at
aggregated level. However because of the homogeneity of the factories and the production
processes it is possible to estimate the employee distribution per production process.
Figure 0.1 shows the employee distribution of woven garments factories. It is clear from the
graph that the majority of employees are involved in sewing process. The percentage of total
employees involved in sewing process is as high as 72.4%. Sewing is a highly female
dominant process. 78% of the employees working in different occupations under sewing
section are female. Finishing is the second largest process which employs around 24% of the
total workers. Finishing is also highly female dominant process and around 75% of the exiting
employees in finishing process are female. Remaining 3.6% workers are involved in male
dominant cutting process.
Skills and Employment Programme - Bangladesh
22
22
Figure 0.1: Distribution of employees in woven garments production process
Source: Author’s calculation based on the employee data from woven garments factories
Figure 0.2 shows the employee distribution of knit garments factories. It is clear from the graph
that the majority of employees are involved in sewing process. Almost 60% of total workers
are employed in various occupations under sewing process among which 74% are female.
Finishing is the second largest process which employs around 17% of the total workers.
Finishing is also highly female dominant process and around 77% of the exiting employees in
finishing process are female. Remaining 23% workers are involved in knitting, dyeing, cutting,
printing and embroidery process. These processes are male dominant due to the involvement
of heavy machineries and physical labour.
Figure 0.2: Distribution of employees in knit garments production process
78%
75%3.6%
72.4%
24.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
Cutting Sewing Finishing
Perc
en
tag
e o
f em
plo
yees
Production process
Distribution of employees in woven garments production process
Male Female Total%
74%
77%3.9%7.2% 7.0%
3.4% 1.5%
59.5%
17.5%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
Knitting Dyeing Cutting Printing Embroidery Sewing Finishing
Perc
en
tag
e o
f em
plo
yees
Production process
Distribution of employees in knit garments production process
Male Female Total%
Skills and Employment Programme - Bangladesh
23
23
Source: Author’s calculation based on the employee data from knit garments factories
Figure 0.3 shows the employee distribution of sweater factories. Sweater knitting involves
around 40% employees and the process is completely dominated by male. 96% of the existing
knitting employees are male. Trimming is the second largest process which employs 24% of
the employees and highly dominant by female. Linking and finishing are next two largest
processes which employ 18% and 12% employees respectively. Half of the employees of
these two processes are female.
Figure 0.3: Distribution of employees in sweater production process
Source: Author’s calculation based on the employee data from sweater factories
Now combining the data from Table 0.1: RMG factory distribution according to type of factory
(product type)’ and the distribution of employees in different types of factories shown above,
it is possible to estimate the distribution of employees according to the production process at
aggregated level for the overall RMG sector.
Figure 0.4 shows the employee distribution according to the production process at aggregated
level for the overall RMG sector. Clearly sewing is the single large process which employs
57% of the total employees of RMG sector. The process is highly female dominant and 77%
of the existing employees of sewing process are female. Finishing is the second largest
process by employing 20% of all RMG employees and also female dominant. Rests of the
processes employ remaining 27% of the employees and most of these processes are male
dominant.
96%
59% 93%
55%1.5%
39.8%
18.3%
24.2%
2.8%0.7%
12.7%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
Winding Knitting Linking Trimming Mending Washing Finishing
Perc
en
tag
e o
f em
plo
yees
Production process
Distribution of employees in sweater production process
Male Female Total%
Skills and Employment Programme - Bangladesh
24
24
Figure 0.4: Distribution of employees in RMG sector
Source: Author’s calculation based on the employee data from different types of factories and available data from the website of Department of Inspection for Factories and Establishments (http://www.dife.gov.bd)
The primary data survey result also supports the findings of above secondary data research.
The survey result shows that Sewing Machine Operator is the single largest occupation
employing 71.7% of the total employees and 67% of the existing Sewing Machine Operators
are female. The following table shows the percentage of current employees employed in
different occupations in the surveyed RMG factories:
Table 0.4: Percentage of existing employees in different occupations separated by gender
and DAP
Occupations Percentage of employee
Male Female DAP Total
Sewing Machine Operator 33% 67% 0.1% 71.7%
Overlock Machine Operator 43% 57% 0.0% 6.8%
Quality Inspector 40% 60% 0.1% 5.5%
Sweater Knitting Machine Operator 92% 8% 0.1% 4.3%
Cutter Man 66% 34% 0.0% 3.1%
Linking Machine Operator 29% 71% 0.2% 1.7%
Fusing Machine Operator 36% 64% 0.0% 1.7%
Printing Operator 71% 29% 1.3% 0.4% Mending Operator 7% 93% 0.0% 0.4% Machine Mechanic 100% 0% 0.0% 0.4%
Embroidery Machine Operator 34% 66% 0.0% 0.3% Winding Machine Operator 60% 40% 0.0% 0.0% Others 91% 9% 0.0% 3.8%
All current occupations 40% 60% 0.1% 100%
Source: Primary data survey 2014.
77%
76%
57.1%
20.3%
6.4%4.0% 3.9% 2.9% 2.0% 1.1% 1.0% 0.4% 0.4% 0.2% 0.1%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
Perc
en
tag
e o
f em
plo
yees
Production process
Distribution of employees in RMG production process (combined)
Male Female Total%
Skills and Employment Programme - Bangladesh
25
25
By comparing the results of secondary data research and primary data survey results it is clear
that more than 90% of the existing employees of RMG sector are working in occupations
involved in Cutting, Sewing, Finishing and some of Sweater production process. The below
table lists the occupations with greatest absorption capacity in RMG sector:
Table 0.5: List of occupations with greatest absorption capacity in RMG sector
Production Process Occupation
Type of factory Role
Wo
ven
Ga
rme
nts
Kn
it
Ga
rme
nts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Cutting Cutter Man Yes Yes No No No Yes
Sewing
Sewing Machine Operator Yes Yes No No No Yes
Fusing Machine Operator Yes Yes No No No Yes
Overlock Machine Operator Yes Yes No No No Yes
Button Machine Operator Yes Yes No No No Yes
Kansai Machine Operator Yes Yes No No No Yes
Finishing
Iron Man Yes Yes No No No Yes
Quality Inspector Yes Yes No No No Yes
Folder Yes Yes No No No Yes
Poly Man Yes Yes No No No Yes
Packer/ Packing Man Yes Yes No No No Yes
Sweater Sweater knitting No No Yes No No Yes
Linking Machine Operator No No Yes No No Yes
Source: Author’s compilation based on analysis
Current employment by skill level
The workforces employed in RMG sector are classified into three different skill levels – (a)
Skilled; (b) Semi-skilled and (c) Unskilled. Based on discussions with RMG sector experts,
definitions commonly used by senior management of the sector have been adopted in this
study.
Skilled Worker: A skilled worker is viewed to have the expertise and experience to conduct multiple operations without close supervision.
Semi-Skilled Worker: A Semi-skilled worker has the experience and ability to perform one operation effectively.
Unskilled Worker: An unskilled worker requires supervision and is limited to perform one duty only.
The GIZ/Progress Project conducted a survey in 2005 to capture the skill profile of the RMG
workers in Bangladesh. The survey results showed that more than two thirds (69%) of the
workforce is considered to be skilled workers, 14% are believed to be semi-skilled and the
remaining 17% are unskilled workers.
Skills and Employment Programme - Bangladesh
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26
For benchmarking minimum wages of the RMG workers, the Government Gazette of
November 2006 and thereafter October 2010 and December 2013 provide a classification of
workers from grades 1 to 7. For the purpose of a skill gap analysis CPD conducted a study in
2008 and categorized workers in the following four categories14:
Unskilled Worker: usually grade VII workers15 who are assistant operators or usually called helpers
Semi-Skilled Worker: Grade VI and Grade V workers who are mainly general operators and junior operators
Skilled Worker: Grade IV and Grade III workers, operators and senior operators, who are working for more than three years.
Professional: This category refers to management staff.
According to the CPD survey, 20% of the total workers of the RMG sector fall into the unskilled
category, 29.9% into the semi-skilled category, 44.3% into the skilled category and only 5.8%
into the professional category. The results from the CPD survey slightly differ from the results
of the GIZ survey.
Figure 0.5: Skill Profile of RMG workers according to CPD survey
Source: CPD/GATE survey 2006
14 The classification has left out two more categories namely grade I for pattern master, chief quality
controller, chief cutting master/cutting chief and grade II for mechanic/electrician and cutting master.
The professional category, however, includes both managerial and supervisory staff. Industry experts
define supervisor as those who are closest to the production floor and workers and provide the link
between the manager and the production operation.
15 See ANNEX-1 for the details of worker grading system.
Skilled44%
Semi-skilled30%
Unskilled20%
Professional6%
RMG employee distribution by skill category
Skilled
Semi-skilled
Unskilled
Professional
Skills and Employment Programme - Bangladesh
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The primary data survey conducted under this study revealed that14% employees are
unskilled 15% semi-skilled and remaining 71% are skilled category. This result again varies
from the CPD survey but very close to the results of the GIZ survey.
Figure 0.6: Skill Profile of RMG workers according to primary data survey
Source: Primary data survey
Comparing the results of GIZ survey in 2005, CPD survey 2006 and the primary data survey
conducted for the purpose of this study in 2014 it can be assumed that the percentage of
unskilled employee is between 15-20%, semi-skilled worker 15-30% and remaining 50-70%
employees are skilled. The following graph shows the comparison of the survey results on the
skill level distribution of RMG employees:
Figure 0.7: Comparison of the survey results on the skill level distribution of RMG employees
Source: Author’s compilation based on results from GIZ survey, CPD survey and Primary data survey.
Unskilled14%
Semi-skilled 15%
Skilled 71%
RMG employee distribution by skill level
Unskilled
Semi-skilled
Skilled
17%20%
14%17%
14%
30%
15%20%
69%
44%
71%
61%
0%
10%
20%
30%
40%
50%
60%
70%
80%
GIZ Survey 2005 CPD Survey 2006 Primary Survey 2014 Average
Distribution of RMG employees by skill level
Unskilled Semi-skilled Skilled
Skills and Employment Programme - Bangladesh
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Existing and projected (5 years) labour demand by occupation and skill level
Over last five years the number of RMG employees has increased by 26% (from 3.5 million
in 2008 to 4.4 million in 2012)16. McKinsey forecasted 7 to 9 percent annual growth of the
RMG industry till 2020. The sector is currently running at under capacity due to shortage of
employees. As per BGMEA and BKMEA officials the shortage of skilled worker is 15 to 20
percent. However the result of primary data survey revealed that the current shortage is only
5%. Reduced business order due to recent political turmoil, the incidence of devastating fire
at Tazreen Fashion, building collapse of Rana Plaza and forced shut down of factories under
risk of collapse can be the reasons for the decrease of existing labour demand. However the
survey result shows that the projected demand of employees for the next five years will be
around 16% of current employees among which 65% skilled, 25% semi-skilled and 10%
unskilled. Among the existing demand the percentage for Skilled, semi-skilled and unskilled
are 78%, 21% and 1% respectively. The below table summarizes the existing and projected
demand of RMG employees both in percent and in numbers. The number of employees has
been estimated considering the current employee as 4.4 million.
Table 0.6: Existing and projected (5 years) labour demand by occupation and skill level
Occupation
Skill level
Percent Estimated Numbers
Current Employm
ent
Existing demand (% of current employee)
Projected demand in next 5 years (% of
current employee)
Current Employmen
t
Existing demand
Projected demand in
next 5 years
Sewing Machine Operator
i) Unskilled 9.1% 0.1% 8.7% 402,403 220 34,929
ii) Semi-skilled 12.1% 7.9% 24.9% 532,315 41,840 132,546
iii) Skilled 50.4% 6.8% 10.4% 2,219,430 150,033 231,043
Total 71.7% 6.1% 12.6% 3,154,148 192,094 398,518
Over lock Machine Operator
i) Unskilled 1.1% 1.5% 19.6% 48,863 743 9,567
ii) Semi-skilled 0.8% 4.1% 45.5% 34,937 1,418 15,910
iii) Skilled 4.9% 2.3% 24.9% 215,400 5,040 53,613
Total 6.8% 2.4% 26.4% 299,200 7,202 79,091
Sweater Knitting Machine Operator
i) Unskilled 0.6% 2.3% 10.0% 26,807 614 2,683
ii) Semi-skilled 0.6% 4.0% 12.8% 26,801 1,077 3,422
iii) Skilled 3.1% 2.2% 20.8% 136,794 2,941 28,398
Total 4.3% 2.4% 18.1% 190,401 4,632 34,504
Quality Inspector
i) Unskilled 0.5% 1.2% 16.9% 21,184 263 3,580
ii) Semi-skilled 0.6% 1.4% 22.2% 26,209 362 5,813
iii) Skilled 4.4% 1.4% 27.9% 194,728 2,765 54,290
Total 5.5% 1.4% 26.3% 242,121 3,390 63,683
Cutter Man
i) Unskilled 0.3% 2.8% 46.1% 14,264 394 6,580
ii) Semi-skilled 0.2% 1.5% 24.7% 10,363 158 2,561
iii) Skilled 2.6% 1.7% 20.0% 112,222 1,897 22,456
Total 3.1% 1.8% 23.1% 136,849 2,448 31,596
Linking Machine Operator
i) Unskilled 0.2% 1.0% 48.3% 8,670 86 4,187
ii) Semi-skilled 0.2% 2.4% 29.9% 7,327 172 2,192
iii) Skilled 1.3% 1.6% 17.5% 58,002 945 10,162
Total 1.7% 1.6% 22.4% 73,999 1,203 16,542
Fusing Machine Operator
i) Unskilled 0.3% 0.0% 0.0% 13,446 - -
ii) Semi-skilled 0.5% 0.0% 14.3% 20,715 - 2,960
iii) Skilled 0.9% 2.6% 35.1% 39,003 1,006 13,682
Total 1.7% 1.4% 22.7% 73,165 1,006 16,643
i) Unskilled 0.0% 11.8% 47.1% 591 70 278
16 BGMEA data
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Occupation
Skill level
Percent Estimated Numbers
Current Employm
ent
Existing demand (% of current employee)
Projected demand in next 5 years (% of
current employee)
Current Employmen
t
Existing demand
Projected demand in
next 5 years
Machine Mechanic
ii) Semi-skilled 0.0% 7.1% 50.0% 1,948 139 974
iii) Skilled 0.3% 3.6% 38.2% 14,402 521 5,496
Total 0.4% 4.3% 39.8% 16,942 730 6,748
Printing Operator
i) Unskilled 0.0% 0.0% 34.5% 1,166 - 402
ii) Semi-skilled 0.0% 50.0% 150.0% 402 201 603
iii) Skilled 0.4% 2.6% 29.5% 15,685 402 4,626
Total 0.4% 3.5% 32.6% 17,254 603 5,631
Mending Operator
i) Unskilled 0.1% 0.6% 33.7% 4,344 24 1,464
ii) Semi-skilled 0.0% 0.0% 35.7% 513 - 183
iii) Skilled 0.3% 3.4% 41.0% 12,087 405 4,961
Total 0.4% 2.5% 39.0% 16,944 429 6,608
Embroidery Machine Operator
i) Unskilled 0.0% 0.0% 0.0% - - -
ii) Semi-skilled 0.0% 10.0% 40.0% 1,906 191 762
iii) Skilled 0.2% 2.8% 20.2% 9,414 266 1,905
Total 0.3% 4.0% 23.6% 11,320 457 2,668
Winding Machine
i) Unskilled 0.0% 0.0% 0.0% - - -
ii) Semi-skilled 0.0% 0.0% 0.0% - - -
iii) Skilled 0.0% 0.0% 18.3% 1,411 - 258
Total 0.0% 0.0% 18.3% 1,411 - 258
All Current Occupation
i) Unskilled 14.0% 0.4% 11.8% 541,739 2,413 63,672
ii) Semi-skilled 15.0% 6.9% 25.3% 663,437 45,558 167,929
iii) Skilled 71.0% 5.3% 14.2% 3,028,578 166,223 430,889
All categories
100.0% 4.9% 15.6%
4,233,754 214,193 662,490
Source: Author’s compilation based on primary data survey
The analysis of survey data shows that sewing machine operator is on the top of the list in
terms of current employment, existing demand and projected future demand. The existing
demand of sewing machine operators is near about 200,000 and the projected demand is
about 400,000. The analysis also revealed that the demand for skilled employees is highest
followed by semi-skilled and then unskilled. Overlock machine operator is in the second
position both in terms of existing demand (7,202) and projected demand (79,091). Interestingly
sweater knitting operator is in third position considering the existing demand (4632) whereas
considering projected demand quality inspector is in the third position because of higher
number as compared to sweater knitting operator (63,638 vs 34,504). The percentage of
projected demand over current employees is highest for machine mechanic and mending
operator both around 40% although in terms of number these are only 6,748 and 6,608
respectively. Overall the estimated number of existing demand of RMG employees is 214,193
and the projected demand in next 5 years is 662,490.
Employee turn-over by occupation and skill level
High turn-over rate of employees is one of the major challenges for the employers of RMG
sector. The overall employee turn-over rate varies from 10-25 percent17. The high
tendency of migration from one factory to another immediately after completion of training
is clearly a disincentive for the employers to invest in skills training for their employees.
However the survey revealed that turn-over rate of unskilled employees is higher than
17 Focus group discussion at BKMEA in 2012
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semi-skilled and skilled employee. Among all the respondents 21% rated the turn-over
rate of unskilled employee as high, 60% as medium and remaining 19% as low. Whereas
for semi-skilled employees the percentage of turnover rested at 3%, 59% and 38%
respectively for as high, medium and low respectively. The rate is even lower for skilled
employees. 25% responded the rate of turn-over of skilled employee as medium, 75% as
low and none as high.
The figure below shows employee turn-over tendency for different occupations and skill
levels based upon survey results of RMG employers:
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Figure 0.8: Employee turn-over tendency by occupation and skill level
Source: Author’s compilation based on primary data survey
0 10 20 30 40 50 60 70 80 90 100
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
All categories
Se
win
gO
pe
rato
rF
usin
gO
pe
rato
rO
ve
rlo
ck
Op
era
tor
Qu
alit
yIn
sp
ecto
rC
utt
er
Ma
n
Sw
ea
ter
Kn
itting
Op
era
tor
Lin
kin
gO
pe
rato
rM
en
din
gO
pe
rato
rW
ind
ing
Ma
chin
eM
achin
eM
echa
nic
Pri
ntin
gO
pe
rato
rE
mbro
ide
ry O
pe
rato
rA
llO
ccu
patio
n
Percentage of responses during the survey
Turn-over tendency of RMG employees
High Medium Low
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Discussion with RMG employers revealed that the unskilled workers, who are freshly
recruited in RMG sector, usually change their job very frequently with expectations of
getting better wage and improved working condition. Over time these employees adjust
themselves with reality and become stable. The fact of getting higher wage in a new
factory compared to the current factory also motivates the employees to switch
organization. The practice of not providing gratuity, provident fund and service benefit to
the employees is also adding impetus to employee turn-over. However it is expected that
the introduction of mandatory annual increment system18 in the revised minimum wage
gazette for RMG sector (effective from 1-Dec-2013) will motivate the employees to stay in
their current job.
Occupation-wise wage
The wage structure of the RMG workers is determined by Government. Employers are not
allowed to pay the workers less than the stipulated wage as defined in the minimum wage
gazette which was revised latest in December 2013. Due to the increasing pressure from
buyers, government and worker organizations, employers are mostly complying with the
minimum wage requirements. An analysis of wage data collected from several RMG factories
shows that the workers at grade VII (the unskilled workers) are receiving a minimum 5300
taka as monthly gross salary 19 per requirement by the law. High market demand for semi-
skilled and skilled workers result in average monthly salaries of workers between grades VI to
grade I much higher than the legal requirement. Due to tight shipment pressure and increasing
workloads, overtime work throughout the year is a common practice of the factories. As a
result, the RMG workers earn on an average 30% higher than the monthly gross salary20.
Workers involved in Sweater sector earn based on their production instead of a monthly fixed
salary and are referred to as ‘Piece Rated Worker’. Although the monthly earning varies
depending on production, a piece rated worker usually earns significantly higher than a
monthly fixed salaried worker. Wage data collected from several factories shows that the
average monthly earning of sweater factory piece rated workers is 8000 taka monthly (without
overtime allowance) against a similar graded worker of woven or knit factories at 6500 taka.
The below table (Table 0.7) summarizes the average monthly salary for the 36 common
occupations involved in RMG production processes.
18 5% of last basic wage 19 Gross salary = Basic salary + House rent allowance (40% of basic) + Medical allowance (250
taka) + Conveyance allowance (200 taka) + Food allowance (650 taka) 20 Overtime work is paid as 200% of the basic salary.
Skills and Employment Programme - Bangladesh
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Table 0.7: RMG occupation list with average monthly salary
Production Process
Occupation
Type of factory Role Average monthly
salary (BDT) - without overtime
Wo
ven
Ga
rme
nts
Kn
it
Ga
rme
nts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Fabric Knitting
Circular Knitting Machine Operator
No Yes No No No Yes 8000
Knitting Supervisor No Yes No Yes No No 12000
Dyeing
Dyeing Machine Operator No Yes No No No Yes 10000
Dyeing Supervisor No Yes No Yes No No 15000
Washing Man No Yes Yes No No Yes 7000
Cutting
Marker Yes Yes No No No Yes 6500
Cutter Yes Yes No No No Yes 6500
Band Knife Machine Operator Yes Yes No No No Yes 6500
Cutting Master Yes Yes No Yes No No 12000
Printing
Screen man No Yes No No No Yes 6000
Printing Operator No Yes No No No Yes 6500
Printing Supervisor No Yes No Yes No No 12000
Embroidery Embroidery Machine Operator No Yes No No No Yes 6500
Sewing
Sewing Machine Operator Yes Yes No No No Yes 6500
Fusing Machine Operator Yes Yes No No No Yes 6500
Overlock Machine Operator Yes Yes No No No Yes 6500
Button Machine Operator Yes Yes No No No Yes 6500
Kansai Machine Operator Yes Yes No No No Yes 6500
Sewing Line Supervisor Yes Yes No Yes No No 12000
Finishing
Iron Man Yes Yes No No No Yes 6500
Quality Inspector Yes Yes No No No Yes 6500
Folder Yes Yes No No No Yes 6500
Poly Man Yes Yes No No No Yes 6500
Packer/ Packing Man Yes Yes No No No Yes 6500
Quality Controller Yes Yes No Yes No No 13000
Sweater Production
Winding Machine Operator No No Yes No No Yes 7850
Sweater Knitting Machine Operator
No No Yes No No Yes 11500
Linking Machine Operator No No Yes No No Yes 7700
Mending Operator No No Yes No No Yes 7250
Trimming Operator No No Yes No No Yes 6000
Light Check Operator No No Yes No No Yes 6900
Technical
Boiler Operator Yes Yes Yes No Yes No 12000
Generator Operator Yes Yes Yes No Yes No 12000
Electrician Yes Yes Yes No Yes No 11000
Machine Mechanic Yes Yes Yes No Yes No 11000
ETP Operator No Yes No No Yes No 12000
Source: Author’s compilation based on discussion with RMG employers and analysis of wage records of RMG factories.
Skills and Employment Programme - Bangladesh
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The table below lists the top 15 occupations in terms of wage.
Table 0.8: List of top 15 occupations in terms of wage
Occupation
Type of factory Role
Average monthly salary/ earning (BDT) - without overtime
Wo
ven
Ga
rme
nts
Kn
it G
arm
en
ts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Dyeing Supervisor No Yes No Yes No No 15000
Quality Controller Yes Yes No Yes No No 13000
Knitting Supervisor No Yes No Yes No No 12000
Cutting Master Yes Yes No Yes No No 12000
Printing Supervisor No Yes No Yes No No 12000
Sewing Line Supervisor Yes Yes No Yes No No 12000
Boiler Operator Yes Yes Yes No Yes No 12000
ETP Operator No Yes No No Yes No 12000
Generator Operator Yes Yes Yes No Yes No 12000
Sweater Knitting Machine Operator No No Yes No No Yes 11500
Machine Mechanic Yes Yes Yes No Yes No 11000
Electrician Yes Yes Yes No Yes No 11000
Dyeing Machine Operator No Yes No No No Yes 10000
Circular Knitting Machine Operator No Yes No No No Yes 8000
Winding Machine Operator No No Yes No No Yes 7850
Future occupations by employment potential
Keeping pace with continual technological change, the existing traditional and manual
machines used in RMG sector are being replaced by modern automatic machines. This will
continue well into the future. The occupations involved in Ready Made Garments production
are very much linked with these types of machines. As a result the future demand of
occupations largely depends on the technological change that will occur in RMG sector. For
example, sweater factories located inside EPZ area and some large sweater factories outside
the EPZ area have already started using automated sweater knitting machines known as
“Jacquard Machines” instead of manual sweater knitting machines. The new machines require
skilled operators. Because of high productivity and product quality the use of such automatic
machines will increase in the future creating demand for relevantly skilled worker. With the
increase of Jacquard Machines, as replacement of manual knitting machines, it is expected
that the involvement of women in male dominant sweater knitting process will also increase.
The findings of primary survey also support the above concept as the respondents have
mentioned occupations such as Computer Operator, Jacquard Machine Operator, and
Machine Programmer as demanding occupations for future. The table below lists the future
occupations as perceived by the RMG employers:
Table 0.9: List of future occupations
Sl. Future Occupation
1 Auto Sewing Machine Operator
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2 Jacquard Machine Operator
3 Computer Operator
4 Line Quality
5 Finishing Supervisor
6 Machine Programmer
7 Packing Operator
Source: Primary data survey
Interestingly the employers mentioned Auto Sewing Machine Operator as most demanding
occupation for future. In fact this is not a new occupation rather it is ‘Sewing Machine Operator’
with added skill of operating automatic sewing machine. This indicates that in future the skills
required for currently demanding occupations need to be matched with the modern
machineries.
Occupations suitable to female and DAP
As discussed in section 4.1.2, occupations involved in sewing and finishing processes are
highly female dominant. 77% of all the employees of sewing processes are female and for
finishing process it is 75%. The results of the primary survey also support this statistics. 38%
of the occupations identified as suitable for females by the employers are related to the sewing
process, 23% related to the finishing process and the rest are related to sweater production
and embroidery. For Differently Abled People (DAP) the survey result shows that occupations
involved in the sewing and the finishing process are most popular. The table below lists the
occupations preferred for females and DAPs as perceived by the RMG employers during the
survey:
Table 0.10: List of occupations suitable to female and DAP
SL Occupations suitable to Female Occupations suitable to DAP
1 Embroidery Machine Operator Fusing Machine Operator
2 Flat Lock Machine Operator Line Supervisor
3 Fusing Machine Operator Linking Operator
4 Jacquard Machine Operator Mending Operator
5 Line Supervisor Overlock Machine Operator
6 Linking Machine Operator Packing Operator
7 Overlock Machine Operator Printing Operator
8 Pack Q. C. Operator Quality Inspector
9 Packing Operator Sewing Helper
10 Quality Inspector sewing machine Operator
11 Sewing Machine Operator Trimming Operator
12 Sweater Knitting Operator
13 Trimming Operator
Source: Primary data survey
Occupations with greatest potential for career progression
Usually RMG workers enter into the sector as unskilled workers and start their career as an
Assistant Operator. Over time after gaining experience and necessary skill, either by on-the-
job training or any form of formal/informal training, they are promoted to General/Junior
Operator or sometimes directly to an Operator position depending on their level of
performance and efficiency. The experienced operators with knowledge and skill of multiple
processes are promoted to Senior Operator. Only a few of the Senior Operators with
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substantial work experience and with knowledge of all processes become Supervisor or Line
Chief or Line Leader. The following process chart gives a typical career progression path of
RMG workers:
Figure 0.9: Typical career progression path of RMG workers
Assistant Operator
General Operator
Junior Operator
Operator
Senior Operator
Supervisor
Se
mi skill
ed
Skill
ed
Un
skill
ed
Typ
ica
l ca
ree
r p
rog
ressio
n p
ath
fo
r R
MG
wo
rke
rs
7
6
5
4
3
5300
5678
6042
6420
6805
12000-15000
Skill Level Designation GradeMinimum
wage (BDT)
Supervisors are not assigned
to any grade in the minimum
wage gazette for RMG sector.
Source: Author’s compilation
It is clear from the chart and above discussion that except supervisors all other occupations
have potential for career progression. With proper skills training and experience an unskilled
worker can be promoted from grade 7 up to grade 3. Grade 2 and 1 are assigned for technical
occupations like electrician, mechanic and require relevant technical knowledge and skill.
Occupations with greatest potential for productivity improvement
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The productivity of the RMG industry largely depends on the efficiency of workers. From the
analysis given in section 4.1.2 it is clear that majority of workers are involved in different
occupations under sewing and finishing process for Woven and Knit garments. For Sweater
garments the majority of workers are in knitting, trimming and linking processes.
The occupations under sewing and finishing contribute the maximum in the productivity of
woven and knit garments and similarly occupations under sweater knitting, trimming and
linking have maximum influence in the productivity of sweater factories. The production of
garments requires involvement of a large number of sewing machines. As a result, machine
mechanics play a vital role to reduce the machine breakdown time and hence improve
productivity. The following table lists the occupations with significant contribution to the overall
productivity:
Table 0.11: List of occupations with significant contribution to the overall productivity
Type of factory Occupation
Type of factory Role
Wo
ven
Ga
rme
nts
Kn
it
Ga
rme
nts
Sw
ea
ter
Knit
Su
pe
rvis
or
Te
chn
icia
n
Wo
rke
r
Woven and Knit
Sewing Machine Operator Yes Yes No No No Yes
Fusing Machine Operator Yes Yes No No No Yes
Overlock Machine Operator Yes Yes No No No Yes
Button Machine Operator Yes Yes No No No Yes
Kansai Machine Operator Yes Yes No No No Yes
Iron Man Yes Yes No No No Yes
Folder Yes Yes No No No Yes
Poly Man Yes Yes No No No Yes
Packer/ Packing Man Yes Yes No No No Yes
Sweater
Winding Machine Operator No No Yes No No Yes
Sweater Knitting Machine Operator No No Yes No No Yes
Linking Machine Operator No No Yes No No Yes
Mending Operator No No Yes No No Yes
Trimming Operator No No Yes No No Yes
Light Check Operator No No Yes No No Yes
Woven, Knit and Sweater
Machine Mechanic Yes Yes Yes No Yes No
Source: Author’s compilation based on discussion with RMG employers
Duration of training to achieve skills required for different occupations
In the RMG sector the practice of skills development through in-firm training centre is still not
so popular. The percentage of factories having in-firm training facilities for their workers is not
Skills and Employment Programme - Bangladesh
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more than 10 percent21. Most of the workers are recruited as unskilled or semiskilled and
acquire the necessary skills over time through on-the-job training. Factories with in-firm
training centres invest a portion of the production time of their workers for the skills training.
As a result the duration of training for the required skills for different occupations largely varies
from factory to factory and depends on their individual arrangement and curriculum. However,
from the focus group discussion with RMG employers conducted in 2012 and from the
consultation with sector people it was possible to have an idea about the duration of training.
The following table summarizes the duration of training to achieve the skills required for
different occupations as perceived by the industry people:
Table 0.12: Duration of training to achieve the skills required for different occupations
Occupation Duration of Training
Garments machine operators (such as Sewing, Fusing, Knitting, overlock, iron)
1-3 months Quality inspectors, poly man, folder
Machine mechanic
Technical (such as Electrician, Generator Operator, Boiler Operator)
6-12 months
Supervisor Need substantial experience with multi skills
Source: Author’s compilation based on the focus group discussion with RMG employers conducted in
2012 under the study titled “Private Sector Training, Certification and Employment in Bangladesh” and
in consultation with the industry people.
4.2. Managing workforce demand and job access in RMG sector
Recruitment practices
At the worker level recruitments are done through interview and by skill test of the worker. No
standard certification system exists to assess the skill level of the worker. Although some of
the training providers issue certificates for their training courses these are not well accepted
by the employers. Bangladesh Technical Education Board (BTEB) is the main accreditation
body but the number of training centres having this accreditation is very negligible considering
the size of the sector. Also from the survey of RMG training providers it was revealed that
obtaining the BTEB accreditation is a cumbersome process. Maintaining service records in
the service book of employees is another way to track records of experience and skills of
workers. Though the government initiated to enforce the use of a service book system this
system is still not fully functional in most of the cases. Due to a lack of awareness the workers
21 Source: Results of Focus Group Discussion on RMG
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are not using the service book during recruitment and as a result employers are not
encouraged to issue service books to the workers.
Factories located inside Dhaka where most of the RMG workers reside have fewer issues of
finding skilled workers and have the option to recruit skilled workers through skill tests. Most
other factories face a shortfall of workers and they have no other way than to recruit whatever
workers they are able to collect through their own efforts such as:
By displaying notice at main entrance
By announcing inside the factory
Personal contact of existing employees.
Trough worker contractor.
Through advertisement at local satellite channels
Thus they are bound to recruit unskilled workers in order to meet the shipment deadlines and
fill sudden gaps due to a high rate of worker turnover, which is 10-25%22. This high migration
rate again reflects the poaching of skilled workers by neighbouring factories with higher
incentives.
The primary data survey result shows that ‘Walk-in and test’ is the most prominent recruitment
practice of the employers to recruit workers. Most of them also publish advertisement in
parallel to walk-in interview. Data in Table 4.13 show the percentage of responses of primary
data survey regarding recruitment practice of the employers:
Table 0.13: Recruitment practice of employers
Recruitment practices % of responses
1) Walk-in and test 68%
2) Advertisement 34%
3) Direct contact with training service providers 8%
4) Through labour contractors 7%
Source: Primary data survey
Supervisors are recruited based on their working experience. No certification system is used
to assess the skills of supervisors and hence they are recruited through interviews. Unlike
workers there is also a lack of skilled supervisors in this sector which triggers the employers
to promote better performing operators to supervisor. This practice creates motivation among
operators to acquire skills and perform better but on the other hand supervisors thus
developed lack leadership skills.
The use of formal certificates is the highest for recruiting Technicians like Boiler Operators,
Electricians, and Mechanics etc. Recruitment of competent technicians is also a legal
22 Rahman, (2012), Private Sector Training, Certification and Employment Services in Bangladesh:
Market Study and Design, Background Report No. 2 a Background reports on training in RMG industry sector, Dhaka: DFID.
Skills and Employment Programme - Bangladesh
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requirement. The recruitment of managerial staff does not require TVET certificates and is
mostly done based on experience and competence.
Entry requirements by occupation and skill level
The operations involved in production of Ready Made Garments hardly require academic
education except the literacy and numeracy knowledge. However occupations like Quality
Inspector, Cutter Man, Machine Mechanic and Supervisors require at least class 8 level of
education because workers of these occupations need to follow the instruction sheet and fill
in production reports, quality reports etc. The following table summarizes the minimum
educational qualification required for the most common occupations.
Table 0.14: Minimum education demanded for most common occupations
Occupation Minimum Educational Qualification Demanded
Sewing Machine Operator Literacy and numeracy
Fusing Machine Operator Literacy and numeracy
Overlock Machine Operator Literacy and numeracy
Quality Inspector Minimum class 8
Cutter Man Minimum class 8
Sweater Knitting Machine Operator Literacy and numeracy
Linking Machine Operator Literacy and numeracy
Mending Operator Literacy and numeracy
Winding Machine Operator Literacy and numeracy
Machine Mechanic Minimum class 8
Printing Operator Literacy and numeracy
Embroidery Machine Operator Literacy and numeracy
All supervisors Minimum class 8
Source: Training providers’ survey (2012) under the study titled “Private Sector Training, Certification
and Employment Services Bangladesh” commissioned by UK Department for International
Development
The primary data survey revealed that majority of the employers expects minimum class 5
level education for the overall surveyed occupations. Some specific occupations like Printing
Operator, Embroidery Operator and Machine Mechanic the expected minimum educational
level is class 8. Among all the interviewed occupations the expectation for minimum
educational qualification is highest for Quality Inspectors. Majority of the respondents expect
at least secondary level education for this occupation.
The figure below shows minimum educational qualification for different occupation and skill
level:
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Figure 0.10: Employers' expectation of minimum educational qualification for different
occupation
Source: Author’s compilation based on primary data survey result
0 10 20 30 40 50 60 70 80 90 100
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
i) Unskilled
ii) Semi-skilled
iii) Skilled
All categories
Se
win
gO
pe
rato
rF
usin
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pe
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ve
rlo
ck
Op
era
tor
Qu
alit
yIn
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ecto
rC
utt
er
Ma
n
Sw
ea
ter
Kn
itting
Op
era
tor
Lin
kin
gO
pe
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rM
en
din
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pe
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ind
ing
Ma
chin
eM
achin
eM
echa
nic
Pri
ntin
gO
pe
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r
Em
bro
ide
ry
Op
era
tor
All
Occu
patio
n
Percentage of responses during the survey
Employers' expectation of minimum educational qualification for different occupation
Class 5 Class 6 Class 8 SSC HSC
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4.3. Skills development practices in the RMG sector
In-house training facilities
As mentioned in section 4.1.2 the occupations involved in the RMG sector can be broadly
classified in 4 different categories such as, Managerial, Supervisory, Technician and Worker.
Among the four categories Technicians and Managerial staff undergo some formal training
system (like boiler operator training, industrial engineering training, compliance training etc.)
but for the Workers and Supervisors the skills are achieved mostly through informal training
which is well known as on-the-job training. Usually workers enter into RMG industry as
unskilled workers i.e. as assistant/helper and acquire skills by observing the operators and
become an operator after 1-2 years depending on their performance. Thus, operators (working
at the worker grade levels VI to III) have, in most factories, been trained as helpers, where
they pick up the skills of the operators they assist. Over time the operators gain experience
and become senior operators. Some of the senior operators with substantial years of
experience, better educational level and having skills of all operations of the process are
promoted to supervisors. With the maturing of the industry poaching of skilled employees (at
all levels) from other factories became a normal way to recruit skilled operators. These
developments created obvious disincentives for entrepreneurs to invest into the skills training
of their workforce.
At the same time, a small number of entrepreneurs have been investing comparatively more
into the skills of their workforce. These are mainly multinational companies in the export-
processing zones (EPZ) as well as some large manufacturers that require huge numbers of
workers and are producing garments of higher quality. These firms have formalised in-firm
training by establishing training lines for operator training, which is sometimes being
conducted along the lines of course-guidelines or even curricula. The percentage of such
companies having their in-firm training centre is not more than 10 percent23. Most of these
firms also have a more formalised approach to management training, for instance by
conducting traineeships for university graduates that enter the firms at the executive level.
As per the Bangladesh Labour Law 2006 employers are allowed to recruit workers as
“Apprentice” for 3 months allowing a further extension of maximum 3 months if required. In
addition the minimum wage gazette of 2013 permits to pay 4180 taka per month for a trainee
worker during the training period while the minimum wage for the lowest grade worker (grade
VII) is 5300 taka. In spite of this provision entrepreneurs are not so encouraged to recruit
workers as “Apprentice” because of the complicated rules stated by the Bangladesh
Apprenticeship Training Rules, 2008 that need to be followed in case of recruiting trainee
workers. Some of the requirements of these Apprenticeship rules are: provision of at least 20
percent theoretical class, approval of the training curriculum and trainers by the government
authority, overtime work not allowed for the trainees. Non-fulfilment of these requirements
results in non-compliance audit reports issued for the third party auditors on behalf of the
buyers. As a result employers recruit worker as helpers instead of “Apprentices” and train them
through on-the-job training or in-firm training centres.
23 Source: Results of Focus Group Discussion on RMG
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The in-firm training centres are initiated by the entrepreneurs solely to meet their own demand
of skilled workers. The skills demand of the factories largely varies from factory to factory by
quality and also by quantity depending on the type of the product and buyers they are working
for. As a result companies usually develop their own curriculum or customize as per their own
requirement. In general there are no links of these in-firm training centres with public and
private training centres. From the focus group discussion with the RMG stakeholders it was
learnt that factories need to re-train the trained workers from the public/ private training centres
in order to fine tune the workers with their own systems. There are some exceptions where
companies make contracts with the private training centres in order to get skilled workers
trained as per the company’s preferred curriculum on a regular basis. This reflects the
weakness of the out-of-firm training centres.
Entrepreneurs do not issue any certificates to on-the-job trainees. The only reflection of on-
the-job training is the worker’s work performance. If a worker can achieve the expected
performance after the on-the-job training he/she is promoted to the next level. The record of
this promotion is (or should be) recorded in the service book of the worker. So the service
book is an alternative way to keep records of the training and a worker’s skill and may serve
the purpose of a certificate to some extent. But still the service book system is not so popular
and not fully functional.
In order to better understand the current skills development practices of RMG sector relevant
data were collected from the RMG factories during the primary data survey. The survey result
shows that 20% of the surveyed factories have their in-house training facility for their workers.
Usually the training programs are separated for semi-skill and skill where the duration of semi-
skill training varies from 1-4 weeks and for skill training 1 week only. Only few of them use
instructor to provide the training and the majority provide training through the supervisors. The
below table summarises the key findings about in-house training of the surveyed factories:
Table 0.15: Key findings on in-house training practices among surveyed factories
Topics % of responses
Training duration
Semi -skill
1 week 11%
2 week 22%
4 week 67%
Skill 1 week 100%
Training delivery
Through Instructor 11%
Through supervisor 89%
Trainee assessment mechanism
Classroom test 89%
On the job performance 11%
Willing to do training for external trainees from other training providers
56%
Source: Primary data survey
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The survey result also shows that about 80% of the factories who do not have any in-house
training facilities train their workers through supervisor and the remaining 20% use their
existing skilled workers to train the unskilled and semi-skilled workers.
Out-of-firm training facilities
Formal workforce development programs were first introduced toward the end of the 1980s at
the initiative of donor agencies and the two main private industry associations: (1) the
Bangladesh Garment Manufacturers and Exporters Association (BGMEA), and (2) the
Bangladesh Knitwear Manufacturers and Exporters Association (BKEMA). Foreign-owned
firms in the EPZ began to provide more systematic and organized in-house training, followed
by local firms around 1990, often through a combination of pressure and technical assistance
provided by buyers. Foreign buyers went on to establish small-scale training academies and
technical assistance projects financed through their CSR budgets, and with their preferred
suppliers24. In 1995, the public sector also started to offer skill formation programs offering
technical education and vocational training to supply the garment industry with qualified
workers at both the operator and mid-management levels. Thus the out-of-firm training
provision has started to meet the increasing demand of skills development in the RMG sector.
The out-of-firm training provision catering to the RMG sector can be broadly classified in to
four main categories – Government initiative, Private initiative, Public Private Partnership and
aided/funded programs with some further sub-categories. The chart below (Figure 4.11)
shows the classification of out-of-firm training provision that exists in the RMG sector:
Figure 0.11: Classification of Out-of-firm training provisions in RMG sector
Out-of-firm training
provision for RMG
sector
Government
Initiative
Private
Initiative
Owned by
Sector
Associations
Owned by
private
entrepreneurs
Buyers Initiative
Donors initiative
Aid/ Funded
NGO/
Foundation/
Trustee
Catering to local
market
Catering to
overseas market
Public Private
Partnership
(PPP) initiative
Source: Rahman, M. (2012)
In 2005, the government realized that strengthening skills in the textile sector would be the
key for driving the continued growth of this sector, and it began to address skills shortages by
setting up more technical and vocational institutes. It upgraded the Bangladesh College of
Textile Engineering and Technology to a textile university, opened textile facilities in all
technical universities, and offered textiles as a subject in the curriculum of all technical
24 Elmer (2010)
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schools, colleges, and technical institutes. Furthermore, the government converted TIDC into
a national institute to serve the needs of the national textile and garment industry as the
National Institute of Textile Training Research and Design project. The Bureau of Manpower,
Employment and Training under the Ministry of Labour and Ministry of Overseas and Welfare
today directs 38 Technical Training Centres in Bangladesh, of which 27 offer apparel-related
classes. Additional initiatives included start of donor-funded projects aimed at strengthening
the public TVET system for the garment skills development.
The most comprehensive technical assistance program catering to the garment industry is the
Promotion of Social, Environmental, & Production Standards (PROGRESS) and its successor
projects. PROGRESS is jointly sponsored by the Bangladesh and German governments, and
implemented by German Development Co-operation (GIZ)25. Since 2007, GIZ has been
sponsoring a range of skills development activities at both the operator and mid-management
levels. It aims to enhance the competitiveness of the sector and establish decent working and
living conditions in the garments sector26. Both BGMEA and BKMEA have initiated operator
training centres in poorer regions of Bangladesh in the north. These programs aim at providing
socially marginalized groups with free training and guaranteed job placement in the garment
industry around Dhaka. Some of those training centres have been operated jointly with
government, with funding provided by donors or the associations themselves. Several of those
operator training centres are public private partnerships, but not all of them have been
successful (Elmer, 2010). Private sector support of public programs has been limited because
it has been viewed as competition27.
In 2012 a survey of the private training service providers was conducted under the study titled
“Private Sector Training, Certification and Employment in Bangladesh” commissioned by UK
Department for International Development. From a qualitative perspective the survey report
classified the private training providers into three categories – formal; informal; overseas
purpose and compared their service as below:
Table 0.16: Comparison of different types of training providers from a qualitative perspective.
Formal Informal Overseas purpose
Name appears in most of the lists (BTEB, GIZ…)
Mostly located in Dhaka city area like Uttara, Dhanmondi.
Usually good infrastructure. Separate class room and workshop. 3000–10000sft.
Receives donor funds (GIZ, WB)
Offers several courses (mainly for mid management-main business).
Names not available in any list (BTEB, GIZ etc.) BUT known to workers.
A number of training centres, located in industrial areas (like Gazipur, Tongi) closed their business due to financial crisis and unavailability of trainees.
At present mostly located near EPZ areas.
Usually very poor infrastructure – one small room (200-500 sft) used for all courses.
Involved in overseas recruitment business.
Acceptable infrastructure and training facilities.
Training fee average 5000-7000 Taka for operator level-still high for workers of local market.
Overseas job guaranteed (need to
25 New name of German Technical Cooperation (GTZ) 26 PROGRESS works in three main areas: social compliance; productivity improvement; and
environmental compliance with a focus on eco efficiency.
27 According to BMET, BGMEA and BMET signed an agreement to utilize the resources of all TTCs;
BGMEA works with 27 of the 38 TTCs with programs in the garment industry.
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Expensive (7000– 40000 taka for operator training) –out of reach of poor people
Operator level training run by donor funds only. Not commercial – no demand.
Well-known to donors, BUT unknown to poor people and workers.
Seeking more donor funds. Usually employs part-time
trainers as the training courses depend on availability of project or availability of students.
Provide little support for job placement.
Courses only up to supervisor level – all practical classes.
Never received donor funds. Run by training fees. Reasonable training fee (1000 taka
– 2500 taka: for operator course) Easy access to poor people. High demands to workers as
factories inside EPZ use automatic machines and require machine operation knowledge for recruitment.
Usually owner is the main trainer with one/two full time trainers.
Claim high capacity as they do not follow curriculum, only practical training, and enrolment all through the year is possible.
Provide good support for job placement.
pay extra money for visa, ticket etc.)
High number of enrolment per year.
Source: Training providers’ survey (2012) under the study titled “Private Sector Training, Certification
and Employment Services Bangladesh” commissioned by UK Department for International
Development
The survey also revealed that a number of private training centres that were operating on a
small scale had shut down their operation because of the workers are not interested to pay for
training for the following reasons:
The number of buyer funded/donor funded training has increased
Number of in-firm training has increased
The wage difference between unskilled and skilled workers is very low. For
instance as per the minimum wage gazette 2013 the wage for an unskilled worker
is 5300 taka and wage for semi-skilled or skilled worker is 5678 – 6805 taka (grade
6 – 3). So there is a clear disincentive from worker side to invest for training.
The survey also revealed that there are several training centres of ‘informal’ type in running
condition and operating for a long time, up to 14 years. Most of those training centres are
located near EPZ areas. The factories in EPZ mostly use modern automatic machines and
recruit mostly operators having knowledge of operating automatic machines. This is why the
demand of skills training to the workers still exists near the EPZ areas and hence the private
training providers are still surviving in those locations.
Major constraints related to hiring and retaining skilled workers
Given the lack of good quality out-of-firm training centres, so far the in-firm training processes
are the most useful and functional training method to meet the expectations of the employers.
Employers prefer in-firm training as they cannot depend on the quality of external training.
Also in-firm training allows the employers to train their worker as per their own requirements
and to fine tune the workers as per the company policies and systems. One of the big
challenges for in-firm training centres is the high turn-over rate of the trained operators. From
the focus group discussion with RMG stakeholders it was revealed that the turn-over rate of
trained operators immediately after the completion of training varies from 15% to80%. And in
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general the turn-over of trained workers is higher than the turn-over rate of all workers which
is obvious because of the high demand for skilled workers and the poaching practice of skilled
workers by neighbouring factories. The main reasons for the high turn-over of skilled workers
are:
Salary increment after the training is not significant.
Lack of skill grading system for the workers.
Poor working conditions.
Lack of effective HR system.
The primary survey result also shows that high rate of employee turn-over is the major concern
of the RMG employers. The below table shows the most common constraints related to hiring
and retaining skilled workers as perceived by the RMG employers during the primary survey:
Table 0.17: List of major constraints related to hiring and retaining skilled workers
Sl Major constrains Number of responses
1 Lack of career awareness 8
2 Frequent job switching tendency of worker 7
3 Available job opportunity for skilled worker 5
4 Home sickness 4
5 Transport problem 4
6 Irregular salary payment system 3
7 Wages Gap Between Large & Small Factories 3
8 Family problem 3
9 Change the job due to co-workers’ influence 2
10 Lack of job market knowledge 2
11 Supervisor and co-worker harassment 2
12 Accommodation problem of the workers 2
Source: Primary data survey
The high turn-over rate of trained workers creates a disincentive for the employers to invest
for in-firm training. In order to maintain the interest of the employers to invest in in-firm training
centres there is a scope to further formalise the in-firm training centres by:
Introducing a standard skill matrix to assess the skill of a worker. A skill matrix allows the employer to keep record of the employee’s skill for different types of machines and also allocate the workers as per their skill.
Introducing promotion guidelines after the training as per the skill matrix. Introducing standardised training curriculum by including the quality requirements of
the major RMG buyers.
Practice of supporting external training centre
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In RMG sector the practice of supporting external training centre is very rare. Some of the
large and renowned factories provide support to external training centres as part of their
Corporate Social Responsibility. The types of support are:
Organize on the job training
Develop curriculum and course manual
Provide instructors’ training
Practice of hiring trained persons from external training institutions and level of satisfaction
Given the skills gap that exists in the RMG sector, the skills development initiatives are
nowhere near sufficient to the need of this industry. The aggregated number of trained
workforce (10,000 per year)28 by all the skills development initiatives is not sufficient. The
results of focus group discussions29 with the stakeholders of RMG also supported this fact.
Even the large factories have little or no experience of hiring trained workers from existing
skills development programs. Entrepreneurs with experiences of recruiting workers trained by
out-of-firm training centres are not satisfied with the performance. As a result, sometimes they
are hired as unskilled workers (assistant) and train them in their own training centre. This
might be the reason why the RMG stakeholders have a very low opinion of the existing out-
of-firm training initiatives and cannot rely on the quality of the training providers. The result of
primary data survey also supports the above fact. 65% of all the respondents are not satisfied
with the performance of the workers trained by out-of-firm training centres.
Further analysis on this issue revealed that the lack of practical skills is an important issue for
such a low opinion of the stakeholders about the training programmes. Stakeholders possess
a high expectation from the trained workers and become disappointed as these trained
workers are not as productive as the existing operators trained on-the-job over years. This
limitation is obvious as the students do not have the opportunity to practice on a real production
floor and it takes time to achieve a high speed of production. Over time these trained operators
usually can progress faster compared to other operators provided the training quality and
curriculum is up to the mark.
The below table summarizes the expectations of the private sector entrepreneurs regarding
the training quality and modality of external training institutes:
Table 0.18: Expectations of private sector entrepreneurs regarding skills training
Issues Expectations of Private Sector Entrepreneurs
Practical skills of new entrants Basic sewing operation skill Multi process operation skill Knowledge on quality issues Basic knowledge on work study Basic knowledge on lean concept Basics of machine maintenance
28 Rahman, M. (2012) 29 FGD conducted at BGMEA and BKMEA during 2012 under the study title “Private Sector Training, Certification Services in Bangladesh” commissioned by UK Department for International Development
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Issues Expectations of Private Sector Entrepreneurs
Team work ability Numeracy knowledge
Training duration Minimum one month Maximum three months
Modality of training First basic training from out-of-firm training centre Then in-firm training
Subjects of school-based forms of training
Basic Sewing operation Multi process operation (4-5 types of machine) Quality issues Basic work study Basic lean manufacturing Machine maintenance Team work Numeracy and basic education
Source: Focus Group Discussion with RMG stakeholders (in 2012) under the study titled “Private Sector Training, Certification and Employment Services Bangladesh” commissioned by UK Department for International Development
Willingness and ways to collaborate with SEP-B
The willingness to collaborate with SEP-B project varies from organization to organization and
depends on the way of collaboration. Some of the large factories with their existing in-house
training facilities are already collaborating with other skills development programs such as,
“Promotion of Operators to Line Supervisors” and “Skill Enhancement of Existing Supervisors”
of GIZ, “Tesco Skills Foundation” etc. During the survey of RMG employers 71% expressed
their willingness to collaborate with SEP-B. However the ways to collaborate still need to be
discussed in discussion with the RMG employers. During the survey RMG employers
expressed their expectation from SEP-B to get support in the following areas:
Marketing and promotional activities Organizing on-the-job training Arranging tools, equipment & materials for the training Human resource development Linkage development with the employers & stakeholders Skills training and certification system
4.4. Summary of analysis and findings
The following table summarizes the major findings of this study:
Table 0.19: List of major findings
Issues Major findings
Geographical distribution of RMG factories
99% of the RMG factories are located in Dhaka (40%), Gazipur (38%), Narayangonj (10%) and Chittagong (11%) districts.
The distribution of RMG employees also follows the same.
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Issues Major findings
Current and projected number of employees
4.4 million employees up to 2012
8 million employees by 2020
Types of RMG factories
Woven (55%)
Knit (29%)
Sweater (16%)
Occupations with greatest absorption capacity
Sewing Machine Operator (72%) – female 67%
Overlock Machine Operator (6.8%) – female 57%
Quality Inspector (5.5%) – female 60%
Sweater Knitting Operator (4.3%) – female 8%
Cutter Man (3.1%) – female 34%
Current employment by skill level
Unskilled: 15-20%
Semi-skilled: 15-30%
Skilled: 50-70%
Existing and projected labour demand
Existing demand: 5-20% of existing employees (78% skilled, 21% semi-skilled, 1% un skilled)
Projected demand (next 5 years): 16% of existing employees (65% skilled, 25% semi-skilled, 10% unskilled)
Occupation wise wage
Supervisors: BDT 12000 – 15000
Technical (Boiler, Generator, Machine Mechanic, electrician): BDT 11000 - 120000
Sweater workers: BDT 6000 – 12000
Skilled workers: BDT 6400 – 7000
Semi-skilled workers: BDT 5600 – 6400
Unskilled workers: BDT 5300 – 5600
Future occupations Auto Sewing Machine Operator
Jacquard Machine Operator
Computer Operator
Line Quality
Finishing Supervisor
Machine Programmer
Packing Operator
Occupations suitable for female and DAP
Sewing Machine Operator
Embroidery Machine Operator
Flat Lock Machine Operator
Fusing Machine Operator
Jacquard Machine Operator
Linking Machine Operator
Overlock Machine Operator
Packing Operator
Quality Inspector
Trimming Operator
Entry requirements Quality inspectors: Class 8
Other workers: Class 5
Technical: Class 8
Supervisor: Class 8
Recruitment practice Walk-in and test: 68%
Advertisement: 34%
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Issues Major findings
Direct contact with training service providers: 8%
Through labour contractors: 7%
Major constraint to retain skilled worker
Lack of career awareness
Frequent job switching tendency of worker
Available job opportunity for skilled worker
Home sickness
Transport problem
Irregular salary payment system
Skills development practices
In-house training facility not popular: approximately 10%
Mostly on-the-Job training
Out-of-firm training insufficient, quality not meeting the expectation of the employers
Private initiatives by private entrepreneurs are sustaining and popular to the trainee because of low cost (BDT 1000 – 2500) but low capacity, insufficient infrastructure and training tools. Mostly located around EPZ area.
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CHAPTER 5
Conclusions and Recommendations
Considering the importance of Ready Made Garments sector for the economy of Bangladesh,
its current demand of skilled worker and the projected growth of the sector, Skills and
Employment Programme-Bangladesh (SEP-B) has rightly chosen RMG as one of the two
sectors to stimulate private sector investment in training for poor people. The success will
however largely depend on the appropriate design of content and management plan for
implementation. Based on the secondary data research and analysis of primary data, as
described in chapter 3 and 4, the following recommendations can be made:
Recommendation-1: Selection of geographical location for
SEP-B interventions:
Given that 99% of the RMG factories are located in four districts under Dhaka and Chittagong
divisions and the fact that the private training providers have tendency to operate in proximity
to the RMG factories, SEP-B interventions should focus in Dhaka, Gazipur and Narayangonj
districts of Dhaka Division and Chittagong district of Chittagong Division.
For further extension of locations in addition to these four districts, detailed worker
demographic surveys need to be conducted to identify the districts where the RMG workers
are from. Factors like districts with high tendency of people working in RMG sector, disaster
affected areas, districts with low agricultural potential, remoteness from formal educational
system, and areas where minority such as tribal people live in need to be considered for
addition of new geographical areas under SEP-B interventions.
Recommendation-2: Selection of partners for SEP-B
interventions:
The current capacity of the existing external training centres is nowhere near the demand of
the sector. In house training initiatives are mainly contributing to meet the existing demand. In
order to response positively to the existing and future skills demands of RMG sector, both
external and in-house training initiatives need to boost up in terms of capacity and quality.
Separate interventions need to be designed to support both external and in-house training
centres under SEP-B. NGOs are also playing vital role by providing skills training for the
unskilled and semi-skilled peoples. Considering the established networks of the NGOs and
their existing capacity; SEP-B project should also consider supporting NGO led skills
development initiatives in parallel to the private initiatives.
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Recommendation-3: Selection of occupations:
There are 36 occupations commonly required for the various production processes involved
in the production of readymade garments. It is not realistic to select all these occupations for
the SEP-B interventions. A careful selection of the occupations need be done considering the
factors such as, absorption capacity (current and future), potential for wage increase, attractive
to vulnerable groups, potential for career progression, potential to improve productivity,
allowing sufficient skills development in a short training interval. However, the need for formal
training also needs to be considered. For example occupations like ‘poly man’ has high
absorption capacity, very attractive to vulnerable groups still because of the simplicity of the
tasks such occupations should give less priority for formal training compared to occupations
like “Kansai Machine Operator” where technical skill is required. Considering the above factors
and based on the analysis of this study the following 15 occupations (ordered in rank) can be
recommended for SEP-B interventions:
Table 0.1: List of recommended occupations for SEP-B
Rank Occupation
Factors for ranking
ab
so
rption
ca
pacity
(cu
rre
nt
and
fu
ture
)
po
ten
tia
l fo
r w
ag
e
incre
ase
att
ractive
to
vuln
era
ble
gro
ups
po
ten
tia
l fo
r ca
ree
r
pro
gre
ssio
n
po
ten
tia
l to
im
pro
ve
pro
ductivity
po
ten
tia
l to
allo
w s
uffic
ien
t
skill
s d
eve
lop
me
nt in
a
sh
ort
tra
inin
g in
terv
al
1 Sewing Machine Operator High Medium High High High High
2 Overlock Machine Operator Medium Medium High High High High
3 Quality Inspector Medium High High High Medium High
4 Sweater Knitting Machine Operator Medium High Low High High High
5 Fusing Machine Operator Medium Medium High High High High
6 Linking Machine Operator Medium Medium High High High High
7 Machine Mechanic Medium High Low Low High High
8 Cutter Man Medium Medium Low High Medium High
9 Button Machine Operator Low Medium High High High High
10 Kansai Machine Operator Low Medium High High High High
11 Iron Man Medium Medium Low High High High
12 Printing Operator Low Medium High High Medium High
13 Embroidery Machine Operator Low Medium High High Medium High
14 Poly Man/Packer/ Packing Man Medium Medium High High High High
15 Jacquard Machine Operator Future occupation
Recommendation-4: Targeted skill level:
Given the skills gap exist at different skill level the SEP-B programme should target
upgrading skills from unskilled to semi-skilled level for both employed and unemployed as
Skills and Employment Programme - Bangladesh
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well as from semi-skilled to skilled; skilled to supervisory skill level for the existing
employed workers.
Despite 70% of the RMG workers are female; the participation of female at supervisory
level is rare. The female operators should be trained and motivated to become supervisor.
This will also solve the harassment issues by supervisor which is a big concern and source
of worker unrest.
Recommendation-4: Support updating curriculum and course
materials
With the frequent change of fashion, the design and quality requirements of the RMG buyers
also change rapidly. Moreover with the rapid technological change the traditional and manual
operations of readymade garments are being replaced by modern automatic machines. As
the skills requirement of RMG employees are highly linked with the design, quality
requirements and types of machine used, the curriculum and course materials need to be
reviewed and updated to match the demand of the sector. External training centres need more
support here to keep the curriculum up to date with latest technology and design.
Recommendation-5: Support to retain skilled employees
High rate of employee turn-over is one of the major constraints for RMG employers and a clear
disincentive for them to invest for skills training. In order to address the challenge the RMG
employers need to develop effective HR policy to retain the skilled employees. Introduction
and practice of employee skill matrix system and link the skill matrix with the wage increment
and career growth of the employees will help the employers to cope up with this challenge.
SEP-B interventions should also support in this regard by building capacity of RMG employers.
Recommendation-6: Training duration and cost
Cost of training is one of the most important barriers for the skills development of poor people.
The cost of training offered by most of the major private skills development initiatives is beyond
the affordability of poor people. As a result workers interested in skills training look for cheaper
training centres and shorter courses. The training duration should be shorter and the cost
Unskilled
Semi-skilled
Skilled
Supervisory skillUnemployed
and Employed
Employed Employed Employed
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should be within the reach of poor people either by subsidizing or by providing loan to the
trainees.
Recommendation-7: Certification of the trainees
The RMG employers prefer to test the employees during recruitment and assess the workers
as per their own system. The formal certification system at worker level is fully absent in RMG
sector. Even the mandatory employee service book, which contains the information about
skills and experiences, is not fully maintained. Considering the reality, formal certification
system may not work for RMG sector immediately. SEP-B project should observe and assess
the readiness of the sector before introducing formal certification system for RMG sector.
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References
ABC Journal of Advanced Research, Volume 2, No 2 (2013): Socio-Business Consideration
of Garment Workers in Bangladesh: A Statistical Review
BBS (2008) Report of the Labour Force Survey Bangladesh 2005-06. Dhaka: Bangladesh
Bureau of Statistics
Bangladesh Bank: www.bangladesh-bank.org
BBS (2010) Report of the Labour Force Survey Bangladesh 2010. Dhaka: Bangladesh
Bureau of Statistics
BGMEA: www.bgmea.com.bd
BKMEA: www.bkmea.com
CPD (2013) ‘Analytical Review of Bangladesh’s Macroeconomic Performance in FY2012-13’.
CPD Working Paper 101. Dhaka: Centre for Policy Dialogue
Department of Inspection for Factories and Establishments: www.dife.gov.bd
Elmer, D. (2010). The RMG Skills Formation Regime in Bangladesh: a Background Paper
(Report). Dhaka, Bangladesh: World Bank.
Maurer, M. (2011). Skill Formation Regimes in South Asia: A Comparative Study on the
Path-Dependent Development of Technical and Vocational Education and Training
for the Garment Industry. Frankfurt am Main: Peter Lang.
Ministry of Labour and Employment Bangladesh (2013): Minimum Wage Gazette for RMG
MoF (2013) ‘Bangladesh Economic Review 2013’. Dhaka: Ministry of Finance of the
Government of the People’s Republic of Bangladesh
Rahman, M., (2012), Private Sector Training, Certification and Employment Services in
Bangladesh: Market Study and Design, Background Report No. 2 a Background
reports on training in RMG industry sector, Dhaka: DFID
Unnayan Onneshan (2013) “Accumulation and Alienation: State of Labour in Bangladesh
2013”
Unnayan Onneshan (2014) “Export, Import, Remittance and FDI: Recent Trends;
Bangladesh Economic Update April 2014”
WDI. 2013. World Development Indicators online database, World Bank.
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Attachments
Attachment-1: Minimum wage structure for the RMG sector
Grade Designation / Classification of Workers
Revised wage effective from 1st December, 2013 (Bangladesh Taka)
Monthly Basic Salary
Tk.
Monthly House
rent (40% of Basic
Salary)
Monthly
Medical
Allowance
Monthly
Conveyance
Allowance
Monthly
Food Subsi
dy
Monthly Gross Salary
Grade-1
1. Pattern Master
8500 3400 250 200 650 13000 2. Chief Quality Controller
3. Chief Cutting Master/ Cutting Chief
4. Chief Mechanic
Grade-2 1. Mechanic / Electrician
7000 2800 250 200 650 10900 2. Cutting Master
Grade-3
1. Sample Machinist
4075 1630 250 200 650 6805
2. Mechanic
3. Senior Sewing Machine Operator
4. Senior Winding Machine Operator
5. Senior Knitting Machine Operator
6. Senior Linking Machine Operator
7. Senior Cutter
8. Senior Quality Inspector
9. Senior Marker / Senior Drawing Man / Senior Drawing Woman
10. Senior Line Leader
11. Senior Over lock Machine Operator
12. Senior Button Machine Operator
13. Senior Kansai Machine Operator
Grade-4
1. Sewing Machine Operator
3800 1520 250 200 650 6420
2. Winding Machine Operator
3. Knitting Machine Operator
4. Linking Machine Operator
5. Marker / Drawing Man / Drawing Woman
6. Cutter
7. Mending Operator
Skills and Employment Programme - Bangladesh
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Grade Designation / Classification of Workers
Revised wage effective from 1st December, 2013 (Bangladesh Taka)
Monthly Basic Salary
Tk.
Monthly House
rent (40% of Basic
Salary)
Monthly
Medical
Allowance
Monthly
Conveyance
Allowance
Monthly
Food Subsi
dy
Monthly Gross Salary
8. Pressing Man / Pressing Women / Finishing Iron man / Finishing Iron Women
9. Folder (Finishing Section)
10.Packer
11.Quality Inspector
12.Over lock Machine Operator
13.Button Machine Operator
14.Kansai Machine Operator
15.Poly Man / Poly Women
16. Packing Man / Packing Women
17. Line Leader
Grade-5
1. Junior Sewing Machine Operator
3530 1412 250 200 650 6042
2. Junior Winding Machine Operator
3. Junior Knitting Machine Operator
4. Junior Linking Machine Operator
5. Junior Marker / Junior Drawing Man / Junior Drawing Woman
6. Junior Cutter
7. Junior Mending Operator
8. Junior Pressing Man / Junior Pressing Women / Junior Finishing Iron man / Junior Finishing Iron Woman
9. Folder (Finishing Section)
10. Junior Electrician
11. Junior Packer
12. Junior Over lock Machine Operator
13. Junior Button Machine Operator
14. Junior Kansai Machine Operator
Grade-6
1. General Sewing Machine Operator
3270 1308 250 200 650 5678
2. General Winding Machine Operator
3. General Knitting Machine Operator
4. General Linking Machine Operator
5. General Mending Operator
6. General Fusing Machine Operator
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Grade Designation / Classification of Workers
Revised wage effective from 1st December, 2013 (Bangladesh Taka)
Monthly Basic Salary
Tk.
Monthly House
rent (40% of Basic
Salary)
Monthly
Medical
Allowance
Monthly
Conveyance
Allowance
Monthly
Food Subsi
dy
Monthly Gross Salary
7. General Collar Turning Machine Operator
8. General Over lock Machine Operator
9. General Button Machine Operator
10. General Kansai Machine Operator
Grade-7
1. Assistant Sewing Machine Operator
3000 1200 250 200 650 5300
2. Assistant Winding Machine Operator
3. Assistant Knitting Machine Operator
4. Assistant Linking Machine Operator
5. Assistant Mending Operator
6. Assistant Cutter
7. Assistant Marker / Assistant Drawing Man / Assistant Drawing Woman
8. Pocket Creasing Machine Operator / Creasing Man / Creasing Woman
9. Line Iron Man / Line Iron Woman
10. Assistant Dry Washing Man / Assistant Dry Washing Woman
11. Assistant Over lock Machine
12. Button Machine Assistant
13. Kansai Machine Assistant
14. Finishing Assistant
Trainee / Apprentice
Their training period will be highest 3 months. After completion of training period a worker will be appointed as corresponding graded worker.
2200 880 250 200 650 4180
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Attachment-2: List of RMG industries surveyed
Sl Name of Employers Address Contact person Contact number
1 K.B Apparels Limited 30,46, 47 Postogola I/A, Dhaka- 1204 Md. HabibrRahaman 7440780
2 Blooming Tex Ltd. Buriganga, Setu Market, 16/1, New Jurain, Postogola, Dhaka
Albert Madhu 01670444763
3 Wonder Apparels Ltd. 413, New Jurain, Alam Super Market, Dhaka
Md. Julhas Uddin Ahmed
01919354877
4 Jams Sewater (Pvt.) Ltd.
Jams Knitwear Pvt. Ltd. 14 New Jurain, Postogola, Dhaka-1204
Md. Abdul LatifBhuiyan 7440604
5 Premier Apparels Ltd. 79/8, North Jatrabari, BibirBagicha, Gate No.4, Dhaka-1204
M.A. Hashem Masum 7543801
6 Target Fine Wear Inds. Ltd.
Alauddin Chowdhury Tower, Outpara, chaudonaChowrasta, Gazipur
Md. Hamiduzzaman 9263640
7 Fashion Crafts & Design Ltd.
Plot-47, Tagnogpara, Chandona, Gazipur
Mr. Khalid Ahmed Khan 9261896
8 Trade Sweater Factory Ltd.
Block-D, Holding-GA, Satmosjid Super market, (4th Floor), Mohammadpur, Dhaka-1207
Md. Humayan Kabir 9110447
9 FAR Apparals Ltd. Chong Won Ars Sweater Ltd.
North Jatrabari, Dhaka-1204 Md. Shafiqul Islam 7548699
10 National Apparels Co. Ltd.
13, Ring Road, Shyamoli, Dhaka Md. Mizanur Rahman 01715467148
11 R.R Acrylic Ltd. Plot- A-35, A-39, BSCIC I/E, Konabari, Gazipur
Habibur Rahman 9297377
12 FRENCH Fashions Knitting Ltd.
125-126. Adamjee EP2, Narayanganj Israt Hossain Ettza 7691536-7
13 HOP LUN Apparel Ltd. Shaheen&Sheema Complex. Plot-23, Shatish Road, Tongi, Gazipur
Md. Jahirul Islam 8933841
14 YUNUSCO Group Shore to Shore Garments & Textiles Ltd., Plot- 224-233, Adamjee EPZ, Shiddhirganj, Narayanganj
Md. Shahjahan 7691085
15 Viyellatex Ltd. 297 Salaish Road, Khortoli, Gazipur, Tongi, Gazipur
JubayadAhud 01919818481
16 Jinnat Apparels Ltd. Sardaganj, Kashimpur, Gazipur Md. Abdul Hashem Patwary
7790060
17 Sinha Designers Ltd. Sinha Complex. Kanchpur, Narayanganj, Dhaka-1212
Major Md. Omar Faruque (Rtd.)
7617766
18 Mark Sweater Ltd. Nayapara, Kashimpur, Gazipur Samar Chandra Roy 01938887306
19 AnantaHuaxiang Ltd. Plot: 222-223, H2, H3, H4, Adamjee EP2, Narayanganj
Abu Hanif 8810502
20 Rupa Knitwear (Pvt.) Ltd.
Gazipur Md. Jahid Hossain Khan
9291563
21 TEXEUROP Ltd. Vogra Joydebpur, Gazipur Md. Abdul Jalil 9261986
22 Creative Seaters (Pvt.) Ltd.
; 1/A, Shilpa Plot, Darus Salam, Road, Mirpur-1, Dhaka
Md. Jashim Uddin 9003711
23 Metro Knitting & Dying Mills Ltd.
Ramarbag, Kutubpur, Fatullah, Narayanganj
PalashSaha 7647649
24 Vertex Fashion Ltd. 3-4, 50-2B Comm. Plot, Supermarket-1, Darus Salam Road, Mirpur-1, Dhaka
Asrafunnesa Chowdhury Libu
9003933
25 Babylon Group Babylon Garments, 2-B/1, Darussalam Road, Mirpur, Dhaka
Md. Shah Alam 9023495
26 Shahrin Fashion Wear Ltd.
Plot-411-8, North KhaikurZamiruddin Khan Road, National University, Joydevpur, Gazipur
Md. Jahid Hossain 9293781
27 L'Usine Fashion Ltd. 36, Gazipur, Tongi, Gazipur-1712 Shawakat Hossain 9816127
28 Fakir Knitwears Ltd. Kayenpur, Fatullah, Narayanganj Sultan Mahmud Hosseinee
7641379
29 Modele Group Modele De Capital &Goumati Knitwear, Talla Road, Khapur, Fatullah, Narayanganj
Arup KamarSaha 7644227
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Sl Name of Employers Address Contact person Contact number
30 AMANTEX Limited Boiragirchala, Sreepur, Gazipur Ahmed Zia Fahmi 01926665368
31 5M Knitewars Ltd. Shirirchala, Bhabanipur, Gazipur SK Kutub Uddin 01678036229
32 Ehsan Garments & Moonlight Garments Ltd.
Kuniarchor, Taragacha, Gazipur Md. Abu Naser 9291372
33 SF sweaters Ltd. South Salna
Salna Bazar. Gazipur Golam Mohammad Kibria
9205726
34 Amex Knitting & Dying Ind. Ltd.
Sufia Plaza. 327/3/B, South Jatrabari. Dhaka
AKM Sarwar Alam Sarkar
01819996717
35 SEO WAN Bangladesh Ltd.
Plot-12, Street: 2, Block-E, sector: 1, Mirpur, Dhaka
Md. Tannaurul Hasan 8034189
36 Image Garments Ltd. Baby Super Market, 1014/A, BaizidBostami Road, Chittagong
Md. Jamal Uddin 01712282092
37 Chowdhury Fashions Wears Ltd.
82, Nasirabad, I/A, Chittagong ZulfiqaraliMasud 682423
38 BSA Group House- A-5, Block- B, BSCIC, I/A, Sagorika Road, Pahartoli, etc
Md. Sarwaruzzaman khan
01817044479
39 Salim & Brothers Ltd. A/3, BSCIC I/A, Sagarika Road, Chittagong
Farah Prince 01710935588
40 AFRAH Dresses Ltd. 75/B, Sagorika Complex, CDA Market, Pahartoli, Chittagong
Md. Jashim Uddin 01922113119
41 Friends & Friends Apparels (PTF) Ltd.
754/827, Mehedibag, Mehedi Super Market, Chittagong
A.A. Ghulam Faruque
42 Section Seven Limited 21-26, S#3, R-4, EPL, Chittagong Md. NurunNabiNayon 01713148117
43 BLP Warm Fashion Ltd.
Rahman Tower, Muradpur, Chittagong
Shawkat Ali 31681422
44 Pacific Jeans Ltd. P-16-19, S-S, EPZ, Chittagon; M.N.Huda
45 Azim Group ;269 Dewanhat, Chittagong Abu Masud Al-Momen 01817759347
Attachment-3: List of individuals consulted
Sl. No. Name of person Designation Organization
1 Prodeep Paul Sr. Manager (Factory Operations) Turag Garments & Hosiery Mills Ltd.
2 Engr. Rupali Biswas Chief Coordinator (PIC) BKMEA
3 Umme Saira Sr. Deputy Secretary BGMEA
4 GulshanNassrin Chowdhury Chairperson Radiant Institute of Design
5 Md. Rana Manager, Research and Development
Babylon Garments Ltd.
6 Md. Shah Alam Manager, Admin and HR Babylon Garments Ltd.
7 Mr. Kamruzzaman Head of HR Pioneer Knit BD Ltd.