A poor country clothing the rich countries: case of garment trade in Bangladesh

The ready-made garment industry of Bangladesh is one of the largest formal manufacturing sectors. It has played a key role in the country’s process of industrialisation, empowerment of women, export oriented development and growth. Workers from poor socio-economic backgrounds are working in the garment industry. Their health, safety and working conditions are very poor and not protected. There is a lack of regular inspection and compliance with local law in buildings and factories. This led to the collapse of the eight story Rana Plaza building in the capital Dhaka on the 24th of April 2013, “killing 1,100 workers and 2,500 injured”2. The main aim of the study is to assess the impact of Rana Plaza Tragedy, where RMG workers make garments for multinational brands of Australia, Europe and USA, and the advantage which took these companies of the absence of labour laws, workplace health and safety standards, building standards, long working hours and low wages in Bangladesh. The study used both primary and secondary data including related case studies. The practical application of the study is to develop formal ethical, labour-law, health and safety standards for a factory worker; construction; institutions and courts for monitoring the supplier’s behaviour onshore and large multinational firms offshore. The study recommends to protect the rights of women workers who are sowing garments for the fashion conscious consumers from the developed countries. Future research will explore inclusive growth for workers and how to stimulate inclusive sustainable business for export led garment industry. these garments from developed countries should start a campaign of ethical purchase of RMG from those countries who provide health, safety measures, do not exploit women and children and follow the international labour law and construction standards, similar to the campaigns where carpets woven by children are banned for export market and likewise coffee and tea which is grown and picked by exploiting children and women labourers. Stiglitz pointed out that globalization has enhanced the opportunities for success, but it has also posed new risks for developing countries. The rules of the game have been designed for the most part by the advanced industrial countries, or more accurately, by special interests in those countries, for their own interests, and often do not serve well the interests of the developing world, and especially the poor [20]. Further, the Bangladesh Government needs to work in cooperation with the local factory owners and key stake holders in Bangladesh, multinational garment sector, International Labour Organisation, World Bank, World Trade Organisation and the European Union to develop and implement the new amendments to the labour laws, collective bargaining, workplace health and safety training, on the spot inspections, building construction standards to ensure safe and secure work environment in order to prevent future tragedies in the RMG industry and protect the garment workers rights particularly women. Because, they are not only the wage/ bread earners to provide finance, food, clothing and shelter to their families and the key foreign exchange earner for the owners of the garment factory and the economy, but also on whom the multinational companies depend to produce /sew RMG under pressure, in a timely manner, to international market standards to meet the demands of the ever growing fashion industry in the developed world. these garments from developed countries should start a campaign of ethical purchase of RMG from those countries who provide health, safety measures, do not exploit women and children and follow the international labour law and construction standards, similar to the campaigns where carpets woven by children are banned for export market and likewise coffee and tea which is grown and picked by exploiting children and women labourers. Stiglitz pointed out that globalization has enhanced the opportunities for success, but it has also posed new risks for developing countries. The rules of the game have been designed for the most part by the advanced industrial countries, or more accurately, by special interests in those countries, for their own interests, and often do not serve well the interests of the developing world, and especially the poor [20]. Further, the Bangladesh Government needs to work in cooperation with the local factory owners and key stake holders in Bangladesh, multinational garment sector, International Labour Organisation, World Bank, World Trade Organisation and the European Union to develop and implement the new amendments to the labour laws, collective bargaining, workplace health and safety training, on the spot inspections, building construction standards to ensure safe and secure work environment in order to prevent future tragedies in the RMG industry and protect the garment workers rights particularly women. Because, they are not only the wage/ bread earners to provide finance, food, clothing and shelter to their families and the key foreign exchange earner for the owners of the garment factory and the economy, but also on whom the multinational companies depend to produce /sew RMG under pressure, in a timely manner, to international market standards to meet the demands of the ever growing fashion industry in the developed world.