New Delhi, Nov 3 — Bangladesh’s ready-made garment (RMG) industry workers took to Dhaka's streets again on Tuesday and clashed with the police, prompting law enforcers to fire tear gas shells and sound grenades to disperse them, local media reports said.
More than 500 RMG factories in Mirpur, Savar, Gazipur, Ashulia, and Mymensingh have reportedly downed shutters following protests by workers, who are demanding that their monthly minimum wage be raised from Tk 12,500 (less than Rs 9,500) to Tk 30,000 (around Rs 22,767), as per The Daily Star.
It observed that over the past three years, high inflation and rising prices of food and other essentials have significantly reduced the workers’ real incomes and purchasing power. "Therefore, their demand for a revised wage structure cannot be seen solely as a request for more money, but rather as an attempt to regain their ability to afford necessities. Besides, since 1985, which was more than four decades ago, wages in this sector have been revised only six times, increasing from Tk 627 to Tk 12,500," the article added.
Some reports, quoting Prime Minister's Information Adviser Zahed Ur Rahman, added that the government is sympathetic to garment workers' demands amid rising living costs and has already formed a wage board to address their concerns.
Facing mounting pressure, the government established a six-member wage board to review the sector’s wage structure. The board includes representatives of workers, employers and the government, and has been tasked with recommending a revised wage framework.
Rahman said the government was holding the opposition responsible based on sufficient information and evidence, added Bangladesh’s ‘The Business Standard’ news.
He claimed the violent behaviour displayed by some people during the ongoing protests could not be considered typical of garment workers.
Asked about the banned Awami League's role in creating instability, Rahman said he did not think the party could achieve much politically, and that such activities would not pave the way for the deposed Sheikh Hasina's return in December.
Since late October 2026, thousands of garment workers have staged demonstrations across major industrial hubs demanding an increase in the minimum monthly wage. The unrest has resulted in factory shutdowns, clashes with police, road blockades and disruptions to production in a sector that accounts for the overwhelming majority of the country’s export earnings.
Workers have also been encouraged by recent government salary revisions for public-sector employees, prompting demands for a corresponding adjustment in private-sector wages. Factory owners, however, contend that such a steep wage increase would be difficult to absorb amid rising production costs, energy shortages, weaker global demand, and pressure from international buyers to keep prices low.
RMG is considered the engine of the country’s export-led growth model. Bangladesh’s competitive advantage has traditionally rested on low labour costs, large-scale production capacity, and an established supply chain. The industry employs around four million workers and generates more than 80 per cent of the country’s export earnings. It contributes roughly 10 per cent of the national GDP and supplies apparel to many of the world’s leading fashion brands.
Bangladesh is currently the world’s second-largest apparel exporter after China. Garment exports reached approximately $38.7 billion in the 2025-26 financial year, with products shipped to more than 150 countries. Beyond export earnings, the sector has drawn millions of women into the workforce, contributed to poverty reduction, and helped fuel Bangladesh’s rise.
Vietnam has emerged as Bangladesh’s strongest rival. It benefits from trade agreements with major markets, stronger logistics infrastructure and higher productivity. Although wages are generally higher than in Bangladesh, Vietnam compensates through efficiency and value-added production.
India possesses a much larger textile ecosystem, from cotton cultivation to finished garments. However, fragmented manufacturing structures and regulatory complexities have often prevented it from fully capturing orders shifting away from China. Recent reforms and supply-chain investments are beginning to narrow that gap.