Minimum Wage Increase Announced for Garment Workers

Historic Wage Increase

The Bangladesh government has announced a 51% increase in the minimum wage for garment workers, raising it to BDT 12,500 per month effective December 2024.

Salary Structure

The new wage structure includes:

• Basic salary: BDT 12,500
• House rent: 50% of basic
• Medical allowance: BDT 1,000
• Transport allowance: BDT 800

Industry Response

While factory owners express concerns about increased costs, they acknowledge the necessity of improving worker welfare to maintain a motivated workforce.

Implementation Timeline

The wage board has set December 1, 2024, as the implementation date, giving factories time to adjust their financial planning.