Garment wage board sets December start, January pay deadline

By Tom Whitfield

A reconstituted Minimum Wage Board for the ready-made garment sector said on Wednesday that a new wage structure will take effect in December, with increased wages reaching workers from January 2027. The announcement did not publish a rate, percentage or factory-by-factory cost table, leaving brands without a reliable labour-cost delta for 2027.

The calendar carries one unresolved wrinkle. Home Minister Salahuddin Ahmed said the board was working for a January 1, 2027 effective date, while the board said the structure itself would take effect in December and payments would rise from January. The distinction can affect accrual, payroll cutoffs and supplier cash flow. One month is not merely administrative neatness.

Ahmed described the garment unrest as a politically motivated conspiracy to destabilise the country, with outsiders exploiting workers rather than pursuing genuine labour demands. “At present, there are no unresolved demands from garment workers, but certain quarters are conspiring to create instability in the industrial sector,” he said.

That position sits beside his account of the wage dispute. Ahmed said workers’ principal demand was the creation of a wage board to review the minimum wage every three years. He said the government had begun forming the board well in advance, with a slight delay while workers submitted their representatives’ names.

He said the board formed immediately after receiving those names and has held its first meeting. Its work on the new structure takes account of inflation, the economic situation and the cost of living.

Ahmed alleged that outsiders used the protest as cover for attacks, arson and vandalism, and that genuine workers were not involved in the violence. He identified no individuals in those allegations, but said some factory owners, former lawmakers, former ministers and state ministers from the previous Awami League government were involved for political reasons.

He also alleged that criminal groups and reactionary forces sought to destabilise the country through a conspiracy orchestrated from a neighbouring country. These were the minister’s assertions; his reported remarks supplied no supporting evidence.

After a lengthy government meeting with factory owners and separate discussions with labour leaders, Ahmed said both sides agreed that destructive activity was not part of a genuine movement by ordinary workers. He said workers were being used to serve the political interests of certain groups.

He said the government had handled the response with patience and instructed police and other agencies not to use excessive force against workers, while acting firmly against violence. Several personnel sustained serious injuries and required hospital treatment, according to him. He warned that criminal groups and participants in organised violence would not be spared.

For operations, the instruction to workers is clearer than the political diagnosis. Ahmed urged workers to disregard rumours and provocations and return to their workplaces immediately. “Resuming work will help maintain industrial production and protect workers’ livelihoods as well as the national economy,” he said. Production continuity still depends on attendance, not a ministerial request.

What does this change for brands and factories?

Three checkpoints now matter:

• December: the board says the new wage structure takes effect.
• January 2027: workers begin receiving increased wages; Ahmed cites January 1 as the structure’s effective date.
• Factory level: brands need verified reopening dates, attendance and supplier-specific wage exposure before treating capacity as restored.

The announcement named no factories, capacity figures, production targets or certification status. It also gave no details on cost allocation or government support for wage changes. Sourcing teams therefore have a policy signal and a payment date, not proof that supply has normalized. The practical test is whether work resumes without further disruption.

Ahmed said Prime Minister Tarique Rahman remains committed to improving workers’ living standards and has instructed the government to prioritize their welfare while seeking higher exports, a stronger economy and more jobs. He made the comments after an inter-ministerial meeting at the Ministry of Posts and Telecommunications to review the draft Cyber Security (Amendment) Act, 2026.

Separately, Ahmed addressed the detention of journalist Iqbal Sobhan Chowdhury. He said that, if the journalist had been detained, specific allegations prompted the action; necessary legal steps were under way and the matter would proceed according to law.

The wage timetable has a date. The return-to-work timetable does not.