Utilizing low-wage labour for economic growth: A critical analysis of Bangladesh’s trade policy review

Abstract

ABSTRACTCritically analysing some suggestions of the WTO’s trade policy review mechanism (TPRM) on Bangladesh’s trade and labour policy, this article proposes that attention to the sustainable development (SD) objective of trade liberalization can redirect the review process. Amartya Sen’s capability-based perspective to SD is borrowed to argue that the TPRM can advise on some urgent social or distributional impacts of trade liberalization, or at least refrain from advising/encouraging economic growth based solely on utilizing low-wage labour. However, it argues that even with a broader approach the TPRM might be unable to address some crucial social or distributional issues: for example, it might not be possible to report on issues relating to semi-formal or informal workers and their life-threatening work conditions. Addressing these complex trade-related social concerns require effective coordination between mechanisms and forces operating at multiple governance frameworks.