Readymade Garments Sector Of Bangladesh Research Articles

Do primary HR functions model work in emerging economies? Sustainable compact perspective for Bangladeshi RMG industry

PurposeThe International Labour Organization’s (ILO) sustainable compact is evident for many labor-intensive industries in emerging economies. This study aims to develop a sustainable human resource (HR) practice model for a labor-intensive industry from the evidence of the Bangladeshi ready-made garments (RMG) sector.Design/methodology/approachThe study tests the factors identified from the literature for model validation. A total of 22 HR function items were used in a survey of 800 randomly selected respondents from the RMG sector in Bangladesh. The factor analysis (both exploratory and confirmatory) techniques were applied to explore and validate the model.FindingsThe study findings reveal that the factory management and policymakers should focus on sustainable HR practices for the betterment of a labor-intensive industry. In detail, the staffing function involves strategic HR planning, recruitment and selection and perfect employee placement; training and development functions entail proper organizational orientation, various training and development programs and employees’ career management and growth; the motivation function necessitates job design, fairness in the appraisal, practicing good organizational citizenship behavior with sound rewarding system and compensation packages; and finally, the maintenance function entails healthy and safe working environment, good communication and relationship management.Originality/valueThe study is original in developing a sustainable HR practice model with the alignment of ILO’s three inter-linked sustainability compact for a labor-intensive industry from an emerging economy perspective. The study’s outcomes will be a torchbearer for any labor-intensive industry’s sustainable HR practice from an emerging economy across the globe.

The linkage between corporate social responsibility and the main benefits obtained from the integration of multiple management systems in Bangladesh

PurposeThe aim of this study is to investigate the perceived benefits offered by integrated management system (IMS) in the readymade garments (RMG) sector in Bangladesh and the respective linkage with corporate social responsibility (CSR) to promote sustainable development. This study presents a list of IMS benefits composed of different international management standards according to ISO 9001:2015, ISO 14001:2015, OSHAS 18001: 2007 and SA 8000:2014.Design/methodology/approachTo identify the possible benefits of IMS, a systematic literature review was conducted from 2009 to 2019, namely, in the database of Elsevier, Emerald and John Wiley. A questionnaire survey was developed with the purpose of examining the perceived main benefits of IMS. The questionnaire was e-mailed to 355 representatives of 15 RMG sectors in Bangladesh. A total of 256 complete and useable responses were received, constituting the base of this work. Subsequently, statistical analysis was conducted using SPSS 20 software.FindingsThe main findings of the present study show that the most important five benefits of IMS in RMG sector in Bangladesh are better capacity to achieve organization’s objectives, optimum use of various resources, business sustainability, synergies of different management policies and reduction of duplication efforts.Practical implicationsTwo major limitations of the study are as follows: first, it is not a longitudinal study; second, IMS benefits were examined in the national sector context. The present study has both theoretical and practical implications. The study presents a comprehensive list of IMS benefits that contribute to the existing literature from a theoretical point of view. On the other hand and from a practical point of view, this study encourages managers to implement IMS in their organizations.Originality/valueThis study helps in understanding the contribution of IMS benefits to cleaner production and CSR in Bangladesh. The focus on the benefits of IMS in the RMG sector in Bangladesh is another significant aspect of this study because it promotes the development of environmental policies linked to CSR with stakeholder engagement, as a driver to sustainable development.

Assessing measures implemented by export-oriented RMG firms in an emerging economy during COVID-19

Manufacturing firms that continued production activities during the COVID-19 have been taking necessary measures to cope with the risks imposed by the pandemic. This study assesses the measures implemented by the Ready-Made Garments (RMG) sector in Bangladesh. With the increase in COVID-19 cases in Bangladesh, following government order, along with firms in other manufacturing sectors, the RMG firms had to shut-down their production between March 26 and April 25, 2020. Soon after the factories reopened, they had to take necessary actions to ensure employee safety, supply of raw materials, and purchase orders from buyers. Using a semi-structured interview approach, we identify 16 measures that have been implemented in the RMG sector in Bangladesh for the employees, suppliers and buyers. Then, we assess the degree of implementation of these measures using the Bayesian Best-Worst method. We find that providing healthcare safety, bringing previously outsourced activities in-house, and ensuring smooth delivery of existing orders were the three most implemented measures for employees, suppliers and buyers, respectively. On a higher level, the RMG industry professionals prioritised buyer-related measures the most, followed by employee and supplier-related. The analysed measures provide a blueprint for supply chain risk management during future waves of COVID-19 transmission and for other potential large-scale natural disasters.

Consideration of workers’ opinion in the decision-making process in the RMG Sector: Evidence from Bangladesh

Abstract: Purpose: This study investigated the relationship between workers' perspectives on career development programs, remuneration packages, and their involvement in Readymade Garment (RMG) sector policymaking. Research methodology: Using a well-structured questionnaire, 226 people from a variety of industries were surveyed. Statistical software SPSS was used to examine the data and test the hypotheses that were put forth in the study. Using a conceptual framework, the study examines the relationship between the independent variables, such as the career development program and remuneration package, and the dependent variable, worker perception. Results: The findings of the study reveal that there is a significant positive relationship between workers’ opinions regarding career development programs and participation in the decision-making process. The study also identifies that there is a significant positive relationship between workers’ opinions regarding compensation packages as well as participation in the decision-making process of RMG sector in Bangladesh. In addition, workers’ participation has a significant impact on the decision-making process of the organization. Limitations: Two hundred and twenty-six samples from the primary source were used in this investigation. Having additional samples and secondary data would help researchers better understand the clothing industry as a whole. Contribution: The researchers believe that this study contributes to the current body of knowledge by underlining the importance of workers' opinions in the decision-making process in Bangladesh's RMG sector. Keywords: 1. Bangladesh 2. Decision making process 3. RMG sector 4. Workers’ opinion 5. Workers’ participation

Unboxing the Ready Made Garments (RMG) sector of Bangladesh

The ready-made garments (RMG) sector of Bangladesh has developed immensely under the broad radar of the export market, and its size is beyond imagination. Unfortunately, there has been no study that explores the whole universe of the RMG sector of Bangladesh rather the story of the RMG sector often involves the export market only. The discussion of this paper intends to explore the methodology of unboxing the whole universe of the RMG sector of Bangladesh that includes small and medium-sized manufacturing and processing units that are often involved with subcontracting for other factories (producing for the export market as well as domestic market), are suppliers of the domestic market, are producers of accessories, and are providing backward linkages and associated services. The discussion addresses that along with export-oriented RMG factories there exists an unexplored and unboxed universe of manufacturing and processing units associated with the RMG sector of Bangladesh that contributes to investment, employment, trade, export, and the economy as a whole, all of which remains unaccounted for.

Worker Satisfaction in Health, Hygiene and Safety Measures Undertaken by the Readymade Garments Industry of Bangladesh: A Case Study on Gazipur

Purpose: The main purpose of the study is to explore the effects of health, hygiene and safety measures on worker satisfaction in readymade garments sector in Gazipur district of Bangladesh. Methodology: Based on review of literatures and collection of 260 usable responses the study is conducted by partial least squares structural equation modeling (PLS-SEM) method using Smart PLS 3.0. Findings: The findings of the study have revealed that health and hygiene measures significantly influence workers’ satisfaction towards readymade garments sector in Bangladesh. However, the study results show that safety measures insignificantly influence the workers" satisfaction towards garment Sector in Bangladesh. Practical implications: The study might be useful for garment industry operators in formulating strategies of improving health and Hygiene measures, and safety measures to improve workers' satisfaction in garment sector in Bangladesh. Originality: The study has uniquely presented a case comprising the factors helping devising a strategy for industry professionals through measuring the integrated effects of health, hygiene and safety measures on workers’ satisfaction of readymade garment sector in Bangladesh.

Examining the Role of Tqm and Industry 4.0 on Sustainability Performance: An Empirical Study on Bangladesh's Ready-Made Garment Sector

Examining the Role of Tqm and Industry 4.0 on Sustainability Performance: An Empirical Study on Bangladesh's Ready-Made Garment Sector

A qualitative study of the working conditions in the readymade garment industry and the impact on workers’ health and wellbeing

Objectives: There has been debate regarding the working conditions for employees of the Bangladesh readymade garment (RMG) industry since the 1980s. Little is known how the existing working conditions of the Bangladesh RMG sector impact workers’ health and overall wellbeing, which remains the key aim of this study. Methods: The study adopted a qualitative descriptive design. Twenty-seven RMG workers (female: 21, male: 6) were purposively recruited for focus groups (FGs) from both the Export Processing Zone (EPZ) and non-EPZ factories located in Dhaka and Chattogram, the two largest cities in Bangladesh. FGs were audio-recorded and transcribed verbatim. Inductive thematic analysis was performed to review the transcribed data and to identify themes. Results: The study identified that the existing working conditions impacted workers’ health and wellbeing severely. These conditions mainly comprise of inadequate workplace facilities (lack of pure drinking water, unavailability of qualified doctors, and fabricated signage of childcare facilities) and poor working environments (lack of hygienic practices, unavailability of safety equipment, sexual harassment, mandatory nights shifts, inappropriate sitting arrangements, and workplaces as death traps). All the female workers reported experience of verbal or sexual harassment at least once inside the factories also noted anxiety and feeling unsafe while working during night shifts. These conditions are presented within the socioeconomic conditions of Bangladesh. Conclusions: This study contributes to understanding the nexus between factory owners’ profit maximization mindset and workplace conditions in relation to workers’ health and wellbeing status. Strict monitoring of the workplace conditions of Bangladesh RMG factories is warranted.

Effects of unsafe workplace practices on the fire safety performance of ready-made garments (RMG) buildings

A coupled CFD modelling for fire growth and evacuation modelling is conducted to evaluate the fire safety performance of a multistoried ready-made garments (RMG) building. The geometric and architectural features, occupant density, and other features of the factory are selected to represent those of a standard RMG building in Bangladesh. The smoke propagation and evacuation scenarios are selected to resemble some of the typical and often overlooked unsafe practices, such as open fire-doors, obstacle in the egress routes, and reduced exit numbers, observed in the RMG sector in Bangladesh. The effects of these practices are examined separately and in different combinations to obtain a comprehensive understanding of their effect on the occupant safety. It is observed that when there is no compartmentation in place near the stairway (resembling open fire doors), different areas of the building become untenable very quickly. If all the unsafe practices are considered at the same time (open fire door, obstructed egress route, and reduced number of exits), about 6% (334 out of a total of 5381) of the occupants fail to evacuate safely. This happens due to the reduction in visibility in smoke below the threshold that permits safe escape, considering the physiological and psychological effects of smoke on the way-finding ability and escape behavior of the occupants. The critical issue of the possible effects of these unsafe or non-standard practices in the garment factories on the safety of the workers has not been addressed in a systematic manner before. Therefore, the findings of this study can be useful in assessing the potential consequences of a fire-hazard due to the unsafe workplace practices even in the standard RMG buildings complying with relevant building codes.

Foreign Direct Investment in the Readymade Garment Sector of Bangladesh: Macro and Distributional Implications

Bangladesh, a labour-abundant country, benefits from foreign direct investment (FDI), as it is considered to be a supplement to domestic investment for this capital-scarce economy. This paper measures the impacts of an FDI increase in the RMG sector on the macroeconomy in Bangladesh and on the welfare of households, which are heterogeneous, especially in income sources, using a general equilibrium framework. Simulation results show that an increase in FDI promotes both output and exports in the RMG sector. However, because of the competition between MNEs and domestic firms, the output of domestic firms would fall slightly. Scrutinizing the welfare effects among household groups, we find that the benefits of FDI-induced growth would affect all household groups unevenly. We also demonstrate that the benefits could be shared equitably among household groups with skill development programmes targeted at the adversely affected household groups.

Capability components of supply chain resilience for readymade garments (RMG) sector in Bangladesh during COVID-19

PurposeThe readymade garments (RMG) industry acts as one of the foremost vital catalysts for financial as well as social advancement of Bangladesh. Due to the harsh impact of COVID-19, RMG sector has been confronting a never-seen-before phenomenon. Since the supply chain has seriously been influenced, concern raises among industry and policymakers on how to support against disturbances resulting from pandemics. Accordingly, this research aims to explore the vulnerability and capability factors of RMG sector in Bangladesh, their relationship and how these variables affect supply chain resilience.Design/methodology/approachA qualitative research design has been employed. In the first stage, content analysis has been performed. Since COVID-19 is a new experience, newspapers were the source to become acquainted with the vulnerability and capability factors following the guidelines provided by Pettit et al. (2010). In the second stage, in-depth interviews with key informants were conducted to investigate the relationship among the variables and how these factors may influence supply chain resilience.FindingsThis study identifies fourteen capability factors and their sub-factors of RMG industry in Bangladesh in order to improve the resilience capacity against the vulnerabilities in the context of COVID-19 pandemic.Research limitations/implicationsThis research is based on the setting of particular industry in Bangladesh, where respondents are immersed in a unique culture. Special care is required to generalize the results to other segments and phenomena.Practical implicationsThe framework recognizes the balanced and unbalanced strength with the capability's components and find the relation between capabilities and vulnerabilities within the fashion industry. By creating the resilience network with the four conceivable positions, companies can find themselves with their capability's components and natural vulnerabilities.Originality/valueThis study investigates diverse components of capability figure against vulnerabilities to create the supply chain resilience. This paper, moreover, develops with four conceivable positions with their capabilities against existing vulnerabilities which brings timely contribution considering the context of COVID-19.

Knowledge and Practices Regarding Infant and Young Child Feeding among Mothers Working in Readymade Garments Sector in Bangladesh: A Cross-Sectional Survey

Optimum is. Adequate Infant and young child feeding (IYCF), critical for child’s growth and development, requires a significant amount of time andcan be challenging for working mothers. In Bangladesh, about four million women work long-hours in Readymade Garment (RMG) factories without proper maternity benefits which raises concern regarding optimum IYCF practice. We conducted a descriptive cross-sectional study in Dhaka, Bangladesh to identify the knowledge and common practices of IYCF among mothers working in Readymade Garment sector. Ninety-three women of reproductive age (15-49 years), working in Readymade Garment sector, with children aged 6-23 months, were interviewed. Our study revealed- majority knew about exclusive breast feeding (EBF) (76%), duration to continue breast feeding (73%) and early initiation of breast feeding (53%). The exclusive breast-feeding practice in mothers employed in RMG sector was 44%. Three-fourths of the mothers knew and initiated complementary feeding timely. Both knowledge regarding age-adjusted minimum meal frequency (MMF) (19.4%) and minimum quantity (8.6%) were low; compared to actual practices. Nearly two-fifth of the mothers (40%) had to start working before their child reached six months of age enabling them to provide their baby with breastmilk substitutes. Mothers employed in Readymade Garment sector had better IYCF practice than general population. Proper workplace environment with mandatory breast-feeding corners, daycare facilities and ensuring maternity benefits in these mothers could help achieve an even better IYCF practices for their children.

The Maternity Leave and Cash Benefit Payment System for Readymade Garment (RMG) Sector of Bangladesh

Maternity leave means the period of paid absence from work. This type of leave is allowed to a mother before and after the birth of a child. Naturally, the term maternity benefit is applied in case of working women. Mostly, it is related to readymade garment (RDM). It indicates the payment made to a woman for giving birth of a child. The duration of maternity leave for female worker in RMG sector of Bangladesh is 4 months (16 weeks) according to Labor Act 2006. The purpose of this study is to show the application of RMG sector’s maternity leave and to assess the level of cash benefit payment for maternity leave. The main purpose of this study is to show the discrimination between two kinds of factories (foreign owned and local owned) about the proper application of rules and Act. The information collected from those who are experienced to take maternity leave and recently take the leave and also who are preparing for the leave.
 Frequency distribution has been used on the data extracted from female worker who have experience maternity leave and cash benefit payment. The result of this study is that there are two kinds of RMG sectors situations: one is called foreigner owned factory and another one is Bangali factory (local owner).Evidently, 60% get the cash payment with two terms before & after child born and 100% get the maternity leave. So, this paper will discuss about the differences of facilities, job security, cash payment, others opportunities for female in RMG sector.

The Maternity Leave and Cash Benefit Payment System for Readymade Garment (RMG) Sector of Bangladesh

Maternity leave means the period of paid absence from work. This type of leave is allowed to a mother before and after the birth of a child. Naturally, the term maternity benefit is applied in case of working women. Mostly, it is related to readymade garment (RDM). It indicates the payment made to a woman for giving birth of a child. The duration of maternity leave for female worker in RMG sector of Bangladesh is 4 months (16 weeks) according to Labor Act 2006. The purpose of this study is to show the application of RMG sector’s maternity leave and to assess the level of cash benefit payment for maternity leave. The main purpose of this study is to show the discrimination between two kinds of factories (foreign owned and local owned) about the proper application of rules and Act. The information collected from those who are experienced to take maternity leave and recently take the leave and also who are preparing for the leave.
 Frequency distribution has been used on the data extracted from female worker who have experience maternity leave and cash benefit payment. The result of this study is that there are two kinds of RMG sectors situations: one is called foreigner owned factory and another one is Bangali factory (local owner).Evidently, 60% get the cash payment with two terms before & after child born and 100% get the maternity leave. So, this paper will discuss about the differences of facilities, job security, cash payment, others opportunities for female in RMG sector.

Minimum Wage Impact on RMG Sector of Bangladesh: Prospects, Opportunities and Challenges of New Payout Structure

Strike and labor unrest is very much common for the Readymade Garments (RMG) sector of Bangladesh. Most of them are basically for payment related issue like irregular wage payment practice of the garment factories owners and significant lag time of wage payment to the workers. With a view to maintaining stability in RMG sector, Ministry of Labor and Employment published new wage structure specially for the RMG sector in November 2018. Though new payout structure has been approved the effective implementation has become a great challenge for the governmental or regulatory authority as more than 50 percent increment in the lower graded workforce gross payout generates expectation gap of the owners of the RMG factories regarding the passion and value generating activities of the lower graded or minimum payout holder working force. High turnover in lower graded labor force and lack of working dedication generates reluctance of the owners to implement new payout structure of RMG sectors. However early stage patience and passion for working in RMG sector may gift a better career growth for the new workforce. Results have also justified the affiliation of a number of factors that may get influenced for the implementation of new minimum wage payout in the RMG sector.

Export Trend of Ready Made Garments (RMG) Sector of Bangladesh

Ready-Made Garments (RMG) sector has greater importance than any other sector in Bangladesh in terms of growth, employment, foreign exchange earnings and Gross Domestic Product (GDP). The objective of this study is to determine the export trend of the RMG sector in Bangladesh by using different trend models. To serve the objectives of the study, time-series data of RMG sectors has been used for the period 1985-2018. Among several trend models, the Semi-log Parabolic Trend model is found to be the best-fitted model for determining the trend of RMG exports. From the empirical results of the study, it is observed that RMG exports have a significant upward trend for the period 1985-2018 with a growth rate of 8.76 % in 2018. The forecasted RMG export will be nearly 31712.82 million USD in the financial year 2022-23. The findings of the study will help the government, NGO’s and policymakers to undertake necessary steps for the progress of this sector.

Garment Sector Development Nexus Economic Growth in Bangladesh: A Dynamic Cointegration and Causality Analysis

In Bangladesh the garment sector is one of the major industrial sector which occupied its foremost presence in the economy of the country in terms of foreign exchange earnings, contribution to GDP, and employment generation and as well. The garment sector plays significant roles for socio-economic development and poverty alleviation in Bangladesh. The export-oriented readymade garments (RMG) sector in Bangladesh, started its journey in late 1970s as a small non-traditional sector of export. The industry began its journey from 1978 and formally started its journey in the 1980s, after that RMG sector of Bangladesh started growing, capture the market globally and providing valuable performance. In 1979 the garment sector exported only 0.672 million $ with operating 12 garment factories by 0.39 million workers but in 2020 within a span of two decays export values have gone up to 31456.73 million USD with its 4764 export oriented garment industries including 4.23 million workers. Thus an important question is usually raised by the researchers, is there a long-run cointegration relationship between garment sector development and economic growth in Bangladesh? To give the answer of this question this paper has tried to find out whether the long-run cointegration relationship exists between garment sector development and economic growth in Bangladesh economy. The study is used the times series data from 1976-2020 for garment sector development and economic growth. The existence of long-run cointegration relationship is found between garment sector development and economic growth in Bangladesh economy. From the estimated results of the vector error correction (VEC) model it is found that there exists short run bidirectional causality between garment sector development and economic growth. The significance and negative sign of test statistic of ECM(-1) denotes the existence of long run causality between garment sector development and economic growth. Therefore, it can be presumed that there is a long-run equilibrium connection between garment sector development and economic expansion in Bangladesh economy. From the estimated values of response function it can be said that with respect to one standard deviation the variable garment sector development responds positively for the next fifteen years in the variable economic growth in Bangladesh.

Why exporting is still the main international business mode from emerging economies Evidence from institutional perspectives on the exporting RMG sector of Bangladesh

This study was aimed at evaluating why exporting is still the main mode of international business from emerging economies through investigating the impact of institutional forces. Data were collected from ready-made garments (RMG) industry of Bangladesh. Elements of regulatory, cognitive and normative dimensions of institutions were developed based on Richard W. Scott's institutional dimensions. This study has found that international firms from emerging economies opted for exporting as a mode of international business mainly because of the institutional voids in regulatory dimension. Complexities in regulations and bureaucracies have been identified as major influencing factors. Institutional voids resulting from cultural-cognitive and normative dimensions pose lesser effect in choosing international business modes of exporting. This research has made some apparent contribution to the institutional theory.

Why exporting is still the main international business mode from emerging economies Evidence from institutional perspectives on the exporting RMG sector of Bangladesh

This study was aimed at evaluating why exporting is still the main mode of international business from emerging economies through investigating the impact of institutional forces. Data were collected from ready-made garments (RMG) industry of Bangladesh. Elements of regulatory, cognitive and normative dimensions of institutions were developed based on Richard W. Scott's institutional dimensions. This study has found that international firms from emerging economies opted for exporting as a mode of international business mainly because of the institutional voids in regulatory dimension. Complexities in regulations and bureaucracies have been identified as major influencing factors. Institutional voids resulting from cultural-cognitive and normative dimensions pose lesser effect in choosing international business modes of exporting. This research has made some apparent contribution to the institutional theory.

Effects of Human Resource Management Practices on Labor Dispute of Readymade Garment Sector of Bangladesh

Labour dispute is the most important issue the readymade garment (RMG) sector of Bangladesh has been facing at present. Labour dispute (LD) creates lose-lose situation and impairs the interest of both the workers and employers and thereby creates barriers in achieving sustainable development goals (SDGs) by hampering economic development of the country. For achieving SDGs within due times, it is necessary to maintain harmonious industrial relation (HIR) in RMG sector. In a HIR both the employers and workers change their mind set up and builds an environment of mutual understanding and trust. Workers with high motivation and commitment consider the interest of the employers as their own interest and always try to avoid dispute. HIR can be maintained through proper exercise of human resource management (HRM) practices. As LD is high in RMG sector, it is necessary to know to what extent HRM practices are exercised in this sector and whether these practices are responsible for labour dispute or not. To do so a questionnaire survey has been conducted on 384 workers of grade IV to grade VII of four major districts. Five focus group discussions and eight key informant interviews also have been conducted to triangulate the data. The findings indicate that HRM practices are poorly exercised in this sector. Among these practices inadequate wages, irregularity in paying wages, sudden dismissal, misbehavior and using slang language, inadequate scope for negotiation are important.