Following the deadly garment factory collapse earlier this
year that killed 1,129 workers, the Bangladesh government has passed a law to
improve conditions for factory workers. The law strengthens permit requirements
for the addition of floors to an existing building, and it mandates that
factories contribute 5% of their profits to a welfare fund for employees.
However, the law has been met with concerns and criticism
because it states that export-oriented factories (which account for a majority
of the country’s garment factories) are exempt from the provision mandating
contributions to employee welfare funds. The law also perpetuates a policy that
in order to unionize, workers in Bangladesh factories need to first gather
signatures from at least 30% of their company’s workers. This policy has
significantly hindered the possibility for factory worker unions in Bangladesh
since many employees fear termination if their supervisors find out they
support unionization.
U.S. government recently suspended Bangladesh’s trade
preferences over concerns for the safety of garment factory workers, and the
Obama administration is now reviewing the new law before making further
decisions.