Bangladesh apparel workers uncertain about financial security: Survey fibre2fashion.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from fibre2fashion.com Daily Mail and Mail on Sunday newspapers.
Only 2 per cent of garment workers had received the Covid-19 vaccine in Bangladesh until April this year, according to a study. The South Asian Network on Economic Modeling (SANEM) and Microfinance Opportunities (MFO) revealed the study as part of their joint project titled "Garment Worker Diaries" in which SANEM and MFO have been collecting monthly data since April 2020. The
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Pic: Shutterstock After using digital payment modes during the COVID-19 outbreak, readymade garment (RMG) units in Bangladesh are gradually switching back to cash-based salary payment, a new report has revealed. Digital payments by RMG factory owners witnessed an increase due to the stimulus package announced by the government to support temporarily laid-off workers.
To contain the COVID-19 outbreak, the government had put the country under lockdown from March 29 to May 30. Salary under the government s stimulus package was disbursed by RMG factories for four months from April to July 2020.
Despite the high benefits such as decreased payroll processing costs and lost worker production time and enhanced security associated with digital payments, factories are switching back to cash payments, said the survey report ‘Factory Wage Digitisation Trends’.
Garment factories reverting to cash for wage payment: study
Star file photo
Star Business Report
Star Business Report
Garments factories are reverting to cash to pay wages and salaries to workers just months after they embraced digital payments at the height of the coronavirus pandemic, according to a new study.
The digitalisation of wages got a leg up after the government enforced countrywide shutdown to slow the spread of the deadly pathogen in April. The upward trend in payments through electronic platforms continued until June.
Later, the ratio of digital payments began to decline despite higher benefits of digitalisation such as decreased payroll processing costs, lost worker production time, and enhanced security associated with digital payments, said a press release citing the study.