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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’.