1:31 pm, Friday, 13 March 2026

266 factories at risk of delayed wages, festival allowances

Around 266 factories in Bangladesh, notably 180 in the textile and readymade garment sector, are at risk of unrest as wage and festival allowance payments may be delayed ahead of Eid-ul-Fitr, law-enforcement agencies have cautioned.

A labour ministry report, based on findings from law-enforcement agencies findings, indicated that approximately 138,000 workers in these 180 RMG factories could engage in protests if wages and festival bonuses were not paid on time.

The report categorised potential scenarios by risk level, noting that high-risk factories could face direct agitation from workers over unpaid wages and bonuses.

Medium-risk situations might see workers blocking roads to demand payments, potentially causing severe disruption to homebound travel during the festive period.

The report also highlighted that 124 RMG factories could face growing dissatisfaction if wages, allowances, and Eid bonuses were delayed, while 16 permanently closed Nasa Group factories, affecting around 12,000 workers, might trigger significant unrest if 75 per cent of owed service benefits were not settled before Eid.

Smaller, medium, and subcontracted factories were identified as particularly vulnerable, and labour organisations were expected to intensify demands by 20 Ramadan.

Authorities and industry sources cited several factors driving the risk, including delayed February wages, inconsistent festival allowances, sudden factory relocations or closures, layoffs without compensation, and lack of coordination between government-declared holidays and legally mandated workers’ holidays.

They also noted that 21 permanently closed factories belonging to Nasa Group and Dard Group have been unable to pay dues to workers, further raising the risk of unrest.

Of the 266 factories, the Industrial Police identified 170 RMG and textile units as likely to fail in meeting wage obligations.

Among them, 85 are members of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), 37 belong to the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), 36 are affiliated with the Bangladesh Textile Mills Association (BTMA), and nine fall under the Bangladesh Export Processing Zones Authority (BEPZA).

The remaining units are non-RMG factories, with an additional 10 in Dhaka Metropolitan area potentially unable to pay wages and allowances.

These factories are spread across eight Industrial Police zones, including Savar, Ashulia, Gazipur, Narayanganj, Chattogram, Mymensingh, and Khulna.

Overall, 9,773 factories fall under Industrial Police jurisdiction nationwide.

An IP official confirmed that authorities have alerted relevant trade bodies and government departments and are engaging with factory managements to ensure timely payments and prevent unrest.

Labour leaders emphasised that the absence of fixed festival allowances, partial or last-minute payments, terminations, and sudden closures were major contributors to potential disputes.

Fazlee Shamim Ehsan, president of the Bangladesh Employers Federation and executive president of BKMEA, said export-oriented sectors, particularly the garment industry, were facing persistent challenges.

Export earnings recorded seven consecutive months of negative growth up to February 2026, with many factories operating at a loss due to declining work orders, rising utility costs, and wage obligations.

He urged the government to release cash incentives before Eid and provide loans to ensure workers are paid.

‘Without pending cash incentive claims, many factories may struggle to meet wage obligations. The sector is under pressure as both wages and utility costs have increased amid declining work orders,’ he said.

According to IP data, 747 factories, including 357 RMG units, failed to pay January wages, while another 149 factories, including 61 RMG units, have yet to settle wages for November and December.

266 factories at risk of delayed wages, festival allowances

Update Time : 08:15:09 pm, Tuesday, 3 March 2026

Around 266 factories in Bangladesh, notably 180 in the textile and readymade garment sector, are at risk of unrest as wage and festival allowance payments may be delayed ahead of Eid-ul-Fitr, law-enforcement agencies have cautioned.

A labour ministry report, based on findings from law-enforcement agencies findings, indicated that approximately 138,000 workers in these 180 RMG factories could engage in protests if wages and festival bonuses were not paid on time.

The report categorised potential scenarios by risk level, noting that high-risk factories could face direct agitation from workers over unpaid wages and bonuses.

Medium-risk situations might see workers blocking roads to demand payments, potentially causing severe disruption to homebound travel during the festive period.

The report also highlighted that 124 RMG factories could face growing dissatisfaction if wages, allowances, and Eid bonuses were delayed, while 16 permanently closed Nasa Group factories, affecting around 12,000 workers, might trigger significant unrest if 75 per cent of owed service benefits were not settled before Eid.

Smaller, medium, and subcontracted factories were identified as particularly vulnerable, and labour organisations were expected to intensify demands by 20 Ramadan.

Authorities and industry sources cited several factors driving the risk, including delayed February wages, inconsistent festival allowances, sudden factory relocations or closures, layoffs without compensation, and lack of coordination between government-declared holidays and legally mandated workers’ holidays.

They also noted that 21 permanently closed factories belonging to Nasa Group and Dard Group have been unable to pay dues to workers, further raising the risk of unrest.

Of the 266 factories, the Industrial Police identified 170 RMG and textile units as likely to fail in meeting wage obligations.

Among them, 85 are members of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), 37 belong to the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA), 36 are affiliated with the Bangladesh Textile Mills Association (BTMA), and nine fall under the Bangladesh Export Processing Zones Authority (BEPZA).

The remaining units are non-RMG factories, with an additional 10 in Dhaka Metropolitan area potentially unable to pay wages and allowances.

These factories are spread across eight Industrial Police zones, including Savar, Ashulia, Gazipur, Narayanganj, Chattogram, Mymensingh, and Khulna.

Overall, 9,773 factories fall under Industrial Police jurisdiction nationwide.

An IP official confirmed that authorities have alerted relevant trade bodies and government departments and are engaging with factory managements to ensure timely payments and prevent unrest.

Labour leaders emphasised that the absence of fixed festival allowances, partial or last-minute payments, terminations, and sudden closures were major contributors to potential disputes.

Fazlee Shamim Ehsan, president of the Bangladesh Employers Federation and executive president of BKMEA, said export-oriented sectors, particularly the garment industry, were facing persistent challenges.

Export earnings recorded seven consecutive months of negative growth up to February 2026, with many factories operating at a loss due to declining work orders, rising utility costs, and wage obligations.

He urged the government to release cash incentives before Eid and provide loans to ensure workers are paid.

‘Without pending cash incentive claims, many factories may struggle to meet wage obligations. The sector is under pressure as both wages and utility costs have increased amid declining work orders,’ he said.

According to IP data, 747 factories, including 357 RMG units, failed to pay January wages, while another 149 factories, including 61 RMG units, have yet to settle wages for November and December.