HomeCommerce"Bangladesh Labor Law Amended: Unions Now Easier to Form"

“Bangladesh Labor Law Amended: Unions Now Easier to Form”

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The government has revised the labor law to reduce the threshold for establishing a trade union in order to align with global standards. A recent gazette notification states that a trade union can now be established with just 20 workers in a factory.

Despite objections from businesses concerned about potential disruptions in factory operations, trade union leaders support the change. The amendment in Bangladesh’s labor law was prompted by pressure from international organizations like the International Labour Organization (ILO), the European Union, and the United States to conform to international norms.

This adjustment is crucial for enhancing the country’s trade competitiveness, attracting foreign investments, and facilitating new trade agreements. The revised law now includes daily, casual, and digital platform workers in the definition of workers, expanding the scope of labor rights.

Under the updated regulations, a trade union can be formed by 20 workers in factories with 20 to 300 employees, while the consent of 40 workers is required for factories with 301 to 500 employees. For factories with 501 to 1,500 workers, the consent of 100 workers is necessary, and for those with 1,501 to 3,000 workers, 300 workers’ consent is mandated. Factories with over 3,000 workers require the consent of 400 workers to establish a trade union.

Furthermore, the amended law has broadened the definition of agricultural labor to include horticulture, aquaculture, and livestock workers, and it now covers domestic workers as well.

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