...reward package, including not only financial rewards and benefits but also non tangible benefits such as securities. It includes to all forms of pay or rewards going to workers and arising from their employment. Once workers have done their jobs and been appraised, they expect to be paid. Each and every worker in an organization works for money or incentives. So their first and foremost expectation from the organization is to earn money or appropriate compensation. Compensation is the most important part or tool of any organization. Because, human body works for earning something. And this earning policy is combinedly known as compensation package. Typically the human resource department performs this policy. It is the most critical function of human resource management. Because the human resource manager always concerns to have the good environment within the organization by providing appropriate compensation to the workers. The compensation package has two main components: direct financial payments which include wages, salaries, incentives, commissions and bonuses and indirect financial payment which include financial benefits like employer paid insurance and vacations. Every organization has to focus on compensation package because not a single organization exists that does not provide the benefits to the workers. There is not a single person who works without payment in an organization. From this point of view compensation package is the most important policy of an organization...
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...Practices Improve Job Satisfaction of Ready Made Garment (RMG) Workers in Bangladesh? An Alternative Solution to Recent Unrest Background of the study Ready Made Garment (RMG) is one of the successful manufacturing sectors with greater contribution to the national economy of Bangladesh. The industry started its journey in late 1970s and enjoyed a rapid rise from 30 enterprises in 1980 increased to more than 5000 in 2014. Average growth rate of this sector was over 20% per over the last two decades. RMG is the main source of export for the last 25 years. This single sector alone earns about 80% of yearly foreign exchange of the country. Its contribution to GDP reaches 13% in fiscal year 2009-2010. This sector employs more than 3 billion people in Bangladesh of whom 90% are women from rural family. Thus this sector is playing a vital role in socioeconomic development of the country. But this sector is struggling with a number of problems. Conflict between owners and workers, labor unrest, shortage of gas and electricity, poor infrastructure, poor port facility, conspiracy of home and abroad are posing a great threat to its survival. In recent time, labor unrest in the RMG sector has been a matter of serious concern. Almost every day electronic and print media cover news of labor unrest in RMG sector in one place or another across the country. Job dissatisfaction have been the prime causes of recent labor unrests across the country. This job dissatisfaction of RMG workers resulted from...
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...University 43 Mohakhali, Dhaka 1212, Bangladesh Tel: 88-017-4427-0243 E-mail: mars@ewubd.edu Rumana Afroze (Lecturer) Department of Business Administration, East West University 43 Mohakhali, Dhaka 1212, Bangladesh Tel: 880-181-888-3767 Received: July 2, 2011 doi:10.5539/ijbm.v7n3p206 Abstract The RMG sector of Bangladesh has experienced disputes and violent protest by the workers in recent times. This study explores the reasons for recent unrest in the garment sector. Since managers are mainly responsible for applying human resource practices, this paper has given particular attention to their views on recent attitude changes of workers. Results show that mutual understanding among workers and managers is absent in the RMG sector. This study also states that high-work load, poor behaviour of line managers, low skills and low wage rates are the notable reasons for high job turnover and social unrest. Poor relationship between workers and supervisors is the main source of conflict. This study finds that there is growing demand for work life balance among the workers of RMG sector. Keywords: Bangladesh, Readymade garment sector, Labour management, Labour dispute, HRM 1. Introduction In the age of knowledge economy and changing business environment, achieving competitive advantages and superior employee performance require proper Human Resource Management (HRM) (Becker & Huselid...
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...employees as per the legal provisions. According to Dr. Parandikar, “Labour welfare work is work for improving the health, safety and general well being and the industrial efficiency of the workers beyond the minimum standard laid down by labour legislation” Welfare measures may also be provided by the government, trade unions and non-government agencies in addition the employer. The basic purpose of labour welfare is to enrich the life of employees and keep them happy and contented. Welfare measures may be both statutory and voluntary. Labour laws require the employer to extend certain benefits to employees in addition to wages. Voluntary benefits are the result of employer’s generosity, enlightenment and philanthropic feelings. MEANING OF EMPLOYEE WELFARE According to the Oxford dictionary employee welfare or labour welfare means “the efforts to make life worth living for workmen”. According to the Labour Investigation Committee (1946), employee welfare means “anything done for intellection physical, moral and economic betterment of the workers, whether by employers, by Government or by other agencies, over and above what is laid down by law, or what is normally expected on the part of the contracted benefits for which workers may have bargained”. FEATURES OF EMPLOYEE WELFARE ➢ Employee welfare is a comprehensive term including various services, facilities and amenities provided to employees for their betterment....
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... Introduction In recent years, the Garments sector has emerged as the biggest earner of foreign currency in Bangladesh. Over the last years, Ready Made Garments (RMG) sector experienced impressive growth rates and specifically knitwear products are in high demand by the USA and European markets. The sector contributes significantly to the GDP. It also provides employment to around 4.2 million Bangladeshis. In the field of Industrialization garment industry is a promising step for economy of Bangladesh. In the 1980s, there were only 50 factories employing only a few thousand people. Currently, there are 4490 manufacturing units. The RMG sector contributes around 76 percent to the total export earnings. This sector also contributes around 13 percent to the GDP, which was only around 3 percent in 1991. Of the estimated 4.2 million people employed in this sector, about 50 percent of them are women from rural areas. The garment sector is the largest employer of women in Bangladesh. The garment sector has provided employment opportunities to women from the rural areas that previously did not have any opportunity to be part of the formal workforce. This has given women the chance to be financially independent and have a voice in the family because now they contribute financially. The country’s garments industry grew by more than 15 percent on average during last 15 years. The foreign exchange earrings and employment generation of the Garments industry are increasing day by day...
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...Limited – Banking Sector 03 3.1.1 Human Resources Division: 03 3.1.2 Different types of employees: 04 3.1.3 Training & Development Issues 04 3.1.4 Compensation, Pay & Employee Benefits 06 3.1.5 Evaluation Methods 08 3.1.6 Conclusion - BRAC Bank Ltd 08 3.2 Pacific jeans Limited – Garments Sector 09 3.2.1 Pacific jeans Limited code of product: 09 3.2.2 Human Resource Management of Pacific jeans Limited 09 3.2.3 The Main areas of Human Resource Management of Pacific jeans Limited: 10 4 Career development opportunities in Bangladesh 12 5 Summary and Conclusion 13 1 Introduction Human Resource Management means those people who are productive, creative, innovative and workable persons working in an organization. Human Resource Management is concerned with the people of Management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to high levels of performance and ensuring their commitment to the organization are essential to achieve organization objectives. Finally, we can say that, Human Resource Management is a branch of knowledge or areas of management practices that deals with conducting the nature of manpower job, manpower development, manpower remuneration and utilizing manpower and finally discharging Management function Concerning Human Resource Management. 1.1 History of HRM in Bangladesh Since British colonization in this region personnel recruitment and other managerial work was done...
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...History of Garments Industry in Bangladesh Arif Hasan April 1 2014 Department of Management University of Dhaka Table of Contents History of Garment industry in Bangladesh ........................................................................................................2 Pre-liberation period ....................................................................................................................................................3 Post-liberation period ...................................................................................................................................................4 Early 80’s ...........................................................................................................................................................................4 Present condition: ...........................................................................................................................................................5 At present Bangladesh is: ........................................................................................................................................5 Concluding Remarks .................................................................................................................................................. 10 History of Garment industry in Bangladesh Recently J P Morgan made a list of which “Frontier Five” emerging 5 countries which are worth investing among the five country...
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...EXECUTIVE SUMMARY Readymade Garments Industry is the leading foreign currency earning sectors of Bangladesh. Now-a-days Bangladesh financial sector is very much dependent upon this sector. The annual export income of garments sector is driven from two sources one is woven garments and others is knit wear. Redimet garments is a 100% export oriented garments. Redimet garments exports various garments product in foreign market. The company makes shirts, ladies dress, shorts, trousers, and others for U.S.A, U.K, Europian countries countries. They use high tech machineries to produce a quality garments product. They also add new machineries to increase their production line. They have a mission and the vision is profit maximization. The merchandising philosophy of Redimet garments is to keep good relation with their buyers. The garments Industry maintains a good relationship with every buyer. Hard working and commitment maintenance is their main strategy. They always try to satisfy their buyers. In this perspective the merchandiser always try to do their merchandising activities in due time. The merchandiser of this company is not very much skilled person. More over him has no assistant. For this reason Sometimes the company face problem. So, here Redimet garments can recruit high skilled people with giving high salary. The Redimet garments should improve their product quality, packing system, internal environment, and other merchandising activities to satisfy their foreign buyers...
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...of readymade garment exports from Bangladesh over the last two decades has surpassed the most optimistic expectations. Today the apparel export sector is a multi-billion-dollar manufacturing and export industry in the country. The overall impact of the readymade garment exports is certainly one of the most significant social and economic developments in contemporary Bangladesh. With over one and a half million women workers employed in semi-skilled and skilled jobs producing clothing for exports, the development of the apparel export industry has had far-reaching implications for the society and economy of Bangladesh. Literature Review: Several authors have analyzed aspects of the garment industry in Bangladesh. Of the various aspects of the industry, the problems and the working conditions of female workers have received the greatest attention. There are several studies including the Bangladesh Institute of Development Studies (BIDS) study by Salma Chowdhury and Protima Mazumdar (1991) and the Bangladesh Unnayan Parisad (1990) study on this topic. Both of these studies use accepted survey and research methodology to analyze a wealth of data on the social and economic background, problems and prospects of female workers in the RMG sector. Professor Muzaffar Ahmad looks at the industrial organization of the sector and discusses robustness and long-term viability of apparel manufacturing in Bangladesh. Wiigton (2000) provides a good overview of this industry, especially the...
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...Development of Apparel Industry in Bangladesh Garment Industry Large-scale production of readymade garments (RMG) in organised factories is a relatively new phenomenon in Bangladesh. Until early sixties, individual tailors made garments as per specifications provided by individual customers who supplied the fabrics. The domestic market for readymade garment, excepting children wears and men's knit underwear (genji) was virtually non-existent in Bangladesh until the sixties. Since the late 1970s, the RMG industry started developing in Bangladesh primarily as an export-oriented industry although, the domestic market for RMG has been increasing fast due to increase in personal disposable income and change in life style. The sector rapidly attained high importance in terms of employment, foreign exchange earnings and its contribution to GDP. In 1999, the industry employed directly more than 1.4 million workers, about 80% of whom were female. With the growth of RMG industry, linkage industries supplying fabrics, yarns, accessories, packaging materials, etc. have also expanded. In addition, demand for services like transportation, banking, shipping and insurance has increased. All these have created additional employment. The total indirect employment created by the RMG industry in Bangladesh is estimated to be some 200,000 workers. In addition to its economic contribution, the expansion of the RMG industry has caused noticeable social changes by bringing more than 1.12 million...
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...optimistic about its growth trajectory – recently, the director general of the World Trade Organization (WTO) said that Bangladesh was “well on track” to achieve its development goals to become a middle-income country by 2021. The garment industry, which makes up 80 percent of the country’s export earnings and employs over 3.6 million people, has played an enormous role in the country’s economic progress. Due to a number of factors but mostly lower working wages, Bangladesh has beaten some of its neighbors like India, Thailand, Vietnam, and Cambodia to become one of the world’s largest clothing exporters – second only to China. Since the workers of garments industries are driving the economy of Bangladesh to a large extent it is necessary to ascertain a healthy working environment for the workers. The labor law, 2006 states a number of rules regarding safety, health and hygiene and welfare of the workers of Bangladesh. In order to evaluate the true picture of the garments sector a survey has been made on a garments company named “Best Shirts Ltd”. This report presents a detailed explanation of the health and welfare conditions prevailing in that garments factory. Here an effort has been made to capture the authentic picture of the internal condition of the garments factory. 1.1. The Bangladesh Labor Act, 2006 The Bangladesh Labor Act 2006 (BLA 2006) both consolidates the law that existed in 25 Acts and Regulations (including the Factories Act 1965, and Industrial Relations Ordinance...
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...of export. By the year 1983, Ready-Made-Garment (RMG) emerged to be a non-traditional export oriented sector most promising in the socioeconomic context of the country. By that time, those entrepreneurs felt a necessity of sectoral trade body, non-government in nature, free from traditional bureaucracy, to help the RMG sector and to boost up the foreign exchange earnings of the country urgently needed at that time. Responding to that necessity, 19 (Nineteen) RMG manufacturers and exporters joined together and by their untiring efforts got Bangladesh Garment Manufacturers and Exporters Association (BGMEA) incorporated on February 20, 1983, Today 2400 small and medium scale privately owned garment factories, registered with BGMEA, spread in cluster over the EPZ and urban areas of Dhaka, Chittagong and Khulna, are manufacturing ready-made garments of varied specifications as per size and designs stipulated by the overseas buyers. Starting with a few items, the entrepreneurs in the RMG sector have widely diversified the product base ranging from ordinary shirt, T-shirt, trousers, shorts, pajama, ladie's wear and children's wear to sophisticated high value items like quality suits, branded jeans items, jackets-both cotton and leather, sweaters, embroidered wear etc. Fetching only US $ 6.4 million in 1981, garment sector of the country has now become an over 2.5-billion-dollar-foreign-exchange-earner, enjoying the status of 5th largest garment exporter and largest shirt and T-shirt...
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...Garment Factory Compliance • Home • About • Top of Form [pic][pic] Bottom of Form [pic]Indian Textile Industry and Garment Exports November 28, 2012 Disha Leave a comment The Indian textile industry is one of the largest industries in the world, with a huge raw material and textile manufacturing base. The industry occupies a unique position as a self-reliant industry, from the production of raw materials to the delivery of finished products. This large and ancient industry has carved out a special niche for itself as a facilitator of the county’s economic growth and participative development. Textile industry in India is a highly versatile sector, with smaller firms providing flexibility needed for smaller orders; the larger firms have the capacity to service the world’s biggest buyers. The Government of India has also undertaken several favourable policy initiatives, which have resulted in the growth of the sector. “Indian textile industry contributes about 14 per cent to industrial production, 4 per cent to the country’s gross domestic product (GDP) and 16.63 per cent to export earnings,” as per Ministry of Commerce and Trade, India. Major destination for Indian garment exports The USA is the number one destination for the exports of Indian apparels. During 2011, the garment imports to the USA from world were around US$ 81.51 billion. India exports garments of worth US$ 3.53 billion to the USA, which accounts for 4.33 per cent share in the USA’s total...
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...poor infrastructure. Occupationally, 75 percent of the civilian labor force, which is currently estimated at 56 million, is directly or indirectly engaged in agriculture. Only 12 percent is engaged in industry. Unemployment is estimated at around 18.5 percent. In terms of age structure, it is more youthful than in the western countries. Heavy pressure of population on scarce land has no doubt created an extremely unfavorable land-man ratio. The GDP of Bangladesh is total $258.608 billion, Per Capital $1,572 (estimate 2010). Due to rapid growth of the population in the last few decades the Bangladeshi labor force has grown rapidly, as there were a large proportion of young people born in the 1960s and 1970s. According to the EIU Country Profile the Bangladeshi labor force almost doubled in a matter of a decade, growing from 30.9 million people in 1985-86 to 56.0 million people in 1995-96. Although all sectors of the national economy experienced significant growth, they were far below the speed of the labor force growth. According to Bangladeshi national statistics, in 1995-96 only 12.4 percent of the labor force had formal employment, while 40 percent were considered "employed in family-based" businesses, 29.6 percent were considered "self-employed," and 17.9 percent had their jobs on a "daily basis." In general, the competition for working positions in the country is intense, and the working conditions are very harsh, especially in rural areas, where 63 percent of the labor force...
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...so-called social audits, compliance of code of conduct etc. now being conducted are aimed at employee motivation. Improvement of workplace, enhancement of working conditions is not the goals themselves. The goal of these activities is increasing productivity by way of lending job satisfaction at workplace & improving the life style & living condition of the working people. Once the employees are hired, trained and remunerated they need to be motivated for better performance. A basic principle is that the performance of an individual depends on his or her ability backed by motivation. Stated algebraically the principle is Performance = (ability X motivation). Ability refers to the skill and competence of the person to complete a given task. However as we see ability alone is not enough. Motivation in simple terms may be understood as the set of forces that cause people to behave in certain ways [1]. The Institute of Manpower Studies has claimed that the word ‘motivations’ is among the six most used words in company documents. It goes on to say that just because it is used, it doesn’t mean to say that it is understood. 1.2 SIGNIFICANCE OF THE STUDY The ready-made garment industry in Bangladesh is not the outgrowth of traditional economic activities but emerged from economic...
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