Labour Rights & Employment Crisis in Bangladesh

bangladesh-employment-crisis-labour-rights
Jun 15, 2025
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As International Workers' Day approaches, the emphasis is on asserting labour rights such as workplace safety, fair wages, regulated working hours, and access to healthcare. However, a critical prerequisite to exercising these rights is the availability of employment opportunities, without which such rights become meaningless.
 
 Mass Unemployment and Job Insecurity 
The country faces a severe unemployment crisis, with over 26 million people currently without jobs. This not only affects those already unemployed but also instills fear among the employed, who live under constant anxiety about potential job loss.
 
Global Economic Crises and Their Impact
The COVID-19 pandemic and the Russia-Ukraine war have deeply disrupted global labour markets. According to the International Labour Organization, around 400 million people worldwide have lost their jobs due to these crises. Bangladesh, like many developing nations, is particularly vulnerable, and its workers continue to suffer from job losses and economic uncertainty.
 
Post-Pandemic Employment Challenges 
Many workers in Bangladesh have not been able to return to their previous jobs after the pandemic. The added strain from global inflation and international conflict is forcing families to make difficult choices, such as pulling children out of school to reduce household expenses.
 
Widening Wage Disparity
Income inequality is increasing sharply in Bangladesh. A SANEM study shows that 74% of the country’s income is held by just 1% of the population. Even as household expenditures rise—by 13% in the last six months—income levels have not increased accordingly, especially for families dependent on agriculture and low-paying jobs.
 
 Economic Pressures and Rising Living Costs 
The situation is further aggravated by global price hikes, currency devaluation, and market instability. These factors contribute to the worsening financial condition of low-income families, prompting research institutions to urge corrective action in product pricing, currency management, and market regulation.
 
Rising Household Debt and Struggling Workers 
A recent BBS survey found that 30% of families are currently surviving on loans, with average debt levels having nearly doubled over six years. Inflation has made even basic necessities like food unaffordable for many, leaving workers unable to keep up with the cost of living due to stagnant wages.
 
Inflation Outpacing Wage Growth
Inflation reached a record high of 9.52% in September of the previous year, while wages rose by only 6.80% during the same period. This growing gap between wage increases and inflation highlights the financial imbalance workers face, as their expenses consistently exceed their income.
 
Structural Economic Inequality and Underutilized Workforce 
Economists warn that although the overall economy is expanding, inequality remains pervasive. The country's economic potential is being undercut by an underutilized workforce, low worker skill levels, and an education system that fails to produce employable graduates, contributing to educated unemployment.
 
Need for Education Reform and Investment in Jobs
To address these interlinked issues, experts call for a complete overhaul of the education system and large-scale investments in job creation. Without targeted government action to enhance education quality and foster a favourable employment environment, the nation risks leaving a vast portion of its labour force idle and unproductive.

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