Labour Act amendments: Trade Union to be made easier

The tripartite review committee, comprising government, factory owners, and worker representatives, has proposed amendments to the Labour Act, suggesting measures to reduce the required percentage of workers' signatures to form trade unions in a factory from 20% to 15%.

Additionally, the committee has proposed eliminating the requirement of having at least 3,000 workers for the signature of 15% of workers.

Officials say the proposals were submitted to the Ministry of Labour on 23 January, which subsequently forwarded them to Prime Minister Sheikh Hasina for further consideration.

Labour Ministry officials say if the amendments are passed, the formation of trade unions will be easier than before. However, many labour leaders argue that the amendments do not go far enough in simplifying the process of establishing trade unions.

Meanwhile, after a meeting with a six-member delegation of the International Labour Organisation (ILO) on Tuesday, Law Minister Anisul Huq told reporters at the Secretariat, "The government has taken the initiative to amend the labour law again to make the process of forming trade unions in factories easier."

In the amendment, a proposal has also been put forward to eliminate the need for detailed worker information, including addresses, for trade union formation, allowing applications to be submitted with any valid ID card.

On the other hand, the obligation of the factory owners to provide information regarding the number of workers in the factory within 15 days of being asked to do so is also going to be added in the amendment.

Furthermore, the proposed amendment suggests increasing the fine for factory owners in the case of an illegal lockout from Tk5,000 to Tk20,000.

Following the Act's amendment by the previous parliament, the President returned the legislation unsigned. This action was prompted by an increase in penalties for workers on the same charge, while no corresponding increase was proposed for factory owners.

Md Reza Mia, a member of the review committee and deputy secretary at the Ministry of Labour, told TBS, "The review committee has proposed several amendments to the Labour Act, which, if passed by parliament, will simplify the formation of trade unions."

Razequzzaman Ratan, president of the Socialist Labour Front and committee member, said, "The effectiveness of trade unions depends on the aspirations of workers, government support, and the goodwill of factory owners. Unfortunately, there is a lack of support from the Bangladesh government and goodwill from owners, which may hinder the practical benefits of trade unions."

He added, "Our demand was to maintain an open opportunity for trade union formation, allowing workers to establish unions if they wish. The ILO convention also opposes any threshold. This practice is observed in the neighbouring countries, but it was not incorporated into the amendments. Hence, I have submitted a note of dissent."

He said the Act does not extend to the Export Processing Zones (EPZs) or Economic Zones (EZs).

Razequzzaman Ratan said that additionally there has been a persistent demand to revoke Section 26 of the Labour Act, which allows factory owners to dismiss workers at their discretion.

"Consequently, if a factory owner discovers that a worker intends to establish a trade union, they can promptly terminate their employment, and this scenario has been occurring," he added.

He further said while this may temporarily appease the international community, including the ILO and the European Union, it will not yield tangible benefits for workers.

Regarding the threshold, a Ministry of Labour official, speaking anonymously to TBS, said, "Bangladesh must make a decision based on practical considerations. Even if desired, this threshold cannot be waived."

Chowdhury Ashiqul Alam, secretary-general of the Bangladesh Noujan Sramik Federation and another committee member, said, "If the proposal is approved and effectively enforced at the grassroots level, perhaps the establishment of trade unions will become slightly easier."

Labour leader Babul Akter said, "The primary obstacle to trade union formation lies with the Department of Labour. Without holding accountable the officials there, forming a trade union will remain challenging."

According to data published on the Department of Labour's website, a total of 9,533 trade union registrations have been granted nationwide, with over 1,000 trade union applications rejected, accounting for approximately 10% of the total submissions.

However, labour leaders contend that the majority of registered trade unions are either inactive or aligned with factory owners. Babul Akter noted that at most, only 15% of trade unions are actively advocating for workers' rights.

The Labour Act was initially enacted in 2006 and underwent its first amendment in 2013, prompted by international criticism following the Rana Plaza accident. Subsequent revisions were made in 2018. Despite these amendments, concerns persist among both local and international stakeholders regarding obstacles to forming workers' associations or operating independently as Collective Bargaining Agents (CBA).