Over 100 RMG units fail to pay Dec wages: Industrial Police

As of the last week of January, 104 apparel factories have yet to pay wages and allowances to their employees for December, according to a report by the Industrial Police.

Industrial Police data revealed that these factories are spread across six industrial zones in the country. 

Gazipur recorded the highest number, with 55 factories, followed by Ashulia with 18, Narayanganj with 14, and Chattogram with 12. Mymensingh and Cumilla had the lowest numbers, with four and one factory, respectively.

The report, presented at the law and order coordination meeting at the Secretariat in the last week of January, highlighted that these factories failed to pay wages due to low orders and financial crises. 

As per labour law, employers must pay workers within the first seven working days of the following month.

However, several factory owners listed in the report denied the claims, stating that they had already paid wages and allowances to their workers, though some still had outstanding payments for their staff.

Most factory owners declined to comment when contacted.  

Speaking to The Business Standard, Md Sibgat Ullah, deputy inspector general of the Industrial Police, said the list is updated daily based on factory payments.  

Among the non-paying factories is Alema Textile Limited, based in Bhogra, Gazipur. Its Head of Administration Mohammad Selim said while they had paid workers' wages, payments for managerial staff were still pending.  

"We are facing financial difficulties, but we paid the workers' wages in the third week of January," he said. "Inditex, the world's largest fast-fashion group, was our biggest buyer. Suddenly, it stopped doing business with us, creating challenges for us."  

He explained that Pull&Bear once accounted for about 70% of the factory's production capacity. At that time, the factory produced approximately 60,000 pieces of apparel daily. After losing that buyer, daily production dropped to 15,000 pieces.

As a result, a factory with 42 production lines could only operate 13. He added that onboarding a new brand takes at least six months.

Following six months of effort, the factory now operates 28 lines and produces 40,000 pieces of apparel daily. He expressed hope for better days ahead for the company.  

Another factory on the list, Mahmud Jeans in Gazipur has not been operational for a long time due to a gas crisis. Following worker unrest at the factory, its owner Rafi Mahmud was assaulted by workers in November last year.

Kattali Textile Limited, a publicly listed apparel factory based in Chattogram, was also named in the report.

Its HR official Ashraful Islam said they had cleared workers' payments on 27 January.