DBL Group: When they decided to tackle the inflation for their workers

The company named it "Bandhan", a fair-price shop to provide essential commodities to the workers. Introduced in 2008 by DBL Group, a prominent apparel manufacturer and exporter, the idea was later embraced by many other companies.

The shop offers 368 products from renowned national and international brands, including food items, cooking oil, toiletries, housekeeping supplies, tea, beverages, and more. The best thing for the workers is that they get good discounts on these items.

But how did this initiative help the group thrive and why was it needed in the first place? As with many success stories, there was a crisis that served as the catalyst in this case and created an opportunity.

MA Jabbar, managing director at DBL Group. TBS Sketch

During 2007-08, Bangladesh faced double-digit inflation that put the country's RMG workers in serious hardship.

A new wage board was not forthcoming anytime soon. Amid this crisis, DBL Group decided to take a bold step and implemented an ad-hoc increment of 15% for its workers.

It caused a stir within the same industrial cluster. Workers in those units demanded equal increments from their owners.

The industry as a whole recognised looming unrest and urged factories to refrain from adopting such practices.

In response, DBL management that had implemented the 15% increment, realised the need for a new strategy shift that would not only prevent industrial unrest but also address the financial challenges faced by the workers.

Thus, they introduced the ground-breaking solution called "Bandhan." Instead of a wage increment, the management subsidised prices for everyday items at the shop, ranging from 5% to 20%.

The success of this initiative led to the adoption of fair-price shops by over 100 factories, ensuring workers had access to essential goods at affordable prices.

DBL Group, the pioneer behind this, has been actively driving sustainability in its business operations through various transformative approaches.

For example, the company noticed that only about 30% of apparel workers on maternity leave return after giving birth to a child, thanks to a lack of breastfeeding facilities. The management ensured that workplaces have this facility alongside the daycares.

This helps keep their skilled workers at jobs and happy, and the rate of quitting jobs by lactating mothers has been reduced to almost half.

Inspired by the initiative, UNICEF along with the Bangladesh Garments' Manufacturers and Exporters Association (BGMEA) and the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) started a project to improve working conditions for 1,30,000 women workers and provide them with better nutrition services.

It also involves daycares for 8,000 children of workers.

Starting in 80 factories, the initiative will gradually expand to ultimately reach over 4,000 factories in Bangladesh.

The DBL Group has come up with various other initiatives, such as implementing upgraded technologies for yarn production, cleaner textile processes, resource-saving technologies, renewable energy utilisation, and a commitment to zero discharge of hazardous chemicals.

Furthermore, the company focuses on fostering new leaders within its organisation and engages in sustainability reporting.

Sustainability reporting is a form of non-financial disclosure that enables companies to convey their progress toward goals on a variety of sustainability parameters, including environmental, social and governance metrics.

They also implemented a programme to promote gender equality and women's empowerment, specifically recruiting and training female supervisors.

DBL Group is a family-owned business which started in 1991. Its first company was named Dulal Brothers Limited (DBL), according to its official website.

Dulal, brother of the group's managing director MA Jabbar, was killed at the Rayer Bazar killing ground by the Pakistan occupation army on December 14, 1971.

Over the years, the organisation evolved into a diversified conglomerate in Bangladesh. The businesses include apparel, textiles, textile printing, washing, garments accessories, packaging, ceramic tiles, pharmaceuticals, dredging, retail, and digital transformation services, reads the website.

Currently, the group operates 24 units and employs around 45,000 people. Last year, the group achieved an impressive annual turnover of $870 million.

Recently, as the recognition of the group's sustainability approaches, MA Jabbar was honoured as the 2023 Local SDG Pioneer by the United Nations Global Compact.

The Global Compact has been honouring local SDG pioneers over the last six years and DBL got it three times, including twice in a row.

Talking with The Business Standard, MA Jabbar, said DBL Group defines sustainability as "the ability to survive and grow".

DBL's "Sustainability 5.0 Strategy" consists of five pillars: people, process, product, community, and environment and thus, integrating a holistic approach toward social and environmental sustainability, he said.

He also mentioned that they always want to set up trends for the industry to make business more sustainable in terms of social and environmental sustainability indicators.

DBL has taken 2023 as the year of transformation and self-development. As part of it, the company offers various international training and certification to over 5,000 officers.

"We also have a Management Trainee Programme for finding out the future CEO for this group," he added.