Fixing the RMG sector

By Sherina Tabassum
7 December 2006, 18:00 PM
The apparel and textiles sector in Bangladesh has been at the heart of the economic activities of the country for the last two decades. This sector has become the largest foreign currency earner and constitutes 75% of the country's exports. The country has experienced a reasonable amount of foreign investment in this sector. As the apparel and textiles sector has matured and become stable, it has become a major source of employment, especially for Bangladeshi women.

As the readymade garment (RMG) sector expanded, the necessity to uphold various labor standards such as basic human rights, occupational safety, proper hazard management system, etc. have become imperative. So far the industry has been successful in reshaping itself to accommodate various international standards and Codes of Conduct. However, the recent unrest in some manufacturing units/factories in the sector, both inside and outside the EPZ, has shown the importance of an effective mechanism of communication between the workers and the management/owners to address issues of concern for all.

Perhaps establishing a proper grievance handling procedure can mitigate many of the problems that the sector has recently seen. Grievance can be defined as a complaint or formal expression of dissatisfaction made by an individual employee about the work situation or about violation of the terms of workplace agreement. A proper grievance handling procedure ensures that employees who feel aggrieved about the way they have been treated, either by the management or by their colleagues, are given every opportunity to express their views and to have the issues resolved in a fair and reasonable manner, which will be beneficial for both the workers and the management. The procedure can be based on the laws of the land and certain international labor standards, the ILO conventions, the Universal Declaration of Human Rights, the UN Global compact and other existing standards.

Raising a grievance is a natural and emotional expression. It's an expression that takes place everywhere -- in every industry, society, and family, in every walk of life. In the absence of a proper grievance handling procedure and the management structure that supports it, and when suppressed for a long time, the outburst of the grievance can be extremely harmful for the factory, or the organization and, eventually, the industry, because grievance has a contagious effect and a proper grievance handling procedure can prevent the outbreak. Therefore, in an organizational situation, a definite path has to be marked to raise grievances.

Instituting a process to handle grievances is necessary because it sends a strong message to the employees that there is a platform to carry out discussions between the workers and the management, and that an employee can seek redress through organized channels and a predetermined process. The process should be transparent and easy to understand. It is important that the workers know that such a mechanism is in place so that they know that they will be treated fairly and that their complaints will be addressed by the management if the immediate supervisor fails to, or does not have the capacity to, address those.

It is equally important for the management to understand the necessity for instituting such a mechanism. The grievance handling procedure will help the management to address a complaint/grievance without causing disruption in the flow of work. It should be emphasized here that if production stops, losses incur not only to the owner but also to the workers. The complainant can carry on with his/her regular duties while the management takes the complaint through formal channels to resolve it. That way, production is on track to meet deadlines, workers can earn their regular wages/piece rates and owners do not have the risk of paying for airfreight.

As mentioned earlier, it is important to let the workers know that they can raise an issue with the management and solve it in an organized way that will benefit both parties. A proper grievance handling procedure will strengthen positive labor relations, which is a two-way traffic. Both management and workers must work together as relationship building is vital for successful industrial relations. Care must be taken so that each step in the procedure is followed, to facilitate the resolution of grievances and to give room to both parties to provide meaningful inputs to the process. Continuous denial of grievances in the initial stages of the process will invariably hurt the entire grievance handling procedure, and result in ill-feeling between the management and the workers.

We have already witnessed the worst-case scenario in Bangladesh, perhaps largely due to the absence of such a mechanism of communication between the factory owners and workers. It is, therefore, imperative to build the capacity of supervisors and managers in handling grievances through an established grievance handling procedure. Once the procedure has been finalized through consultations at various levels of the management and workers, a copy of the document outlining the procedure can be distributed among the workers for their information and understanding.

An effective grievance handling procedure is the process or mechanism whereby management formally deals with the officially presented complaint(s) of workers. The mechanism clearly establishes the steps in the process by which these issues will be resolved. The necessity of such a process is to identify and resolve grievances in a timely manner through consultation, constructive discussion and cooperation between management and the workers. Such a participatory process can do much to boost employee morale and encourage a supportive and conflict-free workplace.

The process should be transparent and easy to understand, and should be properly communicated to all levels of the organization. The objective of the process is to simplify the reporting of workplace problems. A simple but effective grievance handling procedure is a peaceful method of conflict resolution, which reduces agitation and provides stability.

The procedure will not only help the management to reach a quick and effective solution but will also result in improved working relationships, and boost overall employee morale. Although instituting a grievance handling procedure now may not compensate the Bangladesh RMG sector for the losses already incurred, we can surely hope that such a process will lessen the level of dissatisfaction and agitation among the workers. Undoubtedly, those factories and manufacturing units, which are already handling grievances effectively, have suffered the least during the recent unrest as these units have proved that the management is willing to listen to the workers, and to make an effort to address the issues of concern.

Sherina Tabassum is a freelance contributor to The Daily Star.