99.91% garment workers paid February wages ahead of Eid: BGMEA

President of the Bangladesh Garment Manufacturers and Exporters Association (BGMEA), Mahmud Hasan Khan, said that nearly all garment factories have cleared February salaries ahead of Eid-ul-Fitr.

Speaking at a press briefing held at the BGMEA building this afternoon (18 March), he said 99.91% of factories have already paid wages, while the process is underway in the remaining two factories.

Regarding Eid bonuses, he noted that 99.81% of factories have paid Eid bonuses. The process is currently underway in the remaining four factories.

He also noted that 64.03% of factories have paid partial advance salaries for March, despite no legal obligation to do so.

To ease travel congestion during the Eid rush, factories are granting holidays in phases. As of 17 March, around 50% of factories had already announced holidays, with the rest expected to follow by tomorrow.

BGMEA said there are no unresolved issues regarding February wage payments among its listed factories.

However, the association highlighted that the readymade garment sector is facing significant challenges in the 2025-26 fiscal year. Export earnings declined by 3.73% in the first eight months, while back-to-back LC openings for raw material imports fell by 6.79%. The average unit price of garments also dropped by 1.76% during the same period.

The situation has been further strained by global economic slowdown, geopolitical tensions, rising competition in international markets, and volatility in energy and transport costs.

Domestically, the sector is struggling with a 286% hike in gas prices and a 33% increase in electricity costs over the last five years, alongside high interest rates and liquidity shortages in the banking sector.

Despite these challenges, factory owners ensured timely payment of wages and bonuses, in some cases by arranging funds independently, the association added.

BGMEA also acknowledged government support, including special loan facilities and the disbursement of Tk2,500 crore in cash assistance, which helped ease liquidity constraints and maintain stability in the sector.

The association urged authorities to strengthen highway monitoring during Eid travel to prevent accidents and ensure passenger safety.