New Bangladesh labor law paves way for unions

Bangladesh passed a new labor law Monday that takes away factory owners' veto power over the formation of trade unions and requires factories that sell goods domestically to set aside 5% of their annual profits in welfare funds for workers. Garment factories that export the goods they produce are exempt from the 5% requirement. "This is a landmark legislation drawn up after extensive consultations with all stakeholders including workers, factory owners, retailers, the [International Labour Organization] and development partners," said Labor Secretary Mikail Shiper.

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