logo
Experts expose exploitative conditions behind working life in major textile factories: 'I can't get by on what I earn'

Experts expose exploitative conditions behind working life in major textile factories: 'I can't get by on what I earn'

Yahoo08-05-2025
As the second-largest textile manufacturer in the world, Bangladesh often boasts its ready-made garment industry as a feminist revolution.
It employs about 4 million workers, 80% of whom are women, according to Economics Observatory. But the outlet noted that the facade of prosperity hides a darker side of the industry that feeds fast fashion and frequently violates workers' rights.
Starting in the 1980s, Bangladesh's ready-made garment industry saw explosive growth because of market deregulation. Economics Observatory cited RMG Bangladesh data that said apparel made up about 4% of the country's total exports in 1983. In 2022, garments accounted for nearly 85% of all exports.
This growth called for a workforce to support it. Bangladesh's garment industry still employs mostly women, though a Brac University survey, shared by The Daily Star, reported it's closer to 60% today due to rapid automation. The numbers point to a population of women who have found empowerment through work.
However, despite the economic freedom women have gained from working in the garment industry, many feel disenfranchised, pointing to low wages and violations of workers' rights.
According to Economics Observatory, Bangladeshi garment workers are among the lowest paid in the world, with the minimum wage of around $113 a month significantly lower than the estimated local living wage of $460 a month.
"I can't get by on what I earn," one worker told NPR. "I have to pay for my son's schooling, I have to pay rent, I have to look after my mother and my parents-in-law. It's just not enough."
However, Economics Observatory noted there is "no incentive" among the state or investors to increase wages for fear of undermining the nation's reputation as a leader in garment production.
Right now, dozens of brands source their apparel from Bangladesh, contributing to an industry built on worker exploitation. This, in turn, feeds fast fashion, an industry that generates more than 101 million tons of waste each year, per Earth.org.
A few companies sourcing from Bangladesh have been vocal about their sustainability efforts. Some have come under fire for amplifying words over actions.
What should be done to make home solar panels cheaper?
More tax incentives
Lower installation costs
Better loan options
They're cheap enough already
Click your choice to see results and speak your mind.
Consumers should educate themselves about greenwashing efforts by apparel companies as sustainability campaigns become more popular.
Various industries utilize misleading marketing tactics to make customers feel good about buying from them. It's important to research companies before making a purchase.
Cutting out fast fashion completely can also help the situation. Alternatives such as thrifting keep clothes out of landfills and reduce harm to the planet.
Join our free newsletter for good news and useful tips, and don't miss this cool list of easy ways to help yourself while helping the planet.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Listening Is Learning: Why Cultural Intelligence Is Your Global Edge
Listening Is Learning: Why Cultural Intelligence Is Your Global Edge

Forbes

time2 days ago

  • Forbes

Listening Is Learning: Why Cultural Intelligence Is Your Global Edge

I politely declined an offer of tea during one of my first sales meetings. It was interpreted as being disrespectful to the supplier, and we lost the deal. I missed the clues about the business culture. It wasn't about the beverage at all; it was about sitting down and building a relationship. getty As a 'third-culture kid' (a child who grows up in a different culture from the one of his parents), who has lived on three continents by the age of seven and scaled businesses globally, I've learned a fundamental truth: success in our interconnected world isn't just about what you sell, but how deeply you listen. For North American companies, whether you're looking to expand into vibrant global markets or connect with the rich diaspora communities right here in Western nations, cultural intelligence is an essential differentiator and a critical, often overlooked skill. The idea of a 'global village' is more than just a catchy phrase; it's our reality. Your IT team might be in India, customer service in the Philippines, and production in China, all while your headquarters are in Toronto or Chicago. While technology has enabled this unprecedented global structure, it also means that the traditional Western business approach simply isn't enough. Time and history have shown that true, enduring success, culled from leadership lessons from figures like Genghis Khan and Alexander the Great, comes not from cultural dominance but from embracing diversity and strategically incorporating the best of other cultures. They embraced what I think today we would call a 'fusion' of cultures. It's about asking, 'What are the unique and special things about your culture, and how can we incorporate them to thrive collaboratively?' This is where listening becomes your most powerful tool. Through years of navigating unfamiliar environments, often feeling like an outsider, particularly in my early business ventures in Bangladesh, I developed my own roadmap for authentic engagement and building sustainable relationships in new markets. EIA—Embed, Interpret, and Act—involves immersing or embedding yourself in a new culture or environment and embracing new experiences. Then, you interpret facts, opinions, details, new experiences, and subtle cultural cues and nuances. Finally, you act, adjust your previous approaches, and put what you've learned into practice. My approach, at its heart, is based in listening. For me, this was rooted in spending countless hours among street vendors and small shops in London's Bangladeshi expat community, observing their habits, how connections were made, and the unique elements of the culture. It meant learning local phrases, even imperfectly, because language is the key to understanding culture and showing respect. (And to learn any language, you must listen.) My friend and colleague Dr. Rathana Peou Norbert-Munns emphasizes that it's about being an open and active listener, willing to dive into another country's culture and people, even trying new things like local cooking or a language class. This means being on the ground, connecting at a grassroots level, not just conducting surface-level research from a distance. True Listening Goes Deeper I learned this the hard way during one of my first meetings in Bangladesh. I politely declined an offer of tea during one of my first sales meetings, thinking I was being efficient, but it was interpreted as being disrespectful to the supplier. The impact? We actually lost the order. I may have listened to the supplier but didn't hear the spaces between the words; in other words, I missed the clues about the culture and how this man conducted business. I didn't realize it wasn't about the beverage at all; it was about sitting down and building a relationship, an everyday cultural norm there. Understanding subtle gestures, communication styles, and social norms can make or break your chances of building trust and business relationships. As my Senior Vice President at Computek College in Toronto, Wazeer 'TJ' Jalal, experienced in Vietnam, even a seemingly polite 'thank you' can be misinterpreted without deep cultural understanding and correct pronunciation (he thought he was saying 'thank you'; he was actually saying 'shut up.'). We must listen for these missteps, notice the impact, make amends, and do better once we realize what we've done. The impact of deep listening can be profound. It builds trust and credibility within local communities, which is especially critical in markets with historical mistrust of traditional institutions. It drives innovation and adaptability by addressing specific, often overlooked needs. And crucially, it fosters long-term, sustainable growth by prioritizing local knowledge and cultural sensitivity. As Daniel Bernhard, CEO of the Institute for Canadian Citizenship, aptly states, 'If we shut ourselves down, we close ourselves to the lessons that we could learn from people who are already there, and we do so at our peril. We lose when that happens.' So, for North American companies looking to truly thrive in our globalized world, remember this: listen. Listen to understand, to interpret, and then to act. That's the real trick to building meaningful connections and creating a truly inclusive and prosperous global future.

Trump's tariff reveal: How is fashion sourcing impacted?
Trump's tariff reveal: How is fashion sourcing impacted?

Yahoo

time2 days ago

  • Yahoo

Trump's tariff reveal: How is fashion sourcing impacted?

Trump's new tariffs go live on 7 August. Importantly, the universal tariff remains at 10%. But that will only apply to countries with which the US has a trade surplus. Those the US has a trade deficit with, will be impacted by a 15% rate, applicable to about 40 countries. For many US apparel brands and retailers, key trading partners are impacted by Trump's new tariff rate. Specifically: Bangladesh: 20% Bangladesh is the third largest apparel supplier to the US and in May saw shipment value growth of 4.2% to $548m. Trump had initially floated the idea of a 35% tariff hike on Bangladeshi exporters. So the final decision (for now) of 20% will undoubtedly bring some relief. According to The Bangladeshi Standard, Dr. Khalilur Rahman, Bangladesh's National Security Advisor and lead negotiator, said: "Protecting our apparel industry was a top priority, but we also focused our purchase commitments on US agricultural products. This supports our food security goals and fosters goodwill with US farming states," he added. "Today, we successfully avoided a potential 35% reciprocal tariff. That's good news for our apparel sector and the millions who depend on it. We've also preserved our global competitiveness and opened up new opportunities to access the world's largest consumer market.' Cambodia: 19% In May, data from the US International Trade Commission shows shipment value increased by 9.5% from Cambodia to $295m. A 19% tariff rate is a steep climb down from the previously planned 49%, and likely to bring some relief to Cambodian garment and footwear makers. Earlier this year, Cambodia's fashion industry and worker representative told Just Style they didn't have much hope for continued export growth based on the tariff plans. Cambodia is particularly exposed to the tariffs, given it sold $2.7bn's worth of knitted and crocheted apparel and accessories to the US in 2024, and $1.2bn's worth of woven apparel and accessories last year, according to UN data. This is a significant portion of the $11.68bn's worth of apparel, footwear and travel goods exported by Cambodia in 2024, according to the country's General Department of Customs and Excise (GDCE). Commenting on the planned tariffs in April, the Textile, Apparel, Footwear, and Travel Goods Association in Cambodia (TAFTAC) said it caused 'concern' among TAFTAC members, workers, as well as the general public over the potential impact on the export of Cambodia's garment, footwear and travel goods sector. Meanwhile, Cambodia's Centre for Alliance of Labour and Human Rights (CENTRAL) executive director Tola Moeun warned the higher tariff rate would see many factories have to shut up shop. India: 25% US apparel shipment value from India rose 5.7% to $461m in May, according to the US International Trade Commission. Trump referred to India as a 'friend' on his Truth Social platform, but he also suggested the US will place an 'unspecified penalty' on the apparel sourcing major for buying Russian oil and weapons. GlobalData retail analyst Neil Saunders said India's 'steep tariff rate' made it far less competitive as a manufacturing hub. While Bob Antoshak, VP of Global Strategic Sourcing & Development at Grey Matters Concept, notes much of the decision stemmed from a dispute over US access to India's agricultural market. He tells Just Style: 'Modi's reluctance to back down on agriculture has prompted Trump to up the pressure with higher tariffs, criticism over India's membership in BRICS, and India's importation of Russian oil and military equipment over the years. Trump's bare-knuckle approach could result in a settlement on agriculture, but it could just as easily result in Modi opting to take a pass, which would result in many foreign investors opting to relocate investment to other countries that have already agreed to trade deals with the US.' Indonesia: 19% Indonesia saw a 6% US-bound apparel shipment value increase in May to $290m. Indonesia exported around $11.96bn in textile and garment products overall in 2024, accounting for more than 6% of national manufacturing exports by value and employing nearly 4m people, according to the country's trade ministry. The nation's fashion and textile industries hope to maintain exports to the US following a bilateral trade deal that cut planned US import tariffs from 32% to 19%. They are banking on US buyers diversifying their sourcing from China. Redma Wirawasta, executive director of the Indonesian Fiber and Filament Yarn Producers Association (APsiFy), told Just Style: 'We may not grow exports significantly, but we should be able to maintain our current volume. That's key to preventing layoffs in the sector.' The government said the agreement has already helped revive orders from major US buyers, easing pressure on one of Indonesia's most labour-intensive manufacturing sectors. Myanmar: 40% According to UNCTAD, Myanmar, along with Madagascar and Mauritius, are among 28 trading partners whose economies are likely to suffer the most as the result of increased tariffs. In its 'Escalating tariffs: The impact on small and vulnerable economies' report, UNCTAD says in many cases, reciprocal tariffs risk devastating developing and least developed economies, without significantly reducing US trade deficits or increasing revenue collection. Myanmar, whose reciprocal trade tariff is 47% contributes 0.047% to the US trade deficit. The garment sector is still attempting to recover from a devastating earthquake and political turmoil under a military government. 'Any trade concessions they grant would mean little to the United States, while potentially reducing their own revenue collection,' the UN Trade and Develop report underscores. Nicaragua: 18% While the ambition for US fashion brands and retailers was to increase apparel sourcing from neighbouring countries, the results do not reflect that. Nicaragua saw a decline of 11.9% in apparel shipment volumes to 45m SME in April. Honduras also saw a fall. According to the United States Fashion Industry Association (USFIA) annual Fashion Industry Benchmarking Study, there is no clear evidence that indicates that the Trump Administration's tariff policy has successfully encouraged US fashion companies to increase domestic sourcing of 'Made in the USA' textile and apparel products or to expand sourcing from the Western Hemisphere.' Dr Sheng Lu, professor of apparel studies at the University of Delaware, told Just Style: 'Only about 44% of respondents explicitly say that they would expand sourcing from the Western Hemisphere, and even fewer respondents (17%) plan to source more textiles and apparel 'Made in the USA' amid the tariff increase.' One of the reasons, he suggests is that US fashion companies would prioritise sourcing destinations that can demonstrate competitiveness in costs, flexibility, low minimum order quantity, and vertical manufacturing capability. However, Asian suppliers are regarded as more competitive in these areas than the US and Western Hemisphere suppliers. Pakistan: 19% According to the latest data from the US International Trade Commission, US imports of apparel from Pakistan by value increased by 34% to $210m in May. Earlier this year, several apparel manufacturers told Just Style of the steps they were taking to attract business even in the wake of higher tariffs. Much of this was based on banking that competitor countries like Bangladesh, Vietnam, Cambodia and China would face higher duties. The country's Small and Medium Enterprises Development Authority (SMEDA) is set to launch a second phase of its Industrial Stitching Units project, aligned with the federal government's 'Uraan Pakistan' (Fly Pakistan) programme to rejuvenate Pakistan's economy, promote sustainable development and drive inclusive growth. Sri Lanka: 20% The Joint Apparel Association Forum (JAAF) said it welcomed the revised reciprocal tariff rate of 20% on Sri Lankan exports to the United States and commended the Government of Sri Lanka for its steadfast efforts in securing this critical outcome for the apparel sector. 'The revised tariff rate brings Sri Lanka into closer alignment with other leading apparel-exporting nations in the region — including Bangladesh, Cambodia, Vietnam, Indonesia, and Pakistan — thereby ensuring a more level playing field and preserving the competitiveness of Sri Lanka's apparel industry in key US markets. 'JAAF remains firmly committed to working in close partnership with the Government of Sri Lanka and our counterparts in the United States to promote ethical labour practices, environmental sustainability, and innovation in apparel manufacturing. We are confident that these shared values, combined with continued diplomatic engagement, will contribute to deeper bilateral trade relations, and pave the way for further tariff reductions in the future.' Thailand: 19% Trump had initially floated the idea of a 36% tariff hike on Thai goods. According to local press, the Thai government welcomed the reduction to 19%. 'This breakthrough deal reflects a major success for Team Thailand in securing a win-win outcome that safeguards our export base and supports long-term economic stability,' Jirayu said. 'It also highlights Thailand's capability to assert itself in global trade amid shifting international trade policies,' said a spokesperson, cited by the Nation Thailand. Vietnam: 20% In May, Vietnam overtook China in terms of US apparel imports during May after bagging a 19.1% increase in shipment value to $1.2bn, making it the largest supplier of apparel to the US in value terms. While the 20% baseline tariff is welcomed, challenges remain for manufacturers and buyers working in this southeast Asian industry hub. There is a 'transhipment' clause, which would constitute a 40% tariff. Jubin Alphonse, an Asia research analyst at the EIU, told Just Style: 'We believe Vietnamese clothing factories reliant on Chinese inputs will see mounting cost pressures in 2025-26, as products containing significant Chinese content will face elevated tariffs and greater US customs scrutiny.' Speaking to Just Style, he added that this 'will be prompting factories to undertake diversification of input sourcing, albeit slowly, as China supplies nearly 60% of Vietnam's inputs, eroding the cost competitiveness of Vietnamese exports in the US market.' The move could prompt more Chinese makers to set up mills in Vietnam. But Sunny Lau, Hong Kong-born supply chain and operation manager at Ho Chi Minh City-based Saigon Printer, warned: 'Importantly, Chinese mills [setting up local plants] need to comply to strict environmental policy of the Vietnamese authorities, with most of the available provinces making the setting up of dye houses with the limited granting of licenses challenging.' Mexico, Canada and China In addition, Mexico and Canada will continue to face higher tariffs for goods that are not exempt under the US-Mexico-Canada free-trade agreement. Under the new terms, Canadian goods not exempted from the USMCA, will see a 35% duty rate, effective 1 August. While China didn't see a rate change as per the announcement, the deal signed with China ends in under two weeks so there is a possibility of tariffs changing once again. Navigate the shifting tariff landscape with real-time data and market-leading analysis. Request a free demo for GlobalData's Strategic Intelligence here. "Trump's tariff reveal: How is fashion sourcing impacted?" was originally created and published by Just Style, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Why are Pearl Global shares down 6% today? Explained
Why are Pearl Global shares down 6% today? Explained

Business Upturn

time2 days ago

  • Business Upturn

Why are Pearl Global shares down 6% today? Explained

By Aditya Bhagchandani Published on August 1, 2025, 10:20 IST Shares of Pearl Global Industries Ltd plunged 6% on Friday, August 1, closing at ₹1,398 after falling as much as ₹89.30 intraday. The stock was among the top losers on NSE, reacting sharply to the latest trade policy developments from the United States. Indian textile and garment exporters, including Pearl Global, Gokaldas Exports, Arvind Ltd., and Welspun Living, were under pressure after the US administration under President Donald Trump announced revised tariff measures. The US has retained a 25% import tariff on Indian textile exports, while slashing the duty on Bangladeshi exports from 35% to 20%. This tariff relief to Bangladesh, a key competitor in the global apparel trade, sparked concerns among investors over India's competitive positioning in the US market, especially in the ready-made garment (RMG) segment. Pearl Global, which derives between 50% to 70% of its revenue from the US, is likely to face pricing pressures and market share challenges. Analysts noted that India currently holds about a 6% share of the US RMG import market, compared to Bangladesh's 9% and Vietnam's 19%. With Vietnam also having struck a favorable trade deal with the US recently, the margin pressure for Indian exporters could mount, particularly if buyers shift sourcing preferences toward lower-tariff destinations. Other textile stocks with significant US exposure—such as KPR Mill (21% of revenue) and Arvind Ltd. (30%)—also saw selling pressure, as the market factored in potential headwinds for FY26 exports. Disclaimer: This article is based on publicly available information and market data. Investors are advised to consult certified financial advisors before making investment decisions. Ahmedabad Plane Crash Aditya Bhagchandani serves as the Senior Editor and Writer at Business Upturn, where he leads coverage across the Business, Finance, Corporate, and Stock Market segments. With a keen eye for detail and a commitment to journalistic integrity, he not only contributes insightful articles but also oversees editorial direction for the reporting team.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store