Review on Corporate Code of Conduct
Background Five years ago,” Corporate code of conduct” were seen as nothing more than attempts by importers to protect their brand image or avoid government regulation in the importing countries. However, within a very short period of time, the debate around codes of conduct have moved from corporate social responsibility and self regulation towards negotiation of the terms and enforcement of corporate accountability, involving not only businesses, but also labor, religious and non-governmental organizations. Once tariff barriers to trade are lifted in 2005, compliance with codes of conduct would be seen as the major non-tariff barrier, and countries or business that comply with codes of conduct would be seen as having a competitive advantage over countries or businesses that do not. Definition of Compliance In Bangladesh, the readymade garments sector is now crossroads where it faces the challenges of globalization and competition. Therefore, the readymade garments sector need to improve and maintain standards of quality and demonstrate their commitment towards social compliance. The rules regarding to compliance is given by the industrial law of Bangladesh. To know the rules of compliance, first of all we need to know about the industrial law. • Industrial law is the rule of external human action in the industrial concern enforced by the sovereign political authority for the smooth operation of manufacturing process of products and services. The objectives of industrial law are the social justice, social equity and international uniformity. Now we can define the compliance. Some definition of compliance is given below: • Compliance means the rules & regulations that follow a organization in case of labor, working environment etc.
• Compliance is the process of checking that the conditions of a permit (or law) are met. A regulator assesses whether a company is complying with the conditions of a permit. So from the definition, we can say that, compliance is the minimum requirement that an organization should maintain including good health, fire fighting, working hours etc. according to law. A corporate compliance is basically a corporate policy to which, firstly an enterprise, typically a multinational, voluntarily adheres. Secondly, the enterprise may also insist, as a pre-condition that with which it does business also adheres to the compliance.
Importance of Compliance Compliance means the rules & regulations that follow an organization in case of labor, working environment etc.
The importances of compliance are given below: • To expand the contents and conditions of compliance related to labor and environment in respect of Bangladesh. •
To apply the rules and regulations on enterprise.
•
To set standards for employees and workers.
•
To ensure social responsibility.
•
To evaluate business actions.
•
To focus works in compliance by domestic contractors.
•
To ensure better working conditions.
•
To rely on a guarantee by supplier.
•
To create a favorable climate of opinion among customers.
•
To change the voluntary nature of existing codes by making compliance.
•
To ensure credibility to customer.
•
To implement and monitor the overall principles or rules or procedures of compliance.
So, at end, we can say, Compliance is basically some rules and regulations that determine the human rights and labor law standards. Compliance act related to ILO, Bangladesh labor law 2006, BGMEA Social Accountability 8000 (ILO) A. Purpose and Scope: This standard specifies requirements for social accountability to enable a company to: a. develops, maintains, and enforces policies and procedures in order to manage those issues which it can control or influence; b. demonstrate to interested parties that policies, procedures and practices are in conformity with the requirements of this standard; The requirements of this standard shall apply universally with regard to geographic location, industry sector and company size. B. Normative Elements and Their Interpretation: The company shall comply with national and other applicable law, other requirements to which the company subscribes and this standard. When national and other applicable law, other requirements to which the company subscribes, and this standard address the same issue, that provision which is most stringent applies.
The company shall also respect the principles of the following international instruments: • • • • • • • • • •
ILO Conventions 29 and 105 [Forced and Bonded Labor] ILO Convention 87 [Freedom of Association] ILO Convention 98 [Right to Collective Bargaining] ILO Convention 100 and 111 [Equal remuneration for male and female workers for work of equal value; Discrimination] ILO Convention 135 [Workers Representatives Convention] ILO Convention 138 and Recommendation 146 [Minimum Age Recommendation] ILO Convention 155 and Recomendation1464 [Occupational safety and Health] ILO Convention177 [Home work] Universal Declaration of Human Rights The United Nation Convention on the Rights of the child.
C. Definition: 1. Definition of Company: The entirely of any organization or business entity responsible of this standard, including all personnel [i.e. directors, executives, managements supervisors, and nonmanagement staff, whether directly employed, contracted or otherwise representing the company 2. Definition of supplier: A business entity which provides the company with goods and/or services integral to, and utilize in/for, the production of the suppliers and/or company’s goods and/or services. 3. Definition of subcontractor: A business entity in the supply chain which, directly or indirectly, provides the supplier with goods and/or services integral to, and utilized in/for, the production of the supplier’s and/or company’s goods and/or services. 4. Definition of remedial action: Action taken to remedy a nonconformance. 5. Definition of corrective action: Action taken to prevent the recurrence of a non-conformance. 6. Definition of interested parties: Individual or group concerned with or affected by the social performance of the company. 7. Definition of child: Any person less than 15 years of age, unless local minimum age law stipulates a higher age for work or mandatory schooling, in which case the higher age would apply. If, however, local minimum age law is set at 14 years of age in accordance with developing country exceptions under ILO Convention138, the lower age will apply. 8. Definition of young worker: Any worker over the age of a child as defined above and under the age of 18. 9. Definition of child labor: Any work by a child younger than the age specified in the above definition of a child, except as provided for by ILO Recommendation 146. 10. Definition of forced labor: All work or service that is extracted from any person under the menace of any penalty for which said person has not offered him/herself voluntarily. 11. Definition of remediation of children: All necessary support and actions to ensure the safety, health, education, and development of children who have been subjected to child labor, as defined above, and are dismissed. D. Social Accountability Requirements: 1. Child Labor Criteria:
1.1 The company shall not engage in or support the use of child labor as defined above; 1.2 The company shall establish, document, maintain, and effectively communicate to personal and other interested parties policies and procedures for remediation of children found to be working in situations which fit the definition of child labor above, and shall provide adequate support to enable such children to attend and remain in school until no longer a child as defined above. 1.3 The company shall establish, document, maintain, and effectively communicate to personnel and other interested parties policies and procedures for promotion of education for children covered under ILC Recommendation 146 and young workers who are subject to local compulsory education laws or are attending school, including means to ensure that no such children or young worker is employed during school hours and that combined hours of daily transportation [to and from work and school], school, and work time does not exceed 10 hours a day; 1.4 The company shall not expose children or young workers to situations in or outside of the workplace that are hazardous, unsafe, or unhealthy. 2. Forced Labor 2.1 Criterion: The company shall not engage in or support the use of forced labor, nor shall personnel be required to lodge ‘deposits’ or identity papers upon commencing employment with the company. 3. Health and Safety Criteria: 3.1 The company, bearing in mind the prevailing knowledge of the industry and of any specific hazards, shall provide a safe and healthy working environment and shall take adequate steps to prevent accidents and injury to health arising out of, associated with or occurring in the course of work, by minimizing, so far as is reasonably practicable, the causes of hazards inherent in working environment. 3.2 The company shall appoint a senior management representative responsible for the health and safety of all personnel and accountable for the implementation of the Health and Safety elements of this standard. 3.3 The company shall ensure that all personnel receive regular and recorded health and safety training, and that such training is repeated for new and reassigned personnel. 3.4 The company shall establish systems to detect avoid or respond to potential threats to the health and safety of all personnel. 3.5 The company shall provide for use by all personnel, clean bathrooms, access to potable water and if appropriate, sanitary facilities for food storage. 3.6 The company shall ensure that if provided for personnel, dormitory facilities are clean, safe, and meet the basic needs of the personnel. 4. Freedom of Association and Right to Collective Bargaining Criteria: 4.1 The company shall respect the right of all personnel to form and join trade unions of their choice and to bargain collectivity; 4.2 The company shall, in that situation in which the right to freedom of association and collective bargaining are restricted under law, facilitate parallel means of independent and free association and bargaining for all such personnel, 4.3 The company shall ensure that representative of such personnel are not the subject of discrimination and that such representatives have access to their members in the workplace.
5. Discrimination Criteria: 5.1 The company shall not engage in or support discrimination in hiring, compensation, access to training, promotion, termination or retirement, based on race, caste, national origin, religion, disability, gender, sexual orientation, union membership, or political affiliation. 5.2 The company shall not allow behavior, including gestures, language and physical contact, that is sexually coercive, threatening, abusive or exploitative. 5.3 The company shall not interfere with the exercise of the rights of personnel to observe tenets or to meet needs relating to race, caste, national origin, religion, disability, gender, sexual orientation, union membership or political affiliation.
6. Disciplinary Practices Criterion: 6.1 The company shall not engage in or support the use of corporal punishment, mental or physical coercion, and verbal abuse. 7. Working Hours Criterion: 7.1 The company shall comply with applicable laws and industry standards on working hours; in any event, personnel shall not, on a regular basis, be required to work in excess of 48 hours per week and shall be provided with at least one day off for every seven day period. 7.2 The company shall ensure that overtime work [more than 48 hours per week] does not exceed 12 hours per employee per week, is not demanded other than in exceptional and short term business circumstances and is always remunerated at a premium rate. 8. Compensation Criteria: 8.1 The company shall ensure that wages paid for a standard working week shall meet at least legal or industry minimum standards and shall always be sufficient to meet basic needs of personnel and to provide some discretionary income; 8.2 The company shall ensure that deductions from wages are not made for disciplinary purposes, and shall ensure that wage and benefits compensation are detailed clearly and regularly for workers; the company shall also ensure that wages and benefits are rendered in full compliance with all applicable laws and that compensations is rendered either in cash or check form, in a convenient to workers; 8.3 The company shall ensure that labor-only contracting arrangements and false apprenticeship schemes are not undertaken in an effort to avoid fulfilling its obligations to personnel under applicable laws pertaining to labor and social security legislation and regulations. 9. Management Systems Criteria: a. Top management shall define the company’s policy for social accountability and labor conditions to ensure that it. b. Includes a commitment to comply with national and other applicable law, other requirements to which the company subscribes and to respect the international instruments and their interpretation [as listed in section 2]. c. Includes a commitment to conform to all requirements of this standard, d. Includes a commitment to continual improvement, e. is public available.
Management Review 9.2 Top management shall periodically review the adequacy, suitability and continuing effectiveness of the company’s policy, procedures and performance results vis-à-vis the requirements of this standard and other requirements to which the company subscribes. System amendments and improvements shall implement where appropriate. Company Representatives 9.3 The company shall appoint a senior management representative who irrespective of other responsibilities, shall ensure that the requirements of this standard are met; 9.4 The company shall provide for non-management personnel to choose a representative from their own group to facilitate communication with senior management on matters related to this standard. Planning and Implementation 9.5 The company shall ensure that the requirements of this standard are understood and implemented at all levels of the organization; methods shall include, but are not limited to: a. clear definition of roles, responsibilities and authority; b. training of new and/or temporary employees upon hiring; c. periodic training and awareness programs for existing employees; d. continuous monitoring of activities and results to demonstrate the effectiveness of systems implemented to meet the company’s policy and the requirements of this standard; Control of Suppliers 9.6 The company shall establish and maintain appropriate procedures to evaluate and select suppliers based on their ability to meet the requirements of this standard; 9.7 The company shall maintain appropriate record of supplier’s commitment to social accountability, including but not limited to the suppliers written commitment to; a. conform to all requirements of this standard [including this clause]; b. participate in the company’s monitoring activities as requested; c. promptly remediate any non-conformance identified against the requirements of this standard; d. promptly and completely inform the company of any and all relevant business relationships with other suppliers and subcontractors. 9.8 The company shall maintain reasonable evidence that the requirements of this standard are being met by suppliers and subcontractors. Addressing Concerns and Taking Corrective Action 9.9 The company shall investigate, address, and respond to the concerns of employees and other interested parties with regard to conformance/nonconformance with the company’s policy and/or the requirements of this standard; the company shall refrain from disciplining, dismissing or otherwise discriminating against any employee for providing information concerning observance of the standard.
9.10 The company shall implement remedial and corrective action and allocate adequate resources appropriate to the nature and severity of any nonconformance identifies against the company’s policy and/or the requirements of the standard. Outside Communication 9.11 The company shall establish and maintain procedures to communicate regularly to all interested parties data and other information regarding performance against the requirements of this document, including but not limited to, the result of management reviews and monitoring activities. Access for Verification 9.12 Where required by contract, the company shall provide reasonable information and access to interested parties seeking to verify conformance to the requirements of this standard; where further required by contract, similar information and access shall also be afforded by the company’s suppliers and subcontractors through the incorporation of such a requirement in the company’s purchasing contracts. Records 9.13 The company shall maintain appropriate records to demonstrate conformance to the requirements of this standard.
Bangladesh Labor Law 2006 Wages and Benefits HOURS OF WORK: DAILY HOURS: As per section 100 of Bangladesh labor law 2006 ,no adult worker shall ordinarily be required or allowed to work in excess of ten hours (including two hours of overtime) a day . W EEKLY HOURS: As per section 102 of Bangladesh labor law 2006 , no adult worker shall be ordinarily required or allowed to work in an establishment for more than sixty hours per week (including overtime hours) and on average fifty six hours per week (including overtime hours) in any year. Hours
DAILY
WEEKLY
GENERAL HOURS
8
48
OVERTIME HOURS
2
12
TOTAL HOURS
10
60
INTERVAL FOR REST OR MEAL: As per section 101 of Bangladesh labor law 2006 a worker shall be allowed an interval for rest or meal of
a) at least one hour if she/he works more than six hours in any day. b) at least half an hour if she/he works more than five hours in a day. c) at least one hour under clause (a) or two such intervals under clause (b)if she/he works more than eight hours in a day. WEEKLY HOLIDAY: As per section 103 of Bangladesh labor low 2006 a worker shall be allowed in each week one day as weekly holiday. COMPENSATORY WEEKLY HOLIDAY: As per section 104 of Bangladesh labor law 2006, a worker shall be allowed as soon as circumstances permit, compensatory holiday if she/he is deprived of any weekly holiday.
LIMITATION OF HOURS OF WORK FOR WOMEN: As per section 109 of Bangladesh labor law 2006, no women shall, without her consent, be allowed to work in an establishment between the hours of 10 p.m and 06 a.m.
DEFINITION OF WAGES AS PER BANGLADESH LABOR LAW 2006: “Wages” means all remuneration ,expressed in terms of money or cable of being so expressed ,which would ,if the terms of employment , expressed or implied , were fulfilled ,be payable to a worker in respect of his employment or of work done in such employment and includes any other additional remuneration of the nature aforesaid which would be so payable ,but does not include….. A) the value of any of any house accommodation, supply of light, water, medical attendance or other amenity or of any service excluded by general or special order of the Government. B) any contribution paid by the employer to any pension fund provident fund. C) any traveling allowance on the value of any traveling concession. D) any sum paid to the worker to defray special expenses entitle on him by nature of his employment. INCLUSION IN WAGES AS PER SECTION 120, BANGLADESH LABOR LAW 2006: a) Any bonus or other additional remuneration payable under the terms of employment. b) Any remuneration payable in respect of overtime work, holiday or leave. c) any remuneration payable under any award or settlement between the parties or under order of any court. d) any sum payable under this act or any agreement by reason of termination of employment whether by way of retrenchment, discharge, removal, registration, retirement, dismissal or otherwise, and e) Any sum payable due to lay off or suspension. RESPONSIBILITY FOR PAYMENT OF WAGES: As per section 121 of Bangladesh labor law 2006, every employer is responsible for the payment of all wages required by law to its workers.
The employer is also responsibility for the payment of wages if any worker is employed in the establishment through contractor. Even if the wages of worker employed by the contractor is not paid by the contractor, still the wages shall be paid by the employer and the same shall be adjusted from the contractor. PROHIBITION TO PAY WAGES AT A RATE BELOW THE MINIMUM RATE OF WAGES: As per section 149 of Bangladesh labor law 2006, the employer shall pay at least the minimum wages to the workers as per the minimum wages declared by the minimum wages Board. The right of a worker shall continue to receive wages at a rate higher than the minimum wages declared by the minimum wage Board, if, under any argument or award or otherwise, she/he is entitled to receive wages at such higher rate, or to continue to enjoy such amenities and other advantages as are customary for such worker to enjoy.
EXTRA ALLOWANCE FOR OVERTIME: As per section 108 of Bangladesh labor law 2006, payment for overtime work shall be paid at the rate of twice his or her ordinary rate of basic wage and dearness allowance and ad-hoc or interim pay, if any. So the formula of calculation of overtime wage is--Basic + (dearness allowance and ad-hoc or interim pay, if any) / 208*2* number of overtime hours. FIXATION OF WAGE PERIODS: As per section 122, Bangladesh labor law 2006, the employer shall fix periods for the payment of wages which is called wage period and No wage period shall exceed one month. TIME OF PAYMENT WAGES: As per section 123, Bangladesh labor law 2006, the wages of every worker shall be paid before the expiry of the seventh day after the last day of the wages period. All wages shall be paid on a working day. DEDUCTION FOR ABSENCE FROM DUTY: As per section 126 of Bangladesh labor law 2006, deduction of wages can be made against the unauthorized absent time/day. No such deduction can made against the period of time while she/he was at work/duty No such deduction can be made against the absent of time / day while she/he was not required to work. DEDUCTION FOR DAMAGE LOSS: As per section 127 of Bangladesh labor law 2006, deduction for damage or loss of goods or money (caused to the employer by neglect or default to the worker) can be made.But for such deduction the worker shall be given opportunity of self defense following principles of natural justice.All such deduction and all the realizations shall be recorded to the register. DEDUCTIONS FOR SERVICES RENDERED: As per section 128 of Bangladesh labor low 2006 deduction for house accommodation or of such amenities and services supplied by the employment cannot be made unless.
--the house accommodation amenity of service has been accepted by the employee as the term of employment or otherwise. --Such deduction shall not an amount equivalent to the value of the house accommodation, amenity or service supplied by the employer. FINES: As per section 25 of Bangladesh labor law 2006, 1.The total amount of fine which may be imposed in any one wage period shall not exceed 10% of the wages payable to him /her in respect of the wage period . 2.No fine shall be imposed on any employed person who is under the age of fifteen years. 3.No fine shall be imposed by installments or after the expiry of sixty days from the day on which it was imposed. 4.Every fine shall be deemed to have been imposed on the day of the act or omission happened. 5.All fines and all realizations shall be recorded in a register and be spent for the welfare of the persons employed. DEATH BENEFIT: As per section 19 of Bangladesh labor law 2006, after a continuous service three years or more if a worker dies while in service, his or her nominee or in the absence of nominee, his or her dependant shall be paid by the employer. INCLUSION IN WAGES AS PER SECTION 120, BANGLADESH LABOR LAW 2006: a) Any bonus or other additional remuneration payable under the terms of employment. b) Any remuneration payable in respect of overtime work, holiday or leave. c) Employer. A.
Compensation for 30days wages for every completed year of service or any part thereof in excess of 6 months. If any whichever is higher and B. Compensation for 30days wages for every completed year of service or gratuity whichever is higher. But if such worker is covered by any compulsory insurance scheme of the establishment or, if compensation is payable for such death by accident then whichever is higher is payable to the worker. Note: Higher means the amount more than the amount after adding benefits of above (a) and (b) Casual Leave: As per section 115 of Bangladesh Labor law 2006, every worker shall be entitled to 10 days casual leave with full wages in a calendar year. • Casual leave shall not be accumulated & carried forward to the succeeding year. Sick leave: As per section 116 of Bangladesh Labor law 2006, every worker shall be entitled to sick leave with full wages for14days in a calendar year. • Sick leave shall not be accumulated & carried forward to the succeeding year. Annual leave:
As per section 117 of Bangladesh Labor law 2006, a worker who completed 1 year of continuous service in as establishment shall be allowed during the subsequent period of 12 months leave with wages for a number of days calculated at the rate of • •
1 day for every 18 days of work, in case of adult worker 1 day for every 15 days of work, in case of non-adult worker.
Section 117(3), any leave falls between approved annual leave shall be counted as annual leave. Section 117(4) & (5), Un-availed annual leave shall be accumulated .The accumulated of annual leave shall be up to 40 days in case of adult worker and 60 days in case of adolescent worker. Section 117(7), any leave applied for by a worker but refused by the employer for reason, shall be added to the credit of such worker beyond the accumulation limit. Section 117(8), for the purpose of this section whether a worker ha completed a period of continuous service in an establishment the following days also considered as work days
a) b) c) d) e) f)
Any holiday Any leave with wages Any leave with or without wages due to sickness or accident Any maternity leave not exceeding sixteen weeks Any period of lock out Legal strike or illegal lock out
Festival and holidays: as per section 118 of Bangladesh labor law 2006, every worker shall be allowed 11 days of paid festival holidays in a calendar year. Section 118(3), if a worker is required to work on any festival holiday 2 days compensatory holidays and substitute holiday shall be provided. Retirement of worker: as per section 28 of Bangladesh labor law 2006, a worker employed in any establishment shall retire from employment on the completion of the fifty seventh years of his or age. • •
The dates of birth recorded in the service book of the concerned worker shall be the conclusive proof for counting the age. The employer shall pay compensation ---- at the rates of 30 days wages (basis) for every completed year of service or gratuity, if any, whichever is higher in addition to the any other benefit to which s/he may be entitled under this act.
Provident fund: as per section 264(10) of Bangladesh labor law 2006, if the three fourth of the total work force of the establishment ask the mandatory for the factory to provide provident fund. Section 264(9), if such provision exists, every permanent worker after completion of one year of service shall contribute not less than seven percent and not more than eight percent of his/her basic wage to the provident fund, and the employer shall contribute to it an equal amount. Termination of employment by employers otherwise than by dismissal, etc: as per section 26 of Bangladesh labor law 2006, the employment of a permanent worker may be terminated by the employer giving a) 120 days notice to him or her in writing of pay in tied of the notice period b) compensation at the rate of 30 days’ wages (basic) for every completed year of service or gratuity, if any, whichever is higher
c) payment for any un-availed annual leave days (gross wage) d) Any other benefits s/he is entitled like provident fund, bonus etc. Termination of employment by worker: as per section 27 0f Bangladesh labor law 2006, a permanent worker may resign from his or her service by giving 60 days’ notice to the employer. If a worker intends to resign from service without any notice, s/he may do so by paying to the employer wages in tied of the notice period required. If a permanent worker resigns from his or her service, the employer shall pay compensation a) At the rates of 14 days’ wages (basic) for every completed year of service, if s/he has completed five years of continuous service or more but less than ten years b) At the rate of 30 days’ wages (basic) for every completed year of service, if s/he has completed ten years of continuous service or more Punishment for conviction and misconduct: as per section 23 (1) of Bangladesh Labor Law 2006, a worker may be dismissed without prior notice or pay in tie thereof if he is a) b)
Convicted for any criminal offence, or s/he is found guilty of misconduct under section 24
(3) If a worker is dismissed for any of the above reason, and if his or her continuous service is not less than one year, s/he shall be paid compensation at the rate of 14 days’ wages for every of service, or gratuity, if any, whichever is higher. As per section 23 (2) of Bangladesh Labor Law 2006, Any worker found guilty of misconduct may be awarded any of the following punishments instead of dismissal in consideration of any extenuating circumstancesa) removal b) reduction to a lower post, grade or scale of pay for a period not exceeding 1year c) fine d) Suspension without wages and subsistence allowance for a period not exceeding seven days e) Censure or warning As per section 23(4) of Bangladesh Labor law 2006, the following acts and omission shall be treated as misconduct a) Willful insubordination or disobedience, whether alone or in combination with others to any lawful or reasonable order of a superior b) Theft, fraud or dishonesty in connection with the employer’s business or property c) Taking or giving bribe in connection with his or any other worker’s employment under the employer d) Habitual late attendances e) Habitual negligence work f) Falsifying, damaging or causing loss of employers official records Procedure for punishment: as per section 24of Bangladesh labor law 2006, no order of punishment under section 23 shall be made against a worker unless— 1. The allegations against him are recorded in writing 2. S/he is given a copy thereof and not less than 7 day’s time to explain
3. S/he is given an opportunity of being heard 4. S/he is found guilty, after enquiry 5. The employer or manager approves of such order Maternity benefit Employment of women worker prohibited during contain period: As per section 45 of Bangladesh labor law 2006, no employer shall knowingly employ a woman shall work during the 8 weeks immediately following the day of her delivery. 1. No employ shall employ any woman for doing any work likely to adversely affect her health, such as an arduous nature or long standing job etc.if • A) the employer has reason to believe or if she has informed him that she is likely to be delivered of a child within 10 weeks • B) She has to the knowledge of the employer been delivered of child within the preceding 10 weeks. Right to and liability for payment of Maternity benefit: As per section 46 of Bangladesh labor law 2006, every woman employed in establishment shall be entitled to maternity benefit of 8 weeks preceding the expected day of her delivery and 8 weeks immediately following the day of her delivery. A woman needs to work under the employer for a period not less than 6 months immediately preceding the day of her delivery. Despite women for more than 6 months is not entitled if she has two or more surviving children. Procedure regarding payment of maternity benefit: As per section 47 of Bangladesh labor law 2006.any pregnant woman entitled to maternity either under this act may, one day, give notice either orally or in writing to her employer that she expects to be therein nominate a person for purposes of receiving payment of maternity benefit in case of her death. If not given such notice within 7 days, gives similar notice that has given birth to a child. Amount of maternity benefit: As per section 48(1) of Bangladesh labor law 2006, the maternity benefit which is payable under the rate of daily, weekly, monthly average wages. Calculation the manner laid down in sub section (2) and payment shall be made wholly in cash. (2) For the purpose of sub-section (1) the daily, weekly, monthly average wages as the case may be, shall be calculated by dividing the total wages earned by the woman during the three months immediately preceding the date on which she gives notice under this act by actually worked during the period. Example of Ms.Ratna is a machine operator grade-5. His Monthly salary is Tk. 2046. Date of notice of expected delivery date: 16 august 2007 Month
Leave
Unauthorized Absent day
No. of Salary O.T working days earned wage (TK) (TK)
Attendance
Total
Bonus (TK)
(TK)
May 2007
01
01
24
1980
655
--
2635
June 2007
02
--
24
2046
655
--
2701
July 2007
--
--
27
2046
709
150
2755
75
8091
(Total wages earned during the previous 3 months/ No. of the days she actually worked during those 3 months)*112 days.
Tk 8091/75=TK.107.88 Tk.107.88*12 days=TK.12082.56
Payment of Maternity benefit for 16 weeks Fire safety • •
A “ YELLOW BOX ” or other marking should be in front of all fire fighting equipments control panels and potential fire source areas indicting areas to be kept clear at all times. Directors of fire evacuation plan to be posted through out the factory. • Class A – wood, paper, cloth, and trash. • Class B – flammable, liquids, oil, grease. • Class C – electrical, energized electrical. • Class D – combustible metals.
Personal protective equipment Compression injuries heavy machinery equipment and other objects can roll over your feet. The result of these types of accidents is often broken or crushed bones. Injuries from spill and splash liquids such as acids caustics and molten metals can spill into your shoes and boots. These hazardous materials can cause chemical and burns. Fire safety • There should be at least two exits in every room at opposite side. • Exits should be clearly marked unobstructed and unlocked and easy to open. • Fire drills to be conducted once every month. • There should be battery-operated fire alarms on each floors and emergency lights placed above exits and stairwells. • The ratio of fore extinguisher should not be less than 01 per 1000 square feet and traveling distance from work station to extinguishers should not be more than 75 feet. • Fire extinguishers should be of appropriate size so that workers can lift it properly. Extinguishers should be checked periodically. • Fire extinguishers locations should be marked properly and fire extinguisher operation instruction should be posted with extinguishers in local language. Personal protective equipment Safety glasses: primary protectors intended to shield the eyes from a variety of impact hazards. Goggles: primary protectors intended to shield the eyes against flying fragments, objects large chips, and practices. Face shields: secondary proctors intended to protect the entire face against exposure to impact hazards. It has been estimated that almost 20% of all disabling accident on the job involve the hands. Safety (OHS) What is included? Head Eye Face Hearing Respiratory Hands Foot Clothing Personal protective equipment Factory mast provides PPE (personal protective equipment) free of cost. Factory must train workers on importance and necessity of use of PPE.
Safety (OHS) Personal protective equipment (PPE) is designed to prevent or lessen the severity of injuries to workers. The employer must assess the workplace and determine what hazards may necessitate the use of PPE before assigning PPE to workers. Chapter 6 section 62 – precaution on case of fire: Every establishment shall be provided with at least one alternative-connecting stairway with each floor and such means of escape in case of fire and fire-fighting apparatus as may be prescribed by rules. 1) Raw materials and finished products should be handled and transported safety and should be kept clean to avoid accident. 2) Forklift traffic area should be clearly marked. 3) Workers to be provided with PPE. 4) Safety education and training program to be provided to workers.
Chapter 6 section 61 – safety of building and machinery: If it appears to the inspector that any building or any part of the ways, machinery or plant on an establishment is in such a condition that is dangerous to human life or safety he may serve in the employer of the establishment an order in writing specifying the measures which in his option, should be adopted, and requiring to be carried out before a specified date. • •
Hand dryer a good practice. Factories must provide safe drinking water for the worker.
Welfare Chapter 8 section 89 first-aid appliances: The number of first aid boxes or cupboards shall not be less than one for every one hundred fifty workers ordinarily employed in the establishment. Chapter 8 section 90 safety record book: In every establishment wherein twenty-five workers are employed, shall maintain compulsory, in prescribed manner, a safety record book and board. Welfare Chapter 8 section- 91 washing facilities: in every establishment• Adequate and suitable facilities for washing and bathing shall be provided and maintained for the workers therein; • Separate and adequately screened facilities shall be provided for the use of male and female workers; • Such facilities shall be conveniently accessible and shall be kept clean. Chapter 8 section- 92, canteens
•
In every establishment wherein mire than one hundred workers are ordinarily employed, there shall be provided adequate number of canteens for the use of the worker.
Chapter 8 section 93 shelter, etc: •
In establishment wherein more than fifty workers are ordinarily employed, adequate and suitable shelter or rest rooms and a suitable lunch rooms, with provision for drinking water, where workers can eat meals brought by them, shall be provided and maintained for the use of the workers. Chapter 8 section 94, room for children: •
In every establishment wherein factory or more workers are ordinarily employed, there shall be provided and maintained a suitable room or rooms for the use of children under the are of six years of such women.
BGMEA Basic requirement & Best practices for: Health & safety: Building and Fire safety: All fire safety certificates/ licenses/ records of fire incidence in a factory should be maintained and updated on a regular basis. Factories should maintenance contract with fire equipment companies. For multi-story building, fire safety should be reviewed for the entire building. Building lay out & structural design must be approved by respective authority, including any extensions. Fire safety: Best practice Agreements with other competent bodies for safety checks & certification of the factory building.
An emergency fire safety plan should be developed & documented.
Fire extinguisher:
Should be provided in sufficient number: minimum 1 per 1000 square feet.
Mounted on wall, the top at maximum 1.5 meter (4 feet 10 inch) from the ground.
Clearly marked, immediately accessible & never blocked.
All fire equipment should be regularly maintained and inspected at least once in a month.
Maximum distance between 2 fire extinguishers: 25 meter (82 feet).
25% workforce should be trained to handle fire extinguishers.
Fire extinguisher: Best practice
Regular check up. Worker training for fire fighting. Providing multipurpose fire extinguishers.
Photographs of fire fighting team members are posted in the factory floor.
Fire alarm: Identifiable tone fire alarm which is different from the lunch bell and heard in all parts of the factory.
Fire alarms are to be connected to a battery and marked clearly.
Minimum of two control switches of fire alarm should be on each floor.
Switch should be easily accessible and tested/ inspected monthly by a qualified person.
Switches of the fire alarm should be next to an exit door/ staircase, electric control panel and dormitories. Fire alarm: Best practice Breakable fire alarms. To maintain smoke detectors especially for all storage bonded areas, electric control panels and dormitories. Fire Drill & Emergency Plans: At least once in a month fire drill. Maintain fire drill records in details including the a) Date & time of the drill b) Time taken for evacuation c) Number of persons present in the factory at time of evacuation.
d) Any incident that happened while conducting the drill/ record of injuries.
e) Comments/ remedial plans subject to incidents.
An emergency plan should be set up. Fire drills should be conducted unannounced (but only after training sessions have been conducted) In multi-story buildings where a number of factories exist, combined fire drills should happen at least twice a year.
Evacuation plan in local language displayed with workers training.
Incase of common sharing: A “Tenant Fire Management and Prevention Committee” should be formed & Fire drills should be conducted jointly. Common fire fighting equipment, emergency lighting should be placed at stairwells, and stairs should be kept clear at all times. Fire drills should be held regularly at different times to ensure that all shifts participate on a regular basis in fire drills. Emergency Exits:
Open at all times during working hours.
Clearly marked, accessible, unlocked and unblocked.
Passages leading to the emergency exits inside and outside the factory should be clearly marked.
The emergency exit signs should be illuminated and running on batteries.
Emergency lights should be placed on staircase landing and work floors.
Aisle should be marked clearly and a three feet distance should be maintained in between two machines.
Guard rails should be provided on staircases at a minimum height of three feet.
Factory gates should be unlocked during working hours.
Factory security (both internal and external) should be oriented and trained.
Stairs should be anti skid.
Escape ways should be on opposite sides of the floor.
Photo luminous marking should place on the emergency exits.
Battery operated fog lights should be provided near emergency exits.
Stair cases should not be spiral.
Fire Prevention:
There should not be any defective wiring & loose electrical connections.
Checking & record keeping of wiring maintenance once in every 15 days.
Need special attention & monitor on iron, fusing machines, loose plugs, switches, circuit breakers on a daily basis.
Lint to be cleaned once a week.
Motor casing to be checked and cleaned once a week.
Boiler operator must have certificate of competency.
Appointing a qualified electrician who is responsible for these activities.
Workers Safety
Adequate training of worker and providing safety devices as required.
All moving parts of machinery should be covered.
Rubber gloves and boots should be provided to workers in washing areas.
Earplugs should be provided to workers working on high noise generating machines (85 decibels+).
Metal mesh gloves of a proper size to be provided to the cutter.
Each machine should be earthed and independently connected.
Electrical connection should have proper plugs.
No loose wire or extension cords substituting proper wiring.
Electrical cable of cutting machine to be hung with a pulley system.
Electrical panels to be provided with a metal mesh cage and rubber mat.
Electrical wires not lying on floor, no cross passage.
Hydro extractor to be covered.
First Aid
Adequately stocked first aid boxes including a list of items should be maintained in each section (the number should not be less than one box per 150 workers).
Boxes should be open, clearly marked, visible and portable.
Boxes should be wall mounted at accessible height.
A minimum of 2% of workers should be trained on first aid on each working floor/department.
Workers trained in first aid should be identifiable.
Medicine for common ailments should be kept separately.
A doctor and nurse should be available in house in factories which have 500+ workers.
Injury and first aid record register should be maintained and analyzed for preventative measures. First Aid: Best Practice Photos and names of first aid trained workers should be clearly displayed on first aid boxes.
Additional workers should be trained on first aid.
Chemical Safety Use only chemical suppliers who can provide Material Safety Data Sheet (MSDS) for each chemical available in factories.
Material Safety Data Sheet (MSDS) should be available in Bangla.
All containers in the factory must be properly labeled.
Chemicals should only be stored in appropriate containers.
Proper and regular training to workers handling chemicals.
Adequate protective equipment and training for chemical handing.
separately.
Spot removing chemicals should be closed tightly, labeled and kept
Spot removing should be done in a separate area that is well ventilated.
Containers should be closed when not in use to limit airborne emissions.
protection.
Separate, locked and well-ventilated chemical store with adequate fire
Maintenance of a chemical inventory is required.
Chemical Safety: Best practices • Spot removing should be done with a vent hood or with suction table that has ducts to remove gas from the building. •
The person using the spot removing gun should use masks and gloves.
•
If the spot removing gun is not working it should be replaced with a new one.
•
Clearing areas should have fire extinguishers and fire alarm switches.
Workers Welfare
Seating facility should be made available to standing workers.
Safe drinking water should be available on all floors.
urinals or latrine.
Drinking water should not be situated within 20 feet of any washing place,
Dining facilities should be provided for workers.
Workers should feel comfortable with the temperature of the working area.
and women.
Provisions should be made for separate and clearly marked toilets for men
Good lighting in working area as well as in toilets.
Drinking water should be tested every 6 months.
Workers Welfare: Best practice
Back rest stools provided to the workers.
Workers to be provided with individual mugs.
Workers should be provided with sufficient breaks (preferably 10 minutes in every three hours of works). Cleanliness
Proper sanitary conditions in the toilets including adequate water.
Hand washing facilities provided with soap.
No lunch box kept in working area.
The factory and lunch area should be kept clean.
Cleaning schedules should be maintained and posted on bathroom door.
Toilet should be tiled.
Each worker should be provided with a locker for personal belongings.
Environment Suppliers Environmental laws.
are
required
to
comply
with
all
applicable
National
ETPS are required for washing and dyeing units.
Environment certificates should be collected and maintained.
Boiler clearance/ permission/ certificate are required for all boilers.
Boiler operator’s certificate is required.
Permission for generator installation is required from proper authority.
ventilated room.
Empty chemical container should be stored and locked separately in a well
disposed of.
Empty chemical containers & Tube lights should be safely and appropriately
Fused tube lights should be sent back to suppliers to be recycled.
Compliance Tools Compliance Tools
Compliance Tools
Cleanliness
Disposal of waste And Effluents
Health And Hygiene
Ventilation And Temperature
Related Photograph
Dust And Fume
Artificial Humidification
Health And Hygiene
Overcrowding
Lighting
Drinking water
Health And Hygiene
Latrines And Urinals
Spittoon
Fire
Fencing Of Safety
Machinery
Work on or Near Machinery in motion
Employment of young persons in dangerous machines
Striking gear and devices for cutting off power
Cranes and other lifting
Safety
Hoist and lifts
Revolving Machine
Pressure Plant
Floors, stairs and means of access
Safety
Pits, sumps, opening in floors etc.
Excessive weights
Protection of eyes
Safety of Machinery
Safety
building
Dangerous fumes
Explosive Or inflammable dust
and
Safety
Washing facilities
Welfare
First-aid appliance
Canteens
Shelters
Welfare
Rooms for children
Welfare officer
Working hours
Overtime
Working hours and holidays
Annual leave
Festival leave
Casual leave
Sick leave
Working hours and holidays Employment of young persons
Provision of overlapping shift
Compliance Procedure Health and Hygiene Chapter III [Section 12 to 21] of the Factories Act, 1965 deals with the provisions regarding the protection of health of workers employed in factories. The provisions and their details are follows: Cleanliness: Every factory shall be kept clean and free from effluvia arising from any drain privy or other nuisance and in particular: a. Dirt and refuse shall be moved daily by sweeping. b. The floor of every work room shall be cleaned at least once in every week by washing using disinfectant where necessary. c. Effective means of drainage shall be provided and maintained. d. All inside walls and partitions, all ceilings, or tops of rooms and walls side and tops or passages and staircases shalli.
Painted or varnished at least once in every five years.
ii. Smooth impervious surfaces are cleaned at least once in every fourteen months. iii. White washing at least once in every fourteen months. e. The dates on which the process required by clause (d) are carried out shall be entered in the prescribed register.
Disposal of waste and effluents: Effective arrangements shall be made in every factory for the disposal of waste and effluents due to the manufacturing process carried on therein. Ventilation and Temperature: 1. Effective and suitable provisions shall be made in every factory for securing and maintaining in every workroom. a. Adequate ventilation by the circulation of fresh air; and b. Temperature should be comfortable and prevent injury to health and in particulari.
The walls and roof shall be such material and so that temperature shall not be exceeded but as low as practicable;
ii.
The production of excessive high temperature, adequate measures as is practicable.
2.
The Govt. may prescribe a standard of adequate ventilation and reasonable temperature for any factory.
Dust and Fume: 1.
In every factory in which, effective measures shall be taken to prevent dust and fume.
2.
In any factory no stationary internal combustion engine shall be operated unless the exhaust is conducted into open air.
Artificial Humidification: 1.
The Govt. may, in respect of all factories in which humidity of the air is artificially increased, make rulesa. Prescribing standards of humidification; b. Regulating the methods used for artificially increasing the humidity of the air; c. Directing prescribing test determining the humidity of the air to be correctly carried out and recorded; and d. Prescribing methods to be adopted for securing adequate ventilation and cooling of the air in the factory rooms.
2.
In every factory in which the humidity of the air is artificially increased.
3.
If it appears to an inspector that the water used in a factory for increasing humidity which is required to be effectively purified.
Overcrowding: 1.
No work-room in any factory shall be overcrowded to an extent injurious to the health of the workers employed therein.
2.
Without prejudice to the generality of the provisions of sub-section (1), there shall be provided for every worker employed in a work rooma. At least 350 cubic feet of space on the date of commencement of the Act, and b. At least 500 cubic feet of space after the commencement of this Act.
Lighting: 1. In every part of a factory where sufficient and suitable lighting, natural or artificial or both. 2. In every factory all glazed window and skylights used for the lighting of the work-room shall be kept clean. 3. In every factory effective provisions shall, so far as is tractable, be made for the prevention ofa. Glare either directly from any source of light. b. The formation of shadows to such an extent as to cause eyes strain. 4. The Govt. may prescribe standards of sufficient and suitable lighting for factories.
Drinking water: 1.
In every factory effective arrangement shall be maintain to provide sufficient supply of wholesome water.
2.
All such points shall be legibly marked “Drinking water� in a language understood by majority of the workers and shall not be situated with in twenty feet of any washing place.
3.
In every factory wherein more than 250 workers ordinarily employed, provisions shall be made for cooling the drinking water during hot weather.
4.
The Govt. may make rules for securing compliance with the provisions of this section.
Latrines and Urinals: 1. In every factorya. Sufficient latrines and urinals shall be providing conveniently situated and accessible to workers at all times. b.
Enclosed latrines and urinals shall be separately for male and female workers.
c.
Such latrines and urinals shall be adequately lighted and ventilated.
d. Such latrines and urinals shall be maintained in a clean and sanitary condition at all times with suitable detergents. e. The floor and internal walls of latrines and urinals and the sanitary blocks shall up to height of 3 feet, be finished to provide as smooth polished impervious surface. 2. The Govt. may prescribe the number of latrines and urinals to be provided in any factory in proportion to the number of male and female workers. Spittoon: 1.
In every factory there shall be provided at convenient places, a sufficient number do spittoons which shall be maintained in a clean and hygienic condition.
2.
The Govt. may make rules prescribing the type and the number of spittoon to be provided and their locating in any factory.
3.
No person shall spit within the premises of a factory except in the spittoons provided for the purpose.
4.
Whosever spits in contravention of sub-section (3) shall be punished with a fine not exceeding taka two.
Safety Chapter IV [Section 22 to 42] of the Factories Act, 1965 contains many safety provisions of high standards based on Modern Industrial Practice. The Act places the responsibility of safety matters upon the occupier. Precaution in case of fire: 1.
Every factory shall be provided with such means of escape incase of fire as may be prescribed.
2.
If it appears to the instructors that any factory is not provided with the means of escape he may serve the manager of the factory an order in writing specifying the measures.
3.
In every factory the door affording exit from any room shall not be locked or fastened so that they can be easily and immediately opened from inside.
4.
In every factory every window, doors or other exit affording means of escape shall be distinctively marked in a language in red letters of adequate size.
5.
In every factory there shall be provided effective and cleanly audible means of giving warning incase of fire to every person employed therein.
6.
A free passage- way giving access to each means of escape in case of fire shall be maintained.
7.
In every factory wherein more than 10 workers are ordinarily employed in any place above the ground floor have been adequately trained in the routine to be followed in such case.
8.
The Govt. may make rules prescribing in case of fire and the nature and amount of fire fighting apparatus to be provided and maintained.
Fencing of machinery: 1.
In every factory the following shall be securely fenced by safeguards in position while the part of machinery required to be fenced are in motion or in use, namelya. Every moving part of a prime mover and every fly wheel connected to a prime mover; b. The head race and tall race of every water wheel and water turbine; c. Any part of a stock-bar which projects beyond the head stock of a lathe and d. Unless they are in such positioni.
Every part of an electric generator, motor or rotary converter;
ii.
Every part of transmission machinery; and
iii.
Every dangerous part of any machinery.
2. Without prejudice to any other provision of this Act relating to the fencing of machinery shall be securely fenced. 3. The Govt. may exempt, subject to such conditions as may be imposed for securing safety of the workers. Work on or near Machinery in motion: 1.
Wherein any factory it becomes necessary to examine any part of machinery which is in motion shall be carried out only by a specially trained adult male workers.
2.
No women and child be allowed in any factory to clean, lubricate or adjust any part of machinery while that part is in motion.
Employment of young persons in Dangerous machines: No young person shall work at any machine unless-
1.
He has been fully instructed about the dangers arising in connection with the machine and the precautions to be observed, and
2.
Has received sufficient training in work at the machine, or
3.
Is under adequate supervision by a person who has been through knowledge and experience of the machine.
Striking gear and devices for cutting off power: In every factory suitable striking gear or other sufficient mechanical appliances shall be provided and maintained. Precautions against cranes and other lifting machinery: 1. In any factory every part of the cranes and other lifting machinery other than hoists and lifts shall bea.
Of good construction, and sound material and adequate strength;
b. Properly maintained; and c. Shall be thoroughly examined by a competent person at least once in every 12 months. 2.
No such machinery shall be loaded beyond the safe working load.
3.
While any person is employed or working on near the wheel-tract of a travelling crane in any place, effective measure shall be taken to ensure that crane does not approach within 20 feet of that place.
Hoists and Lifts: In every factorya. Every hoist and lift shall bei.
Of good mechanical construction, sound material and adequate strength;
ii. Properly maintained in every 6 months b. No hoist or lift shall be loaded beyond the safe working load. c. Every hoist and lift way shall be sufficiently protected by an enclose fitted with gates. d. The cage of every hoist and lifts used for carrying persons shall be fitted with a gate on each side from which access is afforded to a landing. Revolving Machine: 1. In every room in a factory in which process of grinding is carried on, a notice shall be permanently affixed to or near each machine in use.
2.
The speeds indicated in the notice shall be exceeded
3.
Effective measures shall be taken in every factory to ensure that the safe working peripheral speed is not exceeded.
Pressure plant: In every factory any part of the plant or machinery used in manufacturing process is operated at a pressure then effective measures shall be taken to ensure that the safe working pressure of such part is not exceeded. Floors, stairs and means of access: In every factorya.
All floors, stairs, passage and gangways shall be of sound construction and vproperly maintained.
b.
There shall be provided and maintained safe means of access to every place at which any person is required to work at any time.
Pits, sumps, opening in floors, etcIn every factory every fixed vessel, sumps, tank, pit or opening in the ground shall be either securely covered or securely fenced. Excessive weights: 1.
No person shall be employed in any factory to lift, carry or move any load so heavy as to be likely to cause him injury.
2.
The Govt. may make rules prescribing the maximum weights which may be lifted, by adult men, adult women, adolescent and children employed in factories.
Protection of eyes: The government may in respect of any manufacturing process carried on in a factory, rules, require that effective screens of suitable goggles shall be provided. Safety of building and machinery: If it appears to the inspector that any building or part of a building or machinery or plant in a factory is in such a condition that it is dangerous to human life. He specifies the measures to prohibit its use until it has been properly repaired or altered. Precaution of dangerous fumes: In any factory no person shall enter or permitted to enter any chamber, tank, vat, pit, pipe, flue or other confined space in which dangerous fumes are likely to be present. All the apparatus shall be examined periodically and certified by a component person to be fit for use. Explosive or Inflammable dust, gas etc. If the machinery used in the manufacturing process is not so constructed so as to prevent any explosive, all practicable measures shall also be taken to restrict the spread and effects of the explosion.
Welfare Section 43 to 49 of the Factories Act, 1965 provide for the various amenities for the welfare of the workers, which the factory authorities are bound to provide for. The facilities to be provided to the workers are as follows: Washing Facilities: In every factory1.
Adequate and suitable facilities for washing and bathing shall be provided and maintained for the use of the workers therein;
2.
Separate and adequate screened facilities shall be provided for male and female workers.
3.
Such facilities should be convenienttly accessible and shall be kept clean.
First-aid appliances: 1.
Every 150 workers are ordinarily employed in a factory will be provided at least 1 first-aid box.
2.
The first-aid box and or the cup board will be readily accessible during the working hours.
3.
A notice will be affixed in every workroom stating the name of the person in charge of the firstaid box.
4.
In every factory wherein 500 or more workers are emplyed , there shall be provided and maintained an ambulance room.
Canteens: 1.
The govt.may make rules requiring that, in any specified factory wherein more than 250 workers are ordinarily employed an adequate canteen shall be provided for the use of the workers.
2.
Without prejudice to the generally of the foregoing power, such rules may provide fora. The date by which such canteen shall be provided; b. The standard in respect of the construction, accomodation, furniture and other euipment of the factory; c. The food stuff to be served therein and the charge shall be made therfore; d. The constituition of a managing committee for the canteen and representation of the workers in the management of the canteen; e. The delegation to the chief inspector, subject to such conditions as may be specified of the power to make rules in respect of food stuff and their charge.
Shelters: In every factory where in more than 100 workers are ordinarily employed, adequate and suitable shelters shall be provided and maintained for the use of the workers. In lunch room there shall be provision for drinking water. The shelters, restrooms,or lunch room shall be sufficiently lighted and ventilated and shall be maintained in a cool and clean condition. Rooms for children:
In every factory where in more than 50 women workers are ordinarily employed, there shall be facility for suitable room for the use of children under the age of 6 years of such women. Welfare Officer: The occupier of a factory shall employ at least one welfare officer wherein 500 or more workers are ordinarily employed. One welfare officer shall be appointed for every 2000 workers of a fraction thereof. Working Hours of adults Hours of work of adult workers is regulated by chapter VI of the Factories Act, 1965. The important provisions regarding this matter are discussed below: Weekly hours: No adult worker will be required or allowed to work in a factory for than 48 hours in a week. But under special circumstances, total hours of work of an audit will not exceed 60 hours in a week.
Weekly holiday: No adult worker will be required to work in a factory on Sunday or Friday, as the case may be, unless
He has had or will have a holiday for a whole day, on one of the three days immediately before or after that Sunday or Friday,
The manager of the factory has, before that Sunday or Friday or the substituted day, whichever is earlier, given a notice to the inspector of his intention to require the worker to work on the Sunday or Friday.
Compensatory weekly holiday: If a worker is deprived of any of the weekly holidays provided for in the provision regarding this matter in section 51 of this Act, he will be allowed, as soon as circumstances permit, compensatory holidays of equal number to the holidays deprived of. Daily hours: No adult worker will be required or allowed to work in a factory for more than 9 hours in any day. An adult worker may work for more than 9 hours, but not exceeding 10 hours in a day. Intervals for rest or meal: Every adult worker employed in a factory will be allowed intervals for rest or meal in the following manners:
At least 1 hour interval for more than 6 hours of continuous work.
At least half an hour interval for more than 5hours of continuous work.
At least 1 or 2 hour interval for more than 8 hours of continuous work.
Spread over: The period of work of an adult worker in a factory shall not be spread over more than 10 and a half hours on any day.
Night shift: Where an adult worker in a factory works on a shift which extends beyond midnight-24 consecutive hours beginning from the end of the shift. Provision of overlapping shift: In a factory, where system is arranged in shifts, same kind of work will not be carried on by more than one relay or workers at the same time. Extra Allowance for over time: In an adult workers works for than 9 hours in a day and 48 hours in a week, he will entitled to allowance in respect of overtime work at the rate of twice his ordinary rate of wages. Employment of young persons Sections 66to 76 of the factories act, 1965 deals about the employment of young persons. The important provisions about this matter are discussed in brief hereProhibition of employment of children: Child of 14 years of age will not be allowed in work. Non-adult workers to carry tokens: Certificate of fitness is granted by token for workers. Certificate of fitness: Certify Surgeon shall examine that person and provide Certificate of fitness. Working hours for children: Not More than 5 hours in any day. Leave and Holidays with wages Annual leave: For adult, 1 day for every 22 days and For children, 1 day for every 15 days with full wages. Festival leave: At least 10days with full wages. Casual leave: At least 10days with full wages. Sick leave: 14 days on half average wages. Maternity leave: Not more than 12 weeks.
Effectiveness of Compliance Compliance is the minimum requirement that an organization should maintain including good health, fire fighting, working hours etc. according to law. Since 1997, several groups have been founded to help business plan, implement and monitor the compliance with their cods of conducts. The effectiveness of compliance depends on implementation and monitoring principles of compliance are shown by a formula and diagram which is given below: Effectiveness of compliance = Implementation + Monitoring
Implementation:
Setting Standards for employees and partners Evaluate the business actions Focusing the compliance offshore production contractors Focusing works in compliance of domestic contractors Ensuring the social responsibility Applying properly the compliance Ensuring working conditions
Monitoring: Supervision of application of compliance by active and Contractual monitoring Ensuring the credibility
Creating of favorable climate of opinion among customers
Relying on a guarantee by supplier
Certifying the documents of compliance
Applying the compliance on the enterprise Visiting, inspections and control procedures carried out by different persons Combining internal or external or independent monitoring system work Hiring employees by the issuer
Separating the monitoring organization from business
Entering into an agreement
Monitoring service provider to monitor and report on compliance
Advantages of Compliance If a manufacturer maintains the standards of compliance, then they can get some advantages. That are•
Buyer’s confidence:
If a manufacturer maintains these rules of compliance then buyer becomes confident because they can get good quality products.
•
Worker’s satisfaction:
When a readymade garments factory follows the compliance rules then workers are satisfied with the good working environment.
•
Increase the working efficiency:
Because of working satisfaction of worker in factory, they work much efficiently and the level of efficiency is high.
•
Increase the production level:
If the working efficiency of worker is high, then the production level is also high.
•
Increase of profit:
If the workers work efficiently then the chance of production of defective products will be less and the profit will increase.
•
Attract international buyers:
If factory maintain compliance then it can attract international buyer because they always want to get quality products.
•
Better working environment:
If the compliance is followed then the workers get a better condition to work and others factory workers will be interested to come to the factory for employment. Disadvantages of Compliance If a manufacturer do not maintains the standards of compliance, then they can get some disadvantages too. That are•
Defective product:
If the compliance is not followed then the workers may be dissatisfied with the working conditions and cannot concentrate on work. That’s why they can make defective products.
•
Obligations for management:
Communication gap between worker and top management due to the absence of compliance.
•
Cost and Time:
Apply of compliance in a factory is quite costly and time consuming.
•
Lack of co-ordination:
Co-ordination with mid level management and workers is not favorable to ensure compliance.
•
Wages and benefits:
If compliance is not applied the minimum wages is not paid to the workers according to the law.
•
Working hours:
The standard working hours are not maintained and workers get dissatisfied with it.
•
Health & Hygiene:
If compliance is not followed the working environment becomes unhealthy and unhygienic which is harmful for workers.
•
Safety:
The precaution of different hazards is not being taken and that is dangerous for the workers life. Limitations of Compliance If a manufacturer wants to maintain the standards of compliance, but they can get some limitation too. That are•
Cost:
If a manufacturer want to apply compliance in factory then he need huge amount of fund which is a burden for him.
•
Time:
If a manufacturer wants to apply compliance in factory then he need time which is a burden for him.
•
Co-ordination:
Communication gap between worker and top management is quite difficult for applying of compliance.
•
Compensation:
Giving compensation for workers is quite difficult for employers maintaining the set standards.
•
Maintaining standards:
Employers face various difficulties for maintaining the international standards of compliance. History of the Bando Design Ltd. With efficient management and experienced technical staff, Bando Design Ltd. began her journey with one factory in 1984 and by now it has made a remarkable progress in the global apparel and fashion world. The Bando Design Ltd. exports now go to major store in the USA, Europe and Canada. The work force is totally free of any child labor. Factory maintain health and environment standards, and follow management, work methods and quality control proceedings which are approved by many international survey and rating agencies. Bando Design Ltd. is contributing to the country’s foreign exchange earnings and creating employment especially for women. Bando Design Ltd. since 1984 has been exporting to the U.S.A, Canada and Europe with current production capacity of over 6,00,000 dozens a year, specializing in Pants, Shorts, overalls, Sweaters and much more for Men’s, Women’s, Boy’s & Girl’s. Quality, price and delivery are the three pillars of the company. With own washing facility we guarantee the product you ask for in the time you need and at the price you want. Bando Design Ltd. has a proven record of working with great companies like Hennes & Mauritz (H&M), GAP, Gloria Vanderbilt, Wal-Mart, K-Mart, Target, Karstadt QuelleNeckermann, Sainbury Stores and many more. We have developed an experienced network of employees to oversee every step of the production and quality control process. Company Profile of Bando Design Ltd. Main Activities : Manufacturing of all kinds of woven bottom wears. Head Office Address
: House# 120, Aprt# 3A, Road#1, Block#F, Banani, Dhaka-1213.
Factory Address
: Purba Narsinghapur, Earpur Union, Savar, Dhaka.
Contact Person
: Md. Siddiqur Rahman Chairman Md. Imranur Rahman Managing Director
Factory Phone
: 7701264, 7702164
Fax No.
: 88-02-7702164
No. of employees
: 3000
Production capacity
: 40000Doz/ Month (Apx.)
Total floor space
: 66000 sft. (Apx.)
Special Fabrics
: Denim/ Twill/ Corduroy/ Canvas/ Sheeting
Special Items
: Pants, Shorts, Bermuds, Skirt, Overall, Shortall
Main Markets
: E.E.C, U.S.A & Canada
Main Markets
: Hennes & Mauritz (H&M), Gloria Vanderbilt, GAP.
Bank
: Exim Bank Ltd. Gulshan Branch, Gulshan, Dhaka, Bangladesh.
Projection
: Another 5 Production line
Objectives of Bando Design Ltd. The objectives of Bando Design Ltd. are given below: •
To achieve the set goals.
•
To make continuous improvement in quality, production and work place.
•
To identify the needs of customer.
•
To provide professional support to meet the increasing quality demand of valued clients.
•
To achieve quality through persistent dedicated efforts.
•
To earn reputation this is well recognized by most of satisfied buyers.
•
To engage highly professional skilled and dedicated work force.
•
To provide flexible set up to meet the diversified need o customers.
•
To maintain a healthy and safe working environment for workers.
Findings In this part (finding analysis) we want to compare the Standards of ILO, Bangladesh Labor Law 2006 and BGMEA combined with one of the readymade garments factory named the Bando Design Ltd. for the rules of Compliance. •
ILO= International Labor Organization.
•
Bangladesh Labor Law 2006 is combined with the following Acts:
•
o
The Factories Act, 1965.
o
The Employment of Labor (Standing Orders) Act,1965
o
The payment of Wages Act, 1936
o
The Workmen’s Compensation Act,1923
BGMEA= Bangladesh Garments Manufacturers and Exporters Association
The comparative analysis of compliance of the standards (ILO, Bangladesh Labor Law 2006, BGMEA) and actual (Bando Design Ltd.) are given below that either Bando Design Ltd. follow the standards or not.