The Minimum Wage Board, a government regulatory agency responsible for recommending changes to the minimum wage in various sectors, operates with limited data, which could lead to a lack of transparency and fairness in the wage-setting process, according to labor rights activists and experts . .

“The board’s data limitation complicates assessments of employers’ ability to pay and broader productivity issues,” said Mostafiz Ahmed, associate professor of social work at Jagannath University.

“The regulatory agency should set up a dedicated research wing to address the issue,” Ahmed said at an event titled “Minimum Wage Board Wage Determination: Scope, Challenges and Way Forward” organized by the Institute of Bangladesh Labor Studies (BILS) at The Daily Star Center in Dhaka yesterday.

In his keynote presentation, Ahmed said the wage setting process may lack transparency and fairness without clear calculations and economic justifications.

Experts pointed out that 20 of the 42 sectors have not seen regular wage increases for periods ranging from 6 to 40 years.

This, he said, could lead to discontent among both workers and employers.

The Minimum Wage Board, the statutory body responsible for setting wages in the private sector under the Bangladesh Labor Act 2006, receives and reviews feedback on recommended wage rates for 42 sectors, adjusting them as necessary.

According to various labor rights organizations, there are about 6.50 million workers in these sectors.

However, the country’s largest employing sector, agriculture, does not have a set minimum wage. Wages in local agriculture are driven by labor supply and demand, while other sectors show substantial minimum wage differences.

Ahmed pointed out that 20 of the 42 sectors have not seen regular wage increases for periods ranging from 6 to 40 years.

“Two sectors have not been revised in the last 35 years, while wage revisions in eight sectors have been delayed by 10-15 years and in 10 sectors by 6-9 years.”

He called for the review of sectoral salaries every five years.

Ahmed also pointed out that the Minimum Wage Committee’s workplace inspections do not have a standardized format.

Without consistent guidelines, inspections may be less effective and the data collected may not provide a reliable basis for decision-making, he added.

He also recommended expanding the board’s human resources to enable more efficient operations.

He proposed several reforms, including establishing a national minimum wage, democratizing the selection of representatives of the Minimum Wage Committee, establishing criteria for independent members, and improving sectoral representation and accountability.

Ahmed also recommended regular salary reviews, fixed meeting schedules and publishing the proceedings on the board’s website to inform workers and stakeholders.

He said that although the wage announcement should come within six months of the formation of the wage board, in this case it takes two to three times as long, or even longer.

In this case, the question remains what kind of politics determines the selection of board members, he added.

BILS Vice President Anwar Hossain said the attitude of depriving workers should be overcome and quality of life, economic empowerment, market conditions, price rise and other factors should be taken into consideration.

Nazma Akter, a trade union leader in the garment sector for more than 35 years and now president of the Sammilito Garment Sramik Federation, said workers cannot be deprived of fair wages in the name of protecting the industry’s existence.

She said the government will have to come forward to set a living wage, considering the participation of employers and workers in the country’s economic development.

Mamunur Rashid, chairman of the Minimum Wage Board, said the board must work within its limits.

He said that the workers could not stand up for their rights as strongly as the owners and that therefore the owners should be more friendly to the workers.