Arya News - The research, titled "Global Value Chains and Climate Change Governance: Garment Producers` Futures," said excessive heat inside factories poses a major barrier to social upgrading.
DHAKA – Climate change is already denting production in Bangladesh’s garment factories as rising temperatures reduce worker productivity, according to a study presented today.
The research, titled “Global Value Chains and Climate Change Governance: Garment Producers’ Futures”, said excessive heat inside factories poses a major barrier to social upgrading.
Mohammad Harunur Rashid Bhuyan, senior research fellow at the Bangladesh Institute of Development Studies (BIDS), carried out the work with Rachel Alexander. He presented the findings at a session of the Annual BIDS Conference on Development in Dhaka.
The study noted that climate refugees are increasingly taking up jobs in the garment sector. As their numbers rise, more may enter the workforce, which “may have negative impacts on wages”.
Moreover, it said climate pressures could heighten gender-based violence and harassment as productivity falls and socio-economic vulnerability increases.
The global garment industry is a major emitter of greenhouse gases (GHG), releasing between 1.025 billion and 3.29 billion tonnes of CO2e. This represents 2 percent to 7 percent of total worldwide emissions.
Fossil fuel-based energy across apparel production stages remains the main source of emissions, according to the study.
It said fertiliser and pesticides used in cotton farming and the production of polyester contribute heavily. During manufacturing, emissions are generated by sewing machines, production lines, and heating, ventilation and air conditioning systems.
The study said pressures to cut emissions may support environmental improvements in factories, although the shift to green energy in Bangladesh remains slow.
The government has pledged to produce at least 30 percent of electricity from renewable sources by 2041. Yet only 1.4 percent of Bangladesh’s electricity in 2019 came from renewables.
The study said factories depend almost entirely on the national grid, which needs to be “green for environmental upgradation of this sector”.
The government’s Industry Policy 2022 encourages cleaner industrial practices by promoting effluent treatment plants, central ETPs, and assistance for industries seeking to apply clean development management to control greenhouse gases.
Producers, however, face steep costs, limited access to finance, technical constraints, and inadequate information and equipment, according to the study.
‘UNIONISED WORKERS EARNING MORE’
A separate study at the event examined wage patterns among manufacturing workers. Mahmudul Hasan, research associate at BIDS, said unionised workers consistently earn higher wages across all model specifications.
The study found that even after full controls, unionisation remains a strong determinant of earnings.
For garment workers, wages are 19 percent to 22 percent higher due to stronger compliance, formal structures, and higher skill intensity.
The research found no significant wage difference between unionised and non-unionised garment workers once characteristics and compliance were taken into account.
Within the RMG sector, unions advocate for both unionised and non-unionised staff. Spillover effects and compliance norms help lift garment workers’ wages above those in non-RMG industries.
Unionised RMG workers earn markedly more than both non-unionised RMG staff and non-unionised workers in other sectors, the study said.
It added that 11.35 percent of manufacturing workers are unionised overall, earning about 10 percent more than non-unionised workers. Higher wages in RMG may reflect stronger compliance, more effective unions, formal structures, and greater skill intensity.
‘TECHNOLOGY LIFTING PRODUCTIVITY’
The third study assessed technology use across industrial sectors.
Kazi Zubair Hossain, research associate at BIDS, said annual productivity growth in the garment sector reached 4.19 percent for 2014-2023 due to technological improvements.
RMG firms producing jackets recorded the fastest growth at 6.59 percent a year. Knit-lingerie followed at 6.43 percent and sweater production at 6.05 percent.
Home textiles grew by 5.58 percent, and T-shirt production by 4.39 percent. In contrast, woven shirts rose by 3 percent, woven trousers by 1.15 percent, and denim by 1.81 percent over the same period, the study said.
BIDS Research Director Mohammad Yunus moderated the session.