A high-powered government committee has recommended the selling of Beximco Group’s 16 readymade garment companies to pay the workers’ dues.Â
The advisory council, formed to review labour and business conditions at Beximco Industrial Park, also suggested shutting down of several other companies owned by the group during its first meeting held at the labour ministry on November 28, according to the meeting minutes.
The meeting, held on November 28 at the labour ministry and chaired by labour adviser M Sakhawat Hossain, was attended by finance adviser Salehuddin Ahmed, home adviser Jahangir Alam Chowdhury, and industries adviser Adilur Rahman Khan.
Also present at the meeting were labour secretary AHM Safiquzzaman, finance secretary Md Khairuzzaman Mojumder, Bangladesh Investment Development Authority executive chairman Ashik Chowdhury, attorney general Md Asaduzzaman, Bangladesh Securities and Exchange Commission chairman Khondokar Rashed Maksud, Beximco Limited’s receiver Md Ruhul Amin, and Janata Bank managing director Mujibur Rahman.
Bangladesh Investment Development Authority executive chairman Ashik Chowdhury suggested categorising Beximco’s 161 companies into three groups.
According to his recommendation, the profit making Beximco Pharmaceuticals Ltd, classified as ‘Category A’ by the advisory council formed for reviewing the Beximco companies, should have legal suspension over the transfer of its shares.
Among the 32 companies listed in ‘Category B’ by the advisory council, 16 were currently operational garment and textile factories, the rest of the 16 companies under the category are not currently operational.
Ashik Chowdhury for the 16 ‘Category B’ companies, that are not operational, suggested that management rights could be sold to reputable international operators through lending institutions like Janata Bank and IFIC Bank, following their submission of Expressions of Interest.
The remaining companies of the Beximco’s 161 companies have been put under ‘Category C’ by the advisory council.
The BIDA executive chairman mentioned that for the ‘Category C’ companies, payment of wages and allowances for three months could be discontinued.
The advisory council meeting decided that Janata Bank would fund the next three months’ wages and allowances for Beximco Industrial Park workers, and then finalise the Expression of Interest for selling the ownership of the 16 Category B companies that are not operating.
The meeting also decided to hire an experienced lawyer to respond to the ongoing writ petition in the High Court, with costs covered by the Ministry of Finance. Also within a week, the authorities would take control of the share transfer process of Beximco companies, to be implemented by Bangladesh Securities and Exchange Commission and Beximco administrator.
At the meeting, finance adviser Salehuddin Ahmed emphasised the responsibility of relevant authorities to ensure workers’ wages and working conditions, noting that recent disruptions, including road blockade demanding unpaid wages, had negatively impacted various sectors, including the garment industries.
