Investigations are continuing into last Friday’s terrorist attack at a restaurant in the capital of Bangladesh. Twenty hostages were killed—mostly foreigners. The Islamic State has claimed responsibility for the attack—which is having an impact on another part of life in Bangladesh. HPR’s Bill Dorman has more in today’s Asia Minute.
Nine Italians were killed in the attack in Bangladesh…and most of them worked in some part of the clothing business. That’s a critical industry for the economy of Bangladesh. According to government figures, it makes up 80% of the country’s exports…and provides nearly $5 million jobs. Only China exports more clothing to Western markets—and labor is cheaper in Bangladesh.
Working conditions came under international criticism following the 2013 collapse of the Rana Plaza complex---which killed more than 11,000 people. Now there are fears progress made since then in workers’ rights may fall back. Reuters quotes a leader at the Center for Business and Human Rights at New York University as saying “the risk is that buyers will cut their reliance on the country; that they don’t focus so much on worker standards there.”
For the moment, many international companies are reacting with caution. Fast Retailing, the parent company of Japan’s Uniqlo clothing brand is suspending non-essential travel to Bangladesh….and is keeping its ten-person Japanese staff away from the office until further notice.
Seven Japanese were killed in last week’s attack—although none worked in the garment business. They were all working on an infrastructure project funded by the Japanese government.
