Bangladesh apparel sector needs to concentrate on human capital development, one of the biggest parts of social compliance

Bangladesh has celebrated first national compliance carnival 2018 in International Convention city Bashundhara in April this year. Many national and international stakeholders, special guests and compliance professionals delivered their valuable speeches on the occasion of the different dimension of compliance issue. Bangladesh has done tremendous improvement last few years in the social compliance after Rana Plaza building collapse.

 

The billion dollars industry owners have been expending millions of dollars to fulfill the international demands, satisfy the buyers and stop the negative propaganda around the world. It seems that everyone realizes the importance of compliance, but at the same time, they missed the human capital development issue, one of the biggest parts of social compliance.

A comprehensive research on “Business success priorities” showed that 70% business success depends on human capital or Talent Management.





One of the main targets of social compliance is to make sure best practices, ensure worker disciplines, improve their living standard not only confirm safety and security. In addition, it will never come without human capital improvement, we have to remember human capital improvement is the first step of all industrial successes.  If the industrialists think that human capital development is equally important as like compliance that will bring huge business.

According to the data of ITC-WTO global garments business is worth $ 503 billion dollars, whereas only China, Vietnam, and Turkey respectively export around $ 147.8, 24.65 and 14.78 billion dollar by only 10, 2.5 and 1 million workforces. On the other hand, Bangladesh exports $ 33.46 billion dollars by 4.2 million workforces.

In china per million garments employee exports around 14 billion USD whereas our country is exporting less than 8 billion USD. If we try to find out the reasons for the discrepancy, we will find one of the major reasons is the non-skilled worker. The problem could be vanished by investing on human capital improvement.

Also Read: Bangladesh needs policies to improve its human capital, ADB Country Director

In China per million garments, employee exports around 14 billion USD whereas our country is exporting less than 8 billion USD. If we try to find out the reasons for the discrepancy, we will find one of the major reasons is the non-skilled worker. The problem could be vanished by investing in human capital improvement. It is one of the significant ways out for creating our future business sustainable and captures the share, which is gradually lost by China in the global market.

China, Turkey, Vietnam are spending millions of dollars on developing human capital and it is a reason that they are our competitor without GSP facilities.

A few days ago, the ADB country director said that Bangladesh has significantly reduced the poverty level and extreme poverty. “Bangladesh now needs more policies to improve its human capital and their skill development for getting success further in reducing poverty,” he opined.

If Bangladeshi garments millers pay attention to improve workforce’s skills in that way they have already paid attention to the compliance issue, then a small setup will be able to produce more products with better quality. In addition, it will ensure the living standard with sustainable industrial progress.