Labor standards, labor policy, and compliance mechanism: a case study in Bangladesh

ABSTRACT The International Labor Organization (ILO) labor standard is crucial for ensuring labor rights, making it imperative for member states to adopt labor policies that align with and comply with the ILO. With this in mind, this manuscript addresses three key questions: First, what does the term ‘labor standard’ mean under the ILO? Second, does Bangladesh’s labor policy align with the ILO? Third, how can compliance with labor policy be improved to safeguard labor rights in Bangladesh? This qualitative study employs an interdisciplinary pure legal research methodology, as established by Arthurs in 1983, within the academic constituency. The findings reveal that labor legislation in Bangladesh often deviates from the ILO labor policy. In many cases, there is a lack of effective inspection mechanisms to enforce labor laws, and the penalties, incarceration, and other sanctions for labor law violations are inadequate. This leads to insufficient implementation of the law in Bangladesh, resulting in numerous violations of workers’ rights.


Introduction
Laws are formulated with specific intentions, aiming to achieve particular outcomes.However, the effectiveness of these laws diminishes if compliance is not ensured (Davidov, 2016).Compliance, as illuminated in a study, goes beyond being a mere procedure; it involves adhering to regulatory requirements (Beerbaum, 2021).In the context of industrial interactions, labor law serves as the regulatory framework, encompassing companies, employees, and trade unions (Grgurev, 2021).Consequently, all stakeholders are expected to adhere to the law.Nonetheless, assuming that people will automatically abide by laws in various circumstances is unrealistic.Therefore, enforcement mechanisms need implementation to ensure compliance (Del Punta, 2021).These enforcement mechanisms are techniques employed to ensure or compel stakeholders to comply with the law to a certain extent (Syed, 2020b).Regrettably, a majority of employers view labor regulations as burdensome expenses that complicate management and decrease profitability.Consequently, employers often attempt to evade such measures and explore alternatives (Davidov, 2021).
The research identifies three primary criteria, processes, or steps necessary to ensure compliance with labor regulations (Parker & Nielsen, 2017).These encompass knowledge of the law, acknowledging violations, and apprehension of penalties or losses.The first two measures should be adequate for 'good' employers who unintentionally and unknowingly violate laws (Feldman, 2018).However, employers who intentionally and knowingly breach laws might face severe penalties.
Evidently, labor law violations are prevalent, especially in Bangladesh's manufacturing industries (Prentice, 2021), where labor standards and rights are frequently disregarded.For instance, workers in the garment manufacturing sector lack employment security and wage protection from employers (Ahmed et al., 2020).Additionally, there is a significant absence of social policies concerning employment (Saha et al., 2015), working environments (Islam et al., 2020), and industrial relations in Bangladesh (Bakht & Hossain, 2017).
Indeed, the violation of labor laws is not a novel or new occurrence in developing countries like Bangladesh.Nevertheless, there are multiple reasons to believe that the issue has been exacerbated in recent years due to various factors.Firstly, as the state has undergone consistent industrialization and globalization in the past two decades, its code of conduct and adherence have not kept pace with the global trends (Rahman & Chowdhury, 2020).Secondly, trends have emerged as a consequence of globalization's advancement.External partnerships, such as subcontracting, outsourcing, and supply chains, have expanded (Rahman & Chowdhury, 2020).However, these external partnerships employ a relatively small number of workers who cannot organize unions since they are not directly supervised by the parent company.This leads to labor rights violations being more prevalent in these setups than in parent corporations.Thirdly, due to global competitiveness, the number of small and less established factories has significantly increased (Rahman & Chowdhury, 2020).While they cater to the local market's demands, they are not obligated to adhere to the code of conduct followed by overseas buyers (Syed, 2023).Consequently, they do not conform to labor laws as expected.Fourthly, with the expansion of industrialization, employment opportunities have dramatically increased, which is good for reducing unemployment, but the majority of new employees are illiterate women and adolescents from remote, impoverished rural areas (Sharmin & Manan, 2022;Syed, 2023).They have limited knowledge of labor rights, resulting in a surge in labor law violations (Syed, 2023).Lastly, in recent years, the state has progressively shifted from traditional employment arrangements towards non-standard alternative forms, to some extent (Syed, 2023).These include working from home and part-time employment, which hinder communication among employees.Consequently, they are unable to unionize and grasp the law and their rights as employees, thus contributing to a rise in labor law violations.These factors have engendered a compliance problem in Bangladesh, underscoring the indispensability of this study.Addressing the aforementioned issues, this study tackles the following research questions: (1) What is the meaning of labor standards under the ILO? (2) Does Bangladesh's labor policy align with the ILO? (3) How can compliance with labor policy be enhanced to safeguard labor rights in Bangladesh?

Theoretical Implication
This study examines adherence to standard labor policies using compliance theory, specifically Lindenberg's Goal-Framing Theory (GFT) and the Option Generation Framework (OGF) by Kalis et al. (2013) Figure 1.These theories delve into employer behavior regarding labor standards.GFT and OGF suggest that compliance is motivated by both fear of punishment (external factors) and the understanding of rewards associated with law observance (internal factors) Figure 1.As both external and internal factors are influenced by governmental and societal influences (Jaafar et al., 2019), governments can establish standardized labor laws by considering GFT and OGF factors.
Furthermore, a study underscores that external factors hold a more substantial role in influencing compliance with labor laws when compared to internal factors (Jaafar et al., 2019).In light of this finding, considering certain measures to ensure compliance would be advisable.One recommendation is to impose incarceration for individuals and criminal compensation for corporations involved in labor law violations, as a potent deterrent.
To bolster compliance, countries like Bolivia and Vietnam have enacted specific policies and penalties for non-compliance with labor legislation (Syed, 2020a).For example, Bolivia has taken measures such as factory closures, administrative penalties, and license revocations to hold companies accountable for their violations.Similarly, Vietnam has instituted its own set of policies to address noncompliance with labor laws.The implementation of such penalties and measures can create a more robust enforcement framework that fosters compliance with labor regulations.The initial crucial step for employers in achieving compliance is to possess a clear understanding of the requirements laid out by the law and to acknowledge any violations, irrespective of intent.However, to deter future violations effectively, the implementation of punitive measures becomes necessary.
The ongoing debate centers on whether the punishment theory alone can be deemed the ultimate solution to prevent labor standard violations.However, this study refrains from taking a definitive stance on this debate.Instead, its objective is to pinpoint the most effective approach for ensuring compliance with labor laws in developing countries like Bangladesh.The study argues that without stringent accountability, whether through external enforcement or internal mechanisms, offenders might persistently commit the same transgressions, knowing they can do so without facing consequences (Syed & Ikra, 2022).Therefore, it is advisable to consider both internal and external factors to prevent violations on a case-by-case basis.
In the context of Bangladesh, employers consistently disregard workers' rights, neglecting critical aspects including health, safety, wages, compensation, working hours, leave, and employment termination.Given this backdrop, this study's primary focus is to prevent the recurrence of labor law violations, with an emphasis on external factors.The argument posited is that deterring repeated instances of violations may be the most effective mechanism for ensuring compliance, as opposed to non-punitive approaches.In the setting of Bangladesh, the prospect of punishment serves as an effective deterrent against non-compliance with labor legislation (Syed, 2020c;Syed & Ikra, 2022).Moreover, the concept is formulated that imposing corporate criminal liability, as well as individual criminal liability when corporate crimes result from explicit consent, connivance, or negligence, can compel employers to adhere to labor laws.It is also vital to acknowledge that other factors, such as educating employers about the laws and the benefits of compliance, can also serve as an alternative approach, particularly for those employers who genuinely aim to abide by the laws (internal factors).Therefore, the development of standardized labor legislation that factors in both internal and external elements becomes crucial, ensuring compliance with such policies.This approach is pivotal to safeguarding the rights of workers in Bangladesh.

Methodology
This study employs an interdisciplinary research approach commonly referred to as 'pure legal research' within the academic sphere, as outlined by Arthurs (1983).'Pure legal research,' also known as fundamental research, explores the intersections between law and various disciplines, including sociology, economics, business, and critical legal studies.Through this interdisciplinary legal research framework, the study evaluates labor standards, labor policy, and compliance with labor law within the specific context of Bangladesh.
In contemporary legal research, the exploration of legal matters extends beyond traditional methods within the legal field.Traditional legal research now incorporates insights from diverse disciplines to yield comprehensive findings through interdisciplinary approaches.This approach aligns with the present study, which follows an interdisciplinary methodology rooted in pure legal research, as detailed by Arthurs (1983).
The data collection sources for this study adhere to the following methods: Both primary and secondary data were gathered to acquire the necessary qualitative information.This method offers flexibility in tackling the research questions: What is the meaning of labor standards under the ILO?Does Bangladesh's labor policy align with the ILO?How can we improve compliance with labor policy to protect labor rights in Bangladesh?
The research inquiries have been responded to as outlined in the subsequent Table 1:

Understanding labor standards within the ILO context
The concept of labor standards can be approached from diverse angles.However, this discussion exclusively delves into the realm of ILO labor standards, disregarding viewpoints from critics who argue that labor policies could be external interferences with potential adverse effects on output and trade (Syed, 2018).Within the framework of ILO standards, a study identifies three pivotal factors that shape labor standards (Unknown, n.d..).Firstly, policymakers wield the authority to implement measures that influence the trajectory of labor standards.For instance, in several Southern European nations, employment standards have been recognized as a fundamental aspect of social programs, prompting authorities to proactively enhance them.Secondly, it is crucial to acknowledge the historical connection between labor standards and economic progress.As the quality of life improves for individuals, the working conditions they encounter also tend to ameliorate.These advancements are often established as regulations and guidelines referred to as labor standards.In times of economic growth, workers typically find themselves in a better position to advocate for their rights and benefits.Thirdly, technological advancements and corresponding shifts in management and labor practices are anticipated to impact the nature of labor standards.For example, insights drawn from the COVID-19 pandemic and the widespread integration of new information technology have facilitated the emergence of more flexible employment arrangements, such as remote or homeworking.Additionally, the integration of new technologies in the workplace frequently involves heightened communication and collaboration between employees and employers, leading to significant modifications in working conditions.The existing ILO labor standards encompass numerous dimensions of labor markets, including various types of labor rights, and are influenced by the three determinants previously mentioned.The Freedom of Association and Protection of the Right to Organize Convention, 1948(Convention No. 87 of 1948), recognizes the freedom of association, encompassing the rights of employees and employers to form and join trade unions and other representative organizations (Part I, Art. 1-10 of Convention No. 87 of 1948).The Convention underscores that the 'recognition of the principle of freedom of association' serves as a means to enhance working conditions and cultivate global peace (Preamble, Convention No. 87 of 1948).
Furthermore, the Forced Labor Convention, 1930(Convention No. 29 of 1930), and the Abolition of Forced Labor Convention, 1957(Convention No. 105 of 1957), both advocate for the eradication of all forms of forced and coercive labor.Convention No. 105 of 1957 particularly urges Member States to adopt appropriate measures to ensure the immediate and complete elimination of forced or compulsory labor as outlined in the Convention.While these conventions provide guidelines and standards for addressing and eradicating forced labor practices, they also set out the conditions under which certain forms of compulsory labor can be maintained 'in the public interest.'Collectively, these international conventions establish a framework for combatting forced labor and promoting equal rights in the labor market.They serve as crucial tools in the global endeavor to eliminate exploitative practices and establish a more equitable and just work environment for all individuals.
Numerous conventions have been established to lay the groundwork for minimum wages and guarantee the safeguarding of these wages.The ILO has adopted multiple conventions to address the matter of minimum wages.One such convention is the Minimum Wage Fixing Convention, 1970(Convention No. 131 of 1970), which specifically concentrates on developing countries.This convention takes into consideration the diverse needs of workers and their families in developing nations based on their economic development level (Syed, 2018).According to this convention, member states are obligated to institute a legally mandated minimum wage, establish an inspection system, and impose penalties for non-compliance.Furthermore, the Minimum Wage Fixing Machinery Convention, 1928(Convention No. 26 of 1928), outlines a vital criterion for granting a minimum wage to employees.It specifies that when wages are exceptionally low and collective bargaining agreements do not incorporate wage floors, a minimum wage should be implemented.Aligned with these conventions, the Protection of Wages Convention, 1949(Convention No. 95 of 1949), provides explicit assurances for wage protection.It explicitly prohibits the payment of wages in kind, except in exceptional circumstances.These conventions serve to preserve the rights of marginalized wage-earning workers and ensure defense against excessively low wages, with a distinct focus on the specific needs of developing nations.
Additionally, there exist numerous other international conventions that underscore the principle of equal wages and working conditions.These conventions explicitly state that race and gender should not be factors leading to disparities in compensation, occupation, and career opportunities.These agreements strive to advance fairness and equality in the workplace, ensuring that all workers, regardless of their race or gender, are treated equitably and provided with equal opportunities.
The Termination of Employment Convention, 1982(Convention No. 158 of 1982), lays out the conditions under which employment contracts can be terminated, with the objective of furnishing a basic level of job security for workers.The limitations delineated in the convention are applicable to all employees, except those holding fixed-term contracts, temporary positions, and probationary roles.Nonetheless, the agreement underscores the necessity for effective measures to counteract the misuse of fixed-term contracts as a means to circumvent employment protection regulations.As per the convention, employers are obligated to present a valid reason for ending an employment contract and affected employees retain the right to defend themselves and challenge the decision.In cases of grave misconduct, employees should be granted a 'reasonable' notice period or provided with financial compensation in lieu of notice.Furthermore, the convention stipulates that employees rendered redundant are entitled to receive unemployment benefits, severance pay, or other forms of social security benefits.These provisions are designed to offer assistance to workers confronting job loss and ensure they possess a degree of financial protection during the transitional phase.
Several conventions have been established to combat child labor.According to the Minimum Age Convention, 1973(Convention No. 138 of 1973), the minimum age for employment should not be lower than 15 years, except for light work performed by those aged 13 and older, provided it does not compromise their health or education.For heavy or hazardous labor, the minimum age is set at 18 years.The concept of a maximum 48-hour workweek in the industry was introduced in the first-ever ILO Convention, ratified during the 1919 Conference.
The convention also stipulates that daily working hours should not exceed eight hours.Nevertheless, exceptions are permitted as long as the total weekly hours do not surpass 48, and daily working hours do not exceed 10 (Convention No. 30 of 1930).Additionally, the Forty-Hour Week Convention, 1935(Convention No. 47 of 1935), upholds the principle of a 40-hour workweek to uphold workers' standard of living.The Weekly Rest (Industry) Convention, 1921(Convention No. 14 of 1921), and the Weekly Rest (Commerce and Offices) Convention, 1957(Convention No. 106 of 1957), mandate employers to grant workers a minimum weekly rest period of 24 hours.Moreover, the Holidays with Pay Convention (Revised), 1970(Convention No. 132 of 1970), mandates that employees should be entitled to at least three weeks of paid vacation for every year of service.These conventions collectively aim to establish and safeguard workers' rights, ensuring sufficient rest, leisure time, and equitable working conditions.
Furthermore, several conventions stress the importance of establishing suitable occupational health and safety conditions at the national level.The Occupational Safety and Health Convention, 1981(Convention No. 155 of 1981), provides a comprehensive framework for addressing various workplace safety issues.It necessitates employers to offer workers adequate information and, if necessary, training on the risks associated with their roles.Additionally, the Occupational Health Services Convention, 1985(Convention No. 161 of 1985), underscores the need for laws, regulations, or collective bargaining agreements to guarantee the provision of work-related health services.Specific regulations are in place for situations where employees are exposed to radioactive substances (Convention No. 115 of 1960), at risk of health issues from working with benzene (Convention No. 136 of 1971), or exposed to other cancer-causing substances (Convention No. 139 of 1974).There are also regulations addressing the use of machinery that poses risks to workers (Convention No. 119 of 1963).Furthermore, Convention No. 148 of 1977 mandates measures to safeguard workers from occupational hazards in the workplace, including those linked to vibration, noise, and air pollution.Additionally, Convention No. 167 of 1988 specifically addresses health and safety requirements in the building industry.Collectively, these conventions underscore the significance of ensuring a secure and healthy work environment for employees, addressing diverse occupational hazards, and providing essential support and regulations to safeguard workers' well-being.
Convention No. 122 of 1964 encourages nations to adopt policies aiming to maximize employment levels within their respective countries.It acknowledges the significance of generating opportunities for productive and meaningful work.Convention No. 142 of 1975 urges governments to establish comprehensive vocational or technical training systems encompassing a wide range of industries and individuals.The objective is to ensure that individuals have access to quality training equipping them with the necessary skills for employment.
Convention No. 117 of 1962 outlines the fundamental objectives and principles of social policy.Its aim is to enhance living conditions and ensure that every individual has access to a minimum quality of life.The convention recognizes that education and training are essential tools for improving living conditions.These conventions underscore the importance of promoting employment, providing access to vocational training, and enhancing social policies to uplift living conditions.Adhering to these principles, nations can strive to create a more inclusive and prosperous society.
Convention No. 154 of 1981 outlines methods for promoting collective agreements.Firstly, it emphasizes that all industries, employers, and employee groups should have the right to engage in collective bargaining.Secondly, it advocates for the expansion of collective agreements to cover working conditions.Thirdly, the convention suggests that governments should consult with employer organizations and labor unions before enacting legislation related to promoting collective bargaining.Convention No. 144 of 1976 mandates the establishment of tripartite consultative processes to enhance the enforcement of international labor standards.The ILO serves as a comprehensive code of conduct for industrial relations, applicable to both developed and developing nations.As the only tripartite United Nations body, it brings together governments, employers, and employee representatives from member states to establish labor standards, develop policies, and design programs that promote decent employment for all.The objective of the ILO is to assist member states in establishing or strengthening legislative frameworks, institutions, or mechanisms for fostering sound industrial relations and facilitating effective social dialogue.
Having examined the various labor standards upheld by the ILO, it is crucial to assess whether Bangladesh's labor policies align with these internationally recognized standards.This evaluation will shed light on the extent to which the country ensures the protection of fundamental human rights, wages, employment security, working environments, employment and social policies, and industrial relations in line with the guidelines set forth by the ILO.By comparing Bangladesh's labor policies with the established labor standards, we can gain insights into the country's adherence to the principles advocated by the ILO and identify areas where improvements may be needed.With these reasons in mind, this manuscript aims to comprehensively compare Bangladesh's national labor policies with the labor standards prescribed by the ILO, providing a detailed analysis of their alignment and identifying potential areas for further development and harmonization.

Industrial background of Bangladesh and labor policy adheres to ILO
In 2021, according to the World Bank's development indicators, the total labor force in Bangladesh was 69.81 million (World Bank, 2021).Out of this, 40 percent of workers are employed in agriculture, 30 percent in the industry, and 30 percent in the service sector.These sectors contribute to Bangladesh's Gross Domestic Product (GDP), with agriculture accounting for 19 percent, industry for 30 percent, and the service sector for 51 percent.The primary industries in Bangladesh encompass a wide range of sectors, including garments, textiles, food processing, steel, pulp and paper, jute, shipbuilding, pharmaceuticals, electronics, automotive parts, ceramics, fertilizers, construction materials, leather, natural gas, and renewable energy.Among these, the Bangladesh garment manufacturing industry stands out as a subject of global attention (Kamal, 2021).One of the key reasons for this is that the industry is the world's second-largest exporter, trailing only China (Farhana et al., 2022).This industry in Bangladesh has made a significant contribution to the national economy (Munim et al., 2022).For instance, in the fiscal year 2020-2021, it accounted for approximately 11.2% of the country's GDP (Jia et al., 2020).Moreover, in 2021-2022, Bangladesh's total export earnings reached US $52.08 billion, with readymade garment exports amounting to US $42.61 billion, representing 81.82% of the country's total export earnings (Export Performance, 2021-, 2021-2022).The sector aims to achieve US $46.8 billion in export earnings for the year 2022-2023 (Mirdha, 2022).Employing approximately four million workers, with women constituting the majority at 61%, the industry operates through around 4,600 RMG enterprises (Islam & Halim, 2022).Additionally, around 20 million people directly or indirectly rely on this industry for their livelihoods (Ahmed et al., 2021).
Despite its crucial role in poverty reduction, unemployment mitigation, and foreign currency generation, the labor industry faces challenges due to the absence of a national labor policy aligned with ILO standards (Uddin et al., 2022).It is the responsibility of the State, in accordance with international laws, to establish a national labor policy that complies with ILO standards to safeguard workers' rights (Syed & Ikra, 2022).As a result, there is a need to discuss to what extent the state's Labor Policy adheres to ILO standards.

Does Bangladesh's labor policy adhere to ILO standards?
The labor legislation of Bangladesh, known as the Bangladesh Shromo Ain, 2006 (referred to as the Bangladesh Labor Act 2006 or BLA 2016), has undergone amendments in 2009, 2010, 2013, and 2018 to ensure comprehensive protection of workers' rights.However, in many instances, this law still falls short compared to ILO standards.
The list of occupational diseases specified in the third schedule of (Bangladesh Labor Act 2006) is limited.Moreover, some disease names are outdated, such as 'writer's cramp,' which pertains to prolonged handwriting.This seems impractical nowadays as people have shifted to modern technologies like typing or other digital means of communication.Furthermore (Bangladesh Labor Act 2006), does not recognize COVID-19 as an occupational disease, which is a clear deficiency when compared to the Employment Injury Benefits Convention, 1964(Convention No. 121 of 1964).According to Schedule 1, Paragraph 29 of this convention, 'infectious or parasitic diseases contracted in an occupation where there is a particular risk of contamination' (which can include COVID-19) should be considered as an occupational disease or injury.This includes work involving exposure to risk, such as health or laboratory work [clause (a)], as well as other work with a specific risk of contamination [clause (d)].
Moreover, the compensation provided for occupational diseases is insufficient to meet the needs of workers (Huda, 2021).Also, the process of seeking legal compensation is complex (Section 157, Bangladesh Labor Act 2006) and often unfamiliar to workers who lack awareness of their rights.In fact (Bangladesh Labor Act 2006), heavily relies on the willingness of employers to compensate rather than their capacity to do so.This flaw becomes evident when employers repeatedly refuse to pay compensation even when instructed by the courts to do so, highlighting a deficiency in the law and the legal system.
One notable area of weakness is the absence of an effective implementation mechanism, as the prescribed penalties under (Bangladesh Labor Act 2006), such as incarceration, are unrealistic and fail to adequately address workplace accidents resulting in death or injuries.Additionally, according to (Bangladesh Labor Act 2006), a violation of safety provisions does not constitute an offense in itself, making it challenging to hold companies accountable for safety violations (Syed & Ikra, 2022).Furthermore, the current labor policy imposes certain restrictions on taking legal action.For instance (Bangladesh Labor Act 2006), states that 'no civil or criminal action or other legal procedure may be brought against any person or authority for anything done or intended to be done in good faith in accordance with this Act' (Section 335, Bangladesh Labor Act 2006).However, the question arises as to who determines whether an act was done in good faith.If the burden of proof falls on the same person to demonstrate good faith, it becomes highly subjective and difficult to establish beyond a reasonable doubt.Unfortunately, the legal system lacks an objective requirement through a jury system to ascertain whether an act was done in good faith.This flaw often protects employers even in cases where workplace accidents occur due to their negligence or failure to exercise reasonable care.There are instances where labor laws exist only on paper but are not effectively implemented.For instance (Bangladesh Labor Act 2006), mandates that no employer can hire a worker without providing an appointment letter, and each worker must be issued a photo identification card (Section 5, Bangladesh Labor Act 2006).However, in many cases, workers are employed without appointment letters (Heath et al., 2022).Arguably, workers who are appointed without appointment letters can be terminated without prior notice or subsequent benefits.Moreover, one alarming provision under the (Bangladesh Labor Act 2006) permits employers to terminate workers without any reason (Section 26, Bangladesh Labor Act 2006).Such deficiencies create an environment of uncertainty where job loss can occur without advance notice (Ashraf & Prentice, 2019).Additionally, if a worker's employment is terminated due to retrenchment, discharge, removal, dismissal, retirement, resignation, or any other reason, and they have accrued but unused annual leave, the employer is obligated to provide remuneration in lieu of the unused leave at the rate the worker is entitled to during the time of leave as specified in the (Bangladesh Labor Act 2006) (Section 11, Bangladesh Labor Act 2006 However, workers often struggle to exercise this right and receive the remuneration they are owed. The Bangladesh Labor Act 2006 includes a specific provision regarding restricted working hours for women.It states that 'no woman worker shall be permitted to work in an establishment between 10 PM and 6 AM without her consent' (Section 109, Bangladesh Labor Act 2006).Nevertheless, in many instances, women are compelled, in violation of labor laws, to work night shifts or until late at night.Additionally, there are no monitoring bodies in place to ensure that workers are granted their weekly holidays, compensatory weekly holidays, appropriate conditions for night shifts, and additional allowances for overtime.Consequently, workers are unable to maintain a healthy work-life balance.
Bangladesh Labor Act ( 2006) provides guidelines for determining minimum wages.When making recommendations, the wages board is required to take into account various factors such as the cost of living, standard of living, production costs, productivity, product prices, inflation, nature and risk level of the work, business capacity, socio-economic conditions of the country and locality, and any other relevant factors (Section 141, Bangladesh Labor Act 2006).However, in practice, these factors are often disregarded when setting minimum wages.Furthermore, the government possesses exclusive power to modify and alter the existing wage rates established by the wage board (Section 140A, Bangladesh Labor Act 2006).Given that many business owners are affiliated with the ruling political party, their influence can potentially bias the decision-making process of the wage board.
Furthermore, the (Bangladesh Labor Act 2006) lacks an adequate inspection mechanism to ensure the effective implementation of labor legislation.Similarly, there is currently no effective supervision policy in place, which poses a significant gap as employers often fail to comply with the provisions in the absence of proper oversight.
Moreover, the current legal system lacks a pro bono policy to provide legal support for workers facing victimization.Additionally, there is no participation policy for employers' and workers' organizations to actively enforce labor legislation.Another notable omission in the (Bangladesh Labor Act 2006) is the absence of provisions for publicizing labor policies through various means to reach illiterate workers and inform them about their rights.
Despite these deficiencies, workers are allowed to file lawsuits in labor courts against individuals or groups that violate their rights.However, there are only seven labor courts and two appellate tribunals in the entire country.Each labor court consists of a chairperson and two additional members, one representing the employees and the other representing the employer (Hoque, 2014).Considering Bangladesh's significant labor force of 69.8 million, it is evident that the existing number of labor courts is inadequate to handle the volume of labor-related cases, thereby resulting in a lack of access to justice for workers.
The (Bangladesh Labor Act 2006) was primarily enacted with the aim of addressing the ambiguities, incompleteness, and overlaps that existed in previous labor laws, providing a consolidated framework for labor regulations.However, despite its objectives, the new law still contains certain contradictory provisions.One such contradiction can be found in the (Bangladesh Labor Act 2006) regarding the penalties and compensations for severe workplace injuries or fatalities.Section 309 of the (Bangladesh Labor Act 2006) imposes relatively low penalties and compensations for such incidents.This raises the possibility of applying other laws, such as general criminal law, in cases of severe workplace injuries or fatalities under Section 309(3) of the (Bangladesh Labor Act 2006).These provisions, however, contradict the statement made in Section 313(1) of the (Bangladesh Labor Act 2006), which explicitly states that 'no court other than a labor court shall try an offense under the Act or any related rules, regulations, or schemes.'These contradictory provisions within the (Bangladesh Labor Act 2006) create confusion and potential inconsistencies in the application of the law.Further attention and clarification may be required to ensure a coherent and unified legal framework for labor-related offenses and the jurisdiction of the labor courts.
Similarly, several sections of the (Bangladesh Labor Act 2006) still contain ambiguous statements, posing obstacles to obtaining justice for workers.For instance, one provision states that a worker shall not be entitled to compensation if they are dismissed for misconduct, such as theft, fraud, or dishonesty related to the employer's business or property, or for disorderliness, riot, arson, or breakage within the establishment [Section 23(4)(b) and (g), (Bangladesh Labor Act 2006)].However, the Act does not provide a clear definition of fraud or theft.Moreover, the term 'disorderliness' is vague and can easily be used to accuse workers, making the accusation process heavily reliant on the employer's discretion.
The highlighted deficiency in Bangladesh's national labor policy underscores the disparity between it and the standards set by the ILO.This discrepancy raises the question: How can we improve compliance with standard labor policy?To address the existing gaps and enhance compliance with labor policy in Bangladesh, several measures can be implemented.A crucial step is the comprehensive revision of the labor law to bring it in line with the core principles and conventions of the ILO.This would require a thorough review and amendment of the current provisions to ensure they align with international labor standards.It is important to note that while Bangladesh is an active member of numerous ILO conventions, including all core labor conventions, mere membership does not guarantee compliance and enforcement of labor laws.It is essential to align the country's labor policies with ILO standards.Additionally, tailored strategies specific to the local context are necessary to improve compliance, as discussed in the following section.

How can improve compliance with labor policy?
The theoretical section of this manuscript delves into compliance theory, which examines how employers behave in relation to adhering to labor standards.Expanding on this theory, the focus will now shift to external factors (such as the fear of punishment, sanctions, or penalties) that contribute to compliance with labor laws in Bangladesh.Additionally, this manuscript explores the discussion surrounding other potential factors associated with compliance.
By increasing the threat of punishment and raising the costs associated with non-compliance, employers can be motivated to adhere to labor laws.Various approaches can be employed to achieve this dual objective of diminishing the benefits of non-compliance and escalating the expenses involved.One effective example of such an approach is holding corporations criminally liable for their wrongful actions.This substantial method not only establishes a stronger deterrent for non-compliance but also serves as a means to enhance overall compliance with labor laws.
In specific areas of labor law, violations can lead to 'criminal sanctions,' although the severity of such penalties can vary across jurisdictions.For example, the United Kingdom enacted the (Corporate Manslaughter and Corporate Homicide Act 2007) to address workplace fatalities and prevent their occurrence.CMCHA was implemented in the UK in 2008 as a response to several major disasters in the 1990s.
The corporate offense outlined in (Corporate Manslaughter and Corporate Homicide Act 2007) is a clear law designed to hold corporations accountable.It broadens an organization's liability assessment, providing a more effective means of accountability for severe management failures across the organization (Ministry of Justice, nd.).This legislation establishes two specific requirements for corporate homicide: first, the offense must have resulted in a loss of life; second, the organization must have grossly violated its duty of care towards the deceased.
Similarly, in Australia, the Crimes (Industrial Manslaughter) Amendment Act [C(IM)AA2003] brought changes to the federal legislation known as the Crimes Act 1900.These modifications enhanced the visibility and practicality of holding corporations accountable for manslaughter under the provisions of the Australian (Criminal Code Act 1995).Moreover, with the exception of Tasmania and Western Australia, all Australian provinces have their individual legislation regarding industrial manslaughter, as highlighted by Syed and Ikra (2022).
Furthermore, in response to the tragic Westray Mine disaster in May 1992, where 26 miners lost their lives in Plymouth, N.S., Canada introduced Bill C-45.This legislation, commonly referred to as the Westray Bill, was an amendment to the Canadian Criminal Code and became law on 31 March 2004 (Macpherson, 2004).Introduced in 2003, the bill introduced new legal obligations for occupational health and safety, accompanied by strict penalties for violations resulting in injuries or fatalities (Library of Parliament, nd.).
These legislative processes are likely to address compliance theory, guided by Lindenberg's Goal-Framing Theory (GFT) and the Option Generation Framework (OGF) set forth by Kalis et al. (2013).These theories highlight external factors like the fear of punishment, sanctions, or penalties as motivations for obeying the law.Such compliance mechanisms align with the theory of criminal law (Collins, 2020).
It is rational to consider that the fear of a criminal conviction can serve as a potent deterrent, given the associated stigma and potential penalties, ranging from restricted access to certain positions/ offices to possible incarceration in severe cases.However, this brings up the question of how a criminal penalty can be applied to a company, considering that a company is a separate legal entity from its employees.As a result, it may be argued that incarceration could apply to individuals working within the company who are directly responsible for violating workers' rights.In contrast, criminal compensation could be imposed on the company itself to establish the notion that such consequences are a real possibility.It is essential for companies to perceive this as a genuine threat rather than a theoretical one.Although there is no or minimal evidence of this practice in Bangladesh, the potential for an increase in prosecutions and widespread reporting of such cases could enhance employers' awareness of this risk.
In light of the absence of widespread proceedings against worker abuse, a pertinent question arises: are the current paper-based restrictions merely symbolic and ineffective?Davidov (2021) emphasizes the necessity of considering alternative metrics to identify severe or repeat offenders.The absence of criminal convictions should not be confused with a clean record.Despite these considerations, the presence of criminal prohibitions remains essential, even if their enforcement is infrequent within the context of Bangladesh.Such provisions still hold the power to convey a strong message about the significance of labor legislation and the detrimental impact of its violation.
While striving for an increased likelihood of criminal convictions is important, it has been mentioned above that such convictions are relatively rare.One reason for this rarity is the stringent standard of proof required in criminal procedures, designed to prevent unjust convictions.Therefore, to ensure fair punitive action, this paper suggests distinguishing between the liability of individuals (punitive incarceration) and company entities (punitive reparation).When dealing with individuals, a high standard of proof is needed to prove criminal liability beyond doubt.However, for companies, a balance of probabilities may be sufficient, since they cannot be incarcerated.Instead, they can provide compensation or take remedial actions such as community service or publishing penalty reports.This approach does not intend to disrupt the inherent framework of criminal law and its procedures.Rather, it draws on Garland's assertion that criminal justice system objectives are dynamic and can adapt, shift, and merge over time, often influenced by contemporary cultural values and prevailing political priorities (Garland, 1993).In this context, it can be argued that strict adherence to traditional criminal justice conventions might hinder the ability to effectively penalize wrongdoers across a range of situations.
Additionally, criminal procedures demand ongoing collaboration between labor inspectors and prosecutors, resulting in a lengthy and intricate process (Davidov, 2021).Consequently, in recent years, there has been a growing emphasis on 'administrative sanctions' as an alternative to criminal convictions.These sanctions carry less stigma and are simpler to implement.For instance, in Israel, senior labor inspectors are authorized to levy administrative fines for labor law violations under the (Act to Improve the Enforcement of Labor Law 2011) (Section 3).Upon identifying a violation, employers are obligated to pay the fine or appeal, similar to contesting a parking ticket.The default outcome is fine imposition unless the judgment is successfully appealed.A similar approach is taken in Germany under the (Minimum Wage Act 2014) (Section 21), where violations are categorized as regulatory offenses, and enforcement agencies are empowered to impose substantial fines.
It is important to acknowledge that this system is not without challenges in terms of state enforcement.It relies on identifying and investigating infractions, which necessitates a costly infrastructure of inspectors.Furthermore, the system heavily depends on employee complaints, which are relatively uncommon.Nevertheless, the ability to swiftly and relatively easily impose sanctions represents a significant improvement.Employers quickly realize that fines are a tangible possibility and factor this into their cost-benefit analyses (Syed, 2023).
Another strategy for enhancing penalties for noncompliance involves 'public shaming,' where the employer's clients, customers, and business partners are informed about the violations.However, for this approach to be effective, there needs to be a widespread understanding of the importance of labor legislation and the ethical implications of its violations.Additionally, the publicity surrounding these infractions must be extensive enough to reach the relevant communities.In certain legal systems, enforcement agencies are directed to publish information about administrative penalties imposed on employers on a government website, as outlined in the (Act to Improve the Enforcement of Labor Law 2011) (Section 17).
It is worth noting that the impact of this approach on local buyers may be minimal.The news of penalties may only reach those who actively seek out information on the website, which typically includes a long list of companies and the fines they have incurred.Moreover, local buyers may be unaware of such websites or may lack the technical proficiency to navigate them.However, this idea should not be disregarded in the context of the global supply chain industry, particularly for firms that are entirely export-oriented.In this case, websites can be easily accessed by foreign buyers from any part of the world.Therefore, employing this technique could serve as an effective means to raise awareness among international buyers.
In the past, the United States employed a highly effective system to address health and safety infractions, as highlighted by Davidov (2021).Over the last few decades, the Occupational Safety and Health Administration (OSHA) has used 'press releases' to publicly disclose infractions, particularly when the imposed penalties surpass a specific threshold.Press releases have proven to reach a broader audience, with their focused attention on individual employers drawing increased scrutiny to the offenders.Moreover, these releases provide detailed accounts of the violations and their severity.
The empirical study conducted by Johnson (2020) sheds light on the significant impact of OSHA press releases on occupational safety and health.According to their findings, facilities located within a 5-kilometer radius, known as 'peer' facilities, experienced an impressive 73% reduction in violations after the issuance of press releases.This effect is truly remarkable and highlights the effectiveness of this approach.The previous administration, led by President Trump, was generally perceived as being pro-employer.The fact that they discontinued this practice further reinforces its effectiveness (Scheiber, 2020).Although it remains uncertain if the current administration will reintroduce this practice, utilizing 'press releases' could be an exceedingly effective strategy, particularly in informing and alerting local buyers and customers.This can serve as a deterrent against law violations in relevant industries in Bangladesh.
Moreover, State assistance can be employed to amplify the consequences of violations, given the reliance of numerous enterprises on such aid.In certain industries, acquiring a license is a prerequisite for operation.In cases of persistent breaches of labor laws, the possibility of denying or revoking a license arises.In Bangladesh, for example, a business or trade operation necessitates a license.Thus, the authority retains the power to cancel or restrict a license after prior notice to the licensee in the event of labor law violations.Society inherently expects responsible behavior from all employers, with a commitment to avoiding violations of labor regulations.If a business is primarily centered on employing people yet consistently fails to adhere to the law, there is no justification for allowing it to continue operating without consequences.
Another means of imposing significant penalties is incorporating labor legislation compliance records into procurement decisions.In Germany, under the (Minimum Wage Act 2014), employers subject to a regulatory penalty of €2500 or more are typically disqualified from participating in public auctions for delivery, construction, or service agreements, unless they re-establish their trustworthiness [s.19 (1), (Minimum Wage Act 2014)].Introducing such provisions could help deter labor law violations in Bangladesh, to some extent.
Furthermore, these regulations can substantially influence companies' cost-benefit calculations (Syed, 2023).In numerous industries, companies cannot afford to risk being excluded from public procurement opportunities.The German rule might appear stringent as it applies to a single fine that may not be particularly significant.If the rule is overly broad, practical implementation challenges may arise.In other jurisdictions, such as Israel, procurement privileges are withdrawn only for repeat offenders who have committed more severe offenses.This approach is easier to justify (McCrudden, 2007).However, defining repeat offenders can present its own challenges.
Additionally, it is crucial to emphasize the significance of effective enforcement as a means to escalate the costs of non-compliance.Although a comprehensive exploration of this topic is beyond the scope here, this manuscript briefly touches upon it.Under the framework of 'strategic enforcement,' several strategies for efficient enforcement have been developed, notably by David Weil (Fine et al., 2021;Syed, 2023;Weil, 2018).
The central idea is that enforcement cannot rely solely on complaints, which often cover only a fraction of violations and not necessarily the most severe ones.Proactive enforcement is necessary.It involves identifying the areas with the highest prevalence of violations, uncovering their underlying causes, and tailoring the most effective responses to each specific context.This approach encompasses tactics mentioned earlier, such as public shaming.The aim is to optimize the use of enforcement agency resources to address a greater number of violations, particularly the most egregious ones.This strategy aligns with the ILO's approach known as 'strategic compliance,' where inspectors are equipped with various resources and tactics for effective enforcement (ILO 2017).
Enhancing the effectiveness of the compliance mechanism is a challenging endeavor.While it is easier said than done, numerous countries have successfully tackled this challenge.By strategically allocating enforcement resources, we can increase the likelihood of identifying and penalizing violations, thereby influencing the cost-benefit evaluations of employers who may contemplate noncompliance (Syed, 2023).

Conclusion and implications
Different approaches to labor law can lead to intellectual confusion regarding their application (Syed, 2018).Nonetheless, labor law remains a highly effective tool for advancing social objectives through the enforcement of standardized policies (Syed, 2023).Therefore, aligning national labor policies with ILO labor standards and ensuring compliance with these policies are crucial steps for improving workers' rights.
Bangladesh actively participates in numerous ILO conventions and has ratified many of them, including all eight core conventions (Syed & Ikra, 2022).However, despite ratification, there are still conventions that Bangladesh needs to ratify to fully align with ILO standards.
It is important to note that ratification alone does not guarantee effective implementation.While Bangladesh has ratified several conventions, their practical application does not always meet expected standards.In this regard, the ILO's stringent supervision regulations can play a crucial role in ensuring adherence to ratified conventions.Member states are required to report on convention implementation, and it is crucial to encourage and protect complaint procedures from other member states, particularly trade unions, to facilitate complaints against non-compliant corporations and states.Additionally, the ILO can provide technical assistance to countries like Bangladesh to enhance compliance and promote dialogue among governments, employers, and trade unions, ensuring a better workplace environment.By strengthening oversight, facilitating complaints, and providing technical support, the ILO can contribute to improving labor law compliance and fostering a safer and fairer working environment for all.
Lifting the corporate veil is necessary to hold corporations accountable alongside individuals for their actions.Since a company is considered a separate legal entity (Salomon vs. Salomon), it should bear responsibility for criminal fines or compensations.Furthermore, the current framework of individual liability within corporations should be reevaluated.For instance, individual officials should be held liable for their negligent actions regardless of their rank.However, it is also essential to establish default accountability for corporate senior executives, regardless of their direct involvement, in cases of negligence leading to legal violations.
In addition to criminal sanctions, implementing various policies such as shaming, administrative sanctions, withholding privileges, and strategic enforcement mechanisms under labor law can significantly contribute to ensuring compliance within labor industries.It is important to acknowledge that in many developing countries like Bangladesh, the threat of incarceration serves as a powerful deterrent against industry owners failing to comply with labor legislation.Studies show that imposing serious criminal liability on wrongdoers has the potential to uphold a safer workplace environment (David et al., 2011;Syed & Ikra, 2022).Imposing lenient punishments and low compensations allows perpetrators to violate labor provisions and enjoy impunity based on their high societal status.In such cases, the government becomes complicit in exploiting and depriving workers of their entitlements, undermining labor rights to appease unscrupulous business leaders.Therefore, it is imperative to adopt labor laws aligned with ILO standards and establish the rule of law with appropriate sentencing.Without such measures, profit-driven employers will continue to violate labor laws with impunity, perpetuating the cycle of exploitation and disregard for worker rights.