Bangladesh Observes Labour Day 2025 Amid Economic Transition and Labour Reforms

The nation is at a crossroads, navigating a complex socio-political and economic transition as it prepares for graduation from the Least Developed Country (LDC) status.

On May 1st, Bangladesh joins the world in commemorating International Workers’ Day, also known as Labour Day or May Day, a global celebration of the value of work and the social contract that upholds justice, dignity, and equality in employment. This year, however, Labour Day in Bangladesh holds heightened significance. The nation is at a crossroads, navigating a complex socio-political and economic transition as it prepares for graduation from the Least Developed Country (LDC) status.

Under the global theme “Empowering Workers for Sustainable Development”, this year’s observance calls attention to the central role of labour in economic modernization and social progress. It also resonates deeply with the national theme: “Let's build a new Bangladesh; employers’-workers’ unity will be its strength.”

Labour Empowerment: The Bedrock of Sustainable Growth

Empowering workers is not merely an ethical pursuit but a strategic economic necessity. As Bangladesh seeks to modernize its economy and integrate deeper into global value chains, sustainable development hinges on equitable access to skills, opportunities, and rights. A future-ready workforce—educated, empowered, and safe—is crucial for national competitiveness and social stability.

In this light, Bangladesh’s vast informal sector, comprising over 84% of the labour force, represents both a challenge and an opportunity. Many workers in this sector lack access to information, legal protection, and social benefits, making them vulnerable to exploitation and unable to fully contribute to national development. Labour Day 2025 thus emphasizes inclusive labour governance, aiming to bridge this gap and ensure that decent work standards reach all corners of the economy.

The Labour Reform Commission: A Milestone Toward Inclusive Change

A notable recent development is the establishment of the Bangladesh Labour Reform Commission in November 2024. With participation from employers, workers, civil society, and policymakers, the Commission released its first set of recommendations in April 2025. These proposals aim to align national laws with international labour standards, modernize dispute resolution mechanisms, and extend legal recognition and protections to previously unprotected worker categories such as domestic workers.

Key highlights of the recommendations include:

• Reforming the national wage-setting system, including fair minimum wage mechanisms.

• Improving labour court efficiency and labour inspection systems.

• Promoting gender-inclusive policies for women, youth, and migrant workers.

• Designing a national social protection scheme for all workers, including informal sector workers.

These steps reflect Bangladesh’s commitment to harmonious industrial relations through social dialogue, a principle endorsed by the International Labour Organization (ILO) as a pillar of decent work and economic resilience.

---

Safe and Healthy Workplaces: A Non-Negotiable Right

The 2022 amendment to the ILO Declaration on Fundamental Principles and Rights at Work added the right to a safe and healthy working environment as a core principle. In Bangladesh, where industrial accidents have historically claimed many lives, this principle takes on special urgency.

Although the readymade garment (RMG) sector has seen improvements driven by international buyer pressure and regulatory oversight, other sectors—particularly informal and small-scale enterprises—lag far behind. Strengthening occupational safety, freedom of association, and collective bargaining rights remains essential for building trust and stability in labour relations.

---

Skills Development: Bridging Today’s Gaps, Preparing for Tomorrow

The ability of workers to navigate a transforming economy depends not only on their rights but also on their skills and adaptability. In a job market increasingly influenced by automation, digitization, and global competition, workers must be equipped with the tools to thrive.

Bangladesh’s youth bulge—a demographic advantage—could be its greatest asset if properly mobilized. That means:

• Massive investments in technical and vocational education and training (TVET).

• Developing industry-academic partnerships that align curricula with market demands.

• Introducing workplace-based learning to prepare students for the “real world of work.”

• Expanding access to training for migrant workers seeking opportunities abroad.

The private sector has a crucial role to play in this transformation. By engaging in skills partnerships with the government and education providers, businesses can ensure their workforce is future-ready while also fulfilling their corporate social responsibilities.

---

Informal to Formal: The Great Transition

Integrating informal workers into the formal economy is a critical component of sustainable growth. Formalization ensures access to benefits, legal protections, and productivity-enhancing tools. It also strengthens Bangladesh’s ability to attract responsible foreign investment, maintain global reputational standards, and increase tax revenues for reinvestment into public goods.

To this end, labour market governance must be robust, inclusive, and agile. Labour inspection systems should expand their reach. Worker awareness campaigns must penetrate deep into rural and urban informal sectors. And dispute resolution mechanisms must be both swift and fair.

 A Call to Collective Action

At this pivotal moment in its economic journey, Bangladesh must prioritize a cohesive, inclusive, and equitable approach to labour empowerment. This includes not only rights at work but also skills development, workplace safety, social protection, and robust dialogue between employers, workers, and the state.

The ILO’s continued support for reforms in skills and labour governance underlines the international community’s recognition of Bangladesh’s potential. But national ownership, political will, and stakeholder collaboration will be essential for progress.

As the nation celebrates Labour Day 2025, the message is clear: sustainable development begins with empowered workers. The path to a prosperous Bangladesh lies through the dignity, safety, and contribution of every worker—formal and informal, male and female, local and migrant.