Written by The Banking Post
The Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has called for the pension age of garment workers to be set at 55 instead of 60, along with special incentives during the first two years to encourage participation in the Universal Pension Scheme.
The proposals came at a discussion on the pension scheme held at the BGMEA complex in Uttara, Dhaka, on Saturday.
BGMEA President Mahmud Hasan Khan said the proposed changes would make the scheme more attractive to workers and encourage wider participation.
The demand comes as the government moves to expand coverage of the pension system. Dr Md Suratuzzaman, executive chairman of the National Pension Authority, said amendments to the Bangladesh Labour Act 2026 now require industrial establishments with more than 100 workers to bring their employees under the Universal Pension Scheme.
He urged BGMEA to ensure that at least one member of every worker’s family is enrolled.
The government also plans to invest nearly $100 million, with funding from the Asian Development Bank, to strengthen and streamline pension operations, he said.
Under the existing scheme, citizens aged 18 to 50 can contribute through banks and receive a monthly pension after turning 60. If a subscriber dies before reaching 60, the nominee can receive the deposited amount along with returns. Contributions can also be adjusted in cases of financial hardship.
The scale of the garment sector presents a major implementation challenge. BGMEA Senior Vice-President Inamul Haq Khan said bringing nearly 5 million apparel workers under the scheme and maintaining their participation would require careful planning.
BGMEA Vice-President Md Reazwan Selim said the scheme’s attractive returns could provide workers with greater long-term financial security and said the association was preparing a plan for its implementation across the sector.
The meeting was attended by National Pension Authority officials, BGMEA leaders, factory owners, trade union representatives and other sector stakeholders.
