RMG Sector Employees Satisfaction Level

Our Research

The levels of employees’ satisfaction of RMG sector

Prepared by

Ummay sanjida

ID:091011090

Email:[email protected]

What are the levels of employees’ satisfactions Ready Made Garments (RMG)

sectors in Bangladesh?

Topic:

The levels of employees’ satisfaction of Ready Made Garments (RMG) sector in

Bangladesh.

Research question:



Title:

Factors affecting Employees satisfaction levels Ready Made Garments sector in

Bangladesh



Introduction

The Ready-Made Garments (RMG) industry captures a unique position in the Bangladesh

economy. Ready-made garments are mass-produced finished textile products of the clothing

industry. The industry plays a key role in employment generation and in the provision/

distribution of income to the poor.

Employee satisfaction is a measure of how happy workers are with their job and working

environment. Epping moral high among workers can be of great benefit to any company, as

happy workers will be more likely to produce more ,take fewer days off ,and stay loyal to the

company .There are many factors in improving or maintaining high employee satisfaction ,which

wise employers would do well to implement .

To measure employee satisfaction ,many companies will have mandatory surveys or face-to –

face meetings with employees to gain information .Both of these tactics have pros and cons ,and

should be chosen carefully .surveys are often and anonymous ,allowing workers more freedom to

be honest without fear of impact Interviews with company management can fill intimidating but

if done correctly can let the worker know that there voice has been heard and their concerns

addressed by those in charge .surveys and meetings can truly get to the center of the data

surrounding employee satisfaction ,and can be great tools identify specific problems leading to

lowered morale.

Before liberation in 1970 in Bangladesh there was only one garment factory but now there are

4740 garment factory in Bangladesh. The number of workers in garments sectors is increased

day by day. In 1985-86 the total workers were 0.20 million. In 2007-08 the number of garments

workers in Bangladesh is 2.50 million 2011 around 4.5 million.

Job satisfaction means an attitude that reflects the extent to which an individual is gratified by or

fulfilled in his or her work. It’s indicated that personal factors such as an individual needs and

objective, determine this attitude along with group and organization factors, such as relationships

with coworkers and supervisor and working conditions work politics and compensation.



Ready-Made Garments is the largest exporting industry in Bangladesh, which experienced

phenomenal growth during the last 20 years. But Bangladeshi garments industry labour cost is

very poor than other country. The wages paid to RMG workers in Bangladesh are the lowest

even by the South Asian regional standard.

Literature Review

Mohammad Salim Zahargier, Nimalathasan Balasundaram (2010) mentioned in their paper that

two main sources of economic growth of Bangladesh have been manufacturing and servicing,

both crucially dependent on the RMG sector. Thus any impact on RMG sector, will adversely

affect economic performance of the country and another paper already say Factors affecting

Employees’ Performance in Ready Made Garments (RMG) Sector in Chittagong, Bangladesh.

Several researchers were given emphasized on forecast or estimate export demand function.

Some other with mentioning is Ahmad et al (1993) and Razzaque (2004). Recently, Abdus

Salam Murshedy (2010-05-06) in his paper addresses to the task of assessing ready made

garment industry has emerged as the highest employment creating manufacturing sector of the

country,. And they found during GFC the performance of RMG and Remittance sectors are quite

satisfactory. M M Shahnewaz Kabir Shawon research Deeper look into RMG Sector of

Bangladesh (10th April, 2011) this paper include what are benefit our national economy in

garments sector, Recent export data and employees’ performances level. Syeda Sharmin Absar

analysis what are the problem surrounding wages, the RMG sector in Bangladesh and also discus

gender division of labour, wages, working hours or many important part why people like most

women work and suggest proper solution. Tahmina Haque published Journal of Business

Research, (vol. 5, 2003) this article focus A View over Discrimination and Harassment Situation

of Daily Unskilled Workers in Work Place in Bangladesh this paper track to see whether and

how unskilled workers were harassed by their employers and co-workers, most of the case effect

garments worker. Md. Nehal Ahmed and Md. Sakhawat Hossain (September 2006 ) Policy

Analysis Unit (PAU)Research Department, Bangladesh Bank analysis Future Prospects of

Bangladesh’s Ready-Made Garments Industry and the Supportive Policy Regime also include

how to improve Infrastructural Impediments and focus Labour Productivity.



On April 5th 2009 the Trade Related Assistance Center (TRAC) at the American Chamber of

Commerce in Egypt hosted a workshop titled “Improving Labor Productivity in Egypt’s Ready-

Made Garments Sector This report analyzes labor productivity in the ready-made garment sector

in Egypt. Section 1 seeks to highlight and understand the constraints to labor productivity by

focusing on productivity challenges, limitations to growth and working conditions in the garment

sector. Syeda Sharmin Absar (Australian National University) publishes on journal, problem

surrounding wages and satisfaction the RMG sector in Bangladesh. This labour and management

in development journal (volume 2, number 7) analysis’ Bangladesh labour satisfaction level and

RMG sector/worker low Centre for Policy Dialogue (September, 2007) Published paper Gender

Dimension of Employment in the RMG Sector, Recent Evidence from the Field Survey (Trade

and Competitiveness Research Team, Institute of Economics, 27 Tran Xuan Soan, Hanoi,

Vietnam) this report focus explore the gender-differentiated effect of trade liberalisation in the

RMG sector in Bangladesh; and To investigate how the adjustments were taking place in

response to the new competitive global environment.

On April 5th 2009 the Trade Related Assistance Center (TRAC) at the American Chamber of

Commerce in Egypt hosted a workshop titled “Improving Labor Productivity in Egypt’s Ready-

Made Garments Sector This report analyzes labor productivity in the ready-made garment sector

in Egypt. Section 1 seeks to highlight and understand the constraints to labor productivity by

focusing on productivity challenges, limitations to growth and working conditions in the garment

sector. Syeda Sharmin Absar (Australian National University) publishes on journal, problem

surrounding wages and satisfaction the RMG sector in Bangladesh. This labour and management

in development journal (volume 2, number 7) analysis’ Bangladesh labour satisfaction level and

RMG sector/worker low.

Scope and Objectives of the report



The objective of the report is to develop our knowledge about Research method as well as to elaborate our thinking. Through this report, we will able to make our self at any situation when we got the any sort of assignment or task or making any report regarding Research area. It also help us for fulfillment our knowledge. The main objective of the report is to gather knowledge and information how an organization performs their task and what are the levels of employees’ satisfaction of (RMG) sector in Bangladesh.

Objective:

1. To Judge the level satisfaction among garment employees.

2. To identify the factors there are affecting the satisfaction level of garments employees.

3. Identify the major factor behind the satisfaction level of garments employees.

4. To identify the relationship between factors and employees’ satisfaction level.

5. To classify whether and how RMG worker were harassed by their factory manager or

other person.

Research Methodology

Methodology is the most important component in any study since it explains the procedure and methods through which a particular study was carried out. This paper includes Data / Information Collection, Study Population, Study Area, data collection, Sample Size, Allocation of sample and calculation etc.

Data Data are the raw materials for any study. Relevant data for the study were collected from both secondary and primary sources. Secondary data were collected from BGMEA, National Encyclopedia of Bangladesh (NEB), Wikipedia, Labor and management in development journal volume 2, number 7 ETC.Two types of primary data were collected in the study-quantitative and qualitative.



1. Quantitative data were gathered from survey and observation of worker active RMG factories.

2. Qualitative data were collected from interview and projective techniques.

Limitations of the study

During the time of preparing this report I have been faced many problem. These are follows:

The period fixed for preparing the report was hard to meet. As a result, sufficient concentration could not be given which was needed for much better study.

To prepare this report I have faced a lot of problems such as Maintain confidentiality, Unavailability of related books or document. Cost limitation. Limitation time etc.

However, we are the student of mid level of B.B.A, so we have shortage of knowledge to make this report. But we try our best to make the report properly.

Data Collection

Study Population: As the 2011 there are about 4.5 million worker work RMG sector. Out of them about 80% women and 20% man employees work this sector. But all garments employees are not satisfied around most of the worker are satisfaction level low. The active worker in readymade garments sector employees’ satisfaction level represent the main study population of our study.

Study Area: The RMG factories constituting study population are mostly located around Dhaka and Chittagong. In Dhaka Region, the districts of Dhaka, Narayanganj and Gazipur are



the concentration of RMG firms. The following graph prepared according to the address provided in the Directory of RMG sector total employees, and what percent man or woman.

(Graph) Total Worker RMG sector Area wise.

Source: Year wise Number of Workers Employed in RMG Sectors (In Million) in Bangladesh, BGMEA/ Employees of Chittagong garment factory returning from lunch Courtesy Siria Lopez.



Area Man worker Women workerTotal employees

Dhaka

Narayanganj

Gazipur

Chittagong

Others/Subtotal

Dhaka

1, 20,000

5, 80,000

24, 00,000

4, 50,000

5, 00,000

20% 80%

4.5 million Worker (Posted by Kauser bhuiyan 28 April 2011)

2.04 million Worker

Sample Size: This study focuses on Dhaka area from high-contact garments industries in Bangladesh. We identified five area in Bangladesh (e.g., Dhaka, Narayanganj, Gazipur, Chittagong, Others/Subtotal Dhaka) and randomly selected some major garments from Dhaka area.

According to the term of References the survey should cover at list 8 garments and like total 0.25% worker active worker RMG sector in Dhaka in operate. There are 1, 20,000 worker work Dhaka RMG sector. Hence the sample size is 120,000 * 0.25% = 300.

As this research will be conducted by survey through interviews; it will not be possible to take a large sample because of limited time, money & man power. So the sample size will be not more than 300 RMG workers.

Our group focuses 300 employees because:

To contact the whole population would be time consuming: Our group visit garments factory and wish to determine garments employees satisfaction level. A sample researcher using the regular employees and field interviews of professional researcher just focus one or two days finish work clearly and deeply. By using the same staff interviews and working Seven days a week it would taken nearly spend many days to contact all the voting population.

The physical impossible of checking all items in the population: The population of garments employees satisfaction like salary, bonus, security, working hours, Appointment paper, Additional services, health care facility, working environment, technological support or other this situation we make estimated using various technique such as focus all garments employees level, facilities, or other services but this limitation time, garments permeation, employees proper understand and guideline to clearly finish survey paper. And main effect all employees are not interested to faces any interview because some worker not clearly understands what I am saying and why I am use interview.

Allocation of sample and calculations: The samples for the survey were selected using three stages stratified sampling scheme (proportional allocation). In the first stage the sample was selected representation according to the gender decimation RMG in Dhaka. Because Dhaka is Bangladesh hart of the city. This area many garments situation or this area garments worker most of all know this satisfaction level, life style, or other facility. At the time other area employees work garments sector but this people don’t clearly know how to involve mordant area and what are the satisfaction levels, facility or face any effects. Our country some time read any newspaper or TV this time show garments worker violent, company force sexual harassment and properly don’t provide any facility this time only Dhaka area employees are involve many kind of violence, block road and some time create many unpredictable work. But other area likes Chittagong garments area employees are not involve any violence’s.



Survey was conducted over Eight (8) RMG factory and average load was calculated over eight factories and almost eight factory in total average 25% worker meet and told many question.. However the worker satisfaction level, worker list of RMG sector calculated and all calculation were done in accordance with area. Also calculated Worker Salary like bonus, payment, gender decimation. Security like working hours, Appointment paper. Additional services like transportation, house facility, health care services. Working environment like working place, technological support, sufficient light fan ventilators etc.

Load of different items as above, were calculated from field survey data, study averaged 300 workers in work garments factory in Dhaka area.

Analysis:

Frequency distributions were obtained to check for data entry errors and to obtain descriptive

statistics. Data were then factor analyzed using principal components analysis with varimax

rotation. Factor analysis is a data reduction technique that allows grouping of variables under a

common theme or dimension (see figure 1). A rotated structure of some factors was expected

based on the four hypotheses. The four factors are Salary, Security, Working environment,

Addition services.

The final rotated solution with 20 items was retained. Four factors resulted from the final rotated

solution; each was easy to interpret and explained percent of the cumulative variation.

The four factors were Salary, Security, working environment and additional services. Each factor

was assessed for reliability using Cranach’s. The reliability coefficients (= 0.709) of these

four factors, along with the measures of credibility, exceeded the value of 0.5 recommended. To

assess the validity of the measures, the multiple items measuring each construct were further

factor analyzed. In each case, the items always loaded on one factor only, lending support to

their convergent validity. Thus, from the four hypotheses, we have tested all factors.



Salary:

1. Are you satisfied with your monthly salary?

2. Have you get your salary in due time?

3. Are you satisfied with your yearly increment?

4. In your garments are you face any gender discrimination?

5. Are you satisfying your occasional bonus?

Security:

1. Are you used your id card regularly?

2. Have you get any appointment letter which provided by your garments?

3. Are you satisfied with your overtime working payment?

4. Are you satisfied with your supervisor’s behavior?

5. Have you faced any sexual harassment in your factory?

6. As a woman have you get your family support for night shift?

7. Do you think your launce time break is sufficient for you?

Addition services:

1. Are you satisfied with your any transport support which provided by the company?

2. Is the company providing any housing facilities?

3. Are you satisfied your health care facilities?

4. Are you satisfied your training facilities which provided by your garments a before your

joining?

5. How much time are you getting maternal facility?

6. In your factory have you got any day care facility?



Working environment:

1. Your working places are appropriate for the work?

2. Are you satisfied your company technology support?

Figure 1: Measures of Variables in the Model Using 7-point Likert’ Scales

(Strongly agree 7 and strongly disagree 1)

T-test:

One-Sample Statistics

N Mean Std. DeviationStd. Error

MeanSalary 90 3.6044 1.34214 .14147environment 90 4.9167 2.09500 .22083Additional services 90 4.6500 3.24557 .34211Security 90 3.7873 1.08802 .11469

One-Sample Test

Test Value = 0



t dfSig. (2-tailed)

Mean Difference

95% Confidence Interval of the

Difference

Lower UpperSalary 25.478 89 .000 3.60444 3.3233 3.8855

environment 22.264 89 .000 4.91667 4.4779 5.3555

Additional services 13.592 89 .000 4.65000 3.9702 5.3298

Security 33.023 89 .000 3.78730 3.5594 4.0152

Conclusion : Employees’ satisfaction is the most power full part of increase productivity in any sector. It has

been seen that problems in labor satisfaction in Bangladesh ready-made garment sector Revolve

around a number of key issues that trace back to the essence employees’ satisfaction level or

other. Most Bangladeshi garment manufacturers have failed to see any causal connection between

labour satisfaction and productivity outcomes. As a consequence of their economic priorities,

many of them have become virulently anti-trade union, believing that trade unions would upset

Bangladesh’s low-wage employment structure, which is vital for maintaining. Workers’ limited

purchasing power and poor command over commodities define and shape their access to housing,

health and sanitation and transportation facilities. Lack of job security is compounded by low

wages, which in turn cause insecurity of life for women in urban areas. Still, garments employees

continue to work, and the reasons for this are open in the narratives. Most of the garments

workers are not properly satisfied but this people know just bear family financial and reduce

family problem but our survey and focus garments employees satisfaction level than see

garments employees don’t know labour law and other facility. This situation employees working

condition are very poor quality. Bangladesh garments factory don’t proper use any kind of

employees satisfaction or not properly mention working environment or other facility.



It is safe to assert, the study does not represent the perception of employees from other factory,

and this study provides the employees satisfaction level RMG sector in Bangladesh.

References:

Book:

Syeda Sharmin Absar, Problem Surrounding wages ready made garments sector in

Bangladesh.

Ricky.w.Griffin-management the leading process.

Centre for Policy Dialogue (CPD), Gender Dimension of Employment in the RMG

Sector Recent Evidence from the Field Survey.

Mohammad Salim Zahargier and Nimalathasan Balasundaram, Factors affecting

Employees’ Performance in Ready-Made Garments (RMGs) Sector in Chittagong,

Bangladesh.

Internet:



BGMEA, Yearly wise growth of Garment Factories in Bangladesh.

Wikipedia, the free encyclopedia October2010.

National Encyclopedia of Bangladesh, Hafiz GA Siddiqi.

The Financial Express VOL 18 NO 168 REGD NO DA 1589 Dhaka.

Abdus Salam Murshedy-RMG sector past present & future.

Labour and management in development journal volume 2, number 7.

M M Shahnewaz Kabir Shawon, Deeper look into RMG Sector of Bangladesh.

This article is brought to you by www.bdresearch.org, A View over Discrimination and

Harassment Situation of Daily Unskilled Female Workers in Work Place in Bangladesh.

National Council of Applied Economic Research, Impact of Globalization on Bangladesh

garments Workers: A Study with Cge Analysis.

Trade related assistance center (TRAC) American Chamber of commerce host workshop

Improving Labor Productivity in Egypt Ready-Made Garments Sector”

Pratima Paul-Majumder and Anwara Begum Bangladesh Institute of Development

Studies, the Gender Imbalances in the Export Oriented Garment Industry in Bangladesh.

5920-garment-workers-heroic-rebellion-in-dhaka-bangladesh_files.

Bangladesh-garment-workers-protest files.

Based-exemption-scheme-ssi-garments-clarifications-simplification_files.

Garments exporters, garments manufacturers, readymade garments _files



http://www.bdresearch.org/

http://en.wikipedia.org/wiki/The_Financial_Express

Level-of-job-satisfaction-h-r-final-project files.

Project-Report-on-Readymade-Garment-Shop-Special files.

Problems-and-Prospect-of-Garments-Industry-in-Bangladesh-and-the-Supportive-Policy-

Regime-Current-State-of-Affairs_files.

RMG sector-in-bangladesh_files.

Proposed to Shubhankar shil



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RMG Sector Employees Satisfaction Level