Bangladesh: Job creation and economic diversification remains top priority for government, employers and workers in 2025

DHAKA (ILO News) - The urgent need to increase job opportunities and diversify the economy featured strongly in the 6th meeting of the tripartite Steering Committee of the Bangladesh Decent Work Country Programme (DWCP) held at the Department of Labour, Ministry of Labour and Employment.

Members of the Steering Committee drawn from the Ministry of Labour and Employment, workers’ and employers’ organizations and other representatives from sectoral ministries emphasized the need to grow the supply of jobs for the country’s large and growing labour force.

According to ILOSTAT, Bangladesh has a labour force of 71 million with a labour participation rate of 49.5 percent. Youth unemployment is estimated as 16.8 per cent with 14.8% male and 22.7% female while the share of youth not in employment, education or training is 30.9 per cent with 11.1 % male and 49.3% female.

“There is need to review the National Employment Policy 2022 to strengthen the link between skills development on the one hand, and active job creation on the other, especially in light of the changes we are witnessing in the world such as climate-induced displacement and migration,” said Labour Secretary, A H M Shafiquzzaman.

There was consensus on the need to focus programming on youth employment and enterprise development to address the high rates of un- and underemployment among the youth to produce quality jobs and self–employment opportunities.

“For many young people today, it is extremely hard for them to find a job, many working part-time, freelance jobs in the informal economy without contracts or social protection benefits. This is fuelling dissatisfaction and discontent over unfulfilled aspirations,” said Tuomo Poutiainen, ILO’s Country Director in Bangladesh.

Some of the ways identified for addressing youth unemployment included increasing awareness and expanding outreach and coverage of talent partnerships with countries hosting Bangladeshi migrant workers, through bilateral agreements that will increase opportunities for skilled migration. These agreements would also address skills harmonization, mutual skills recognition and upskilling for faster, smoother and fairer integration into new job markets. 

The DWCP Steering Committee meeting, which takes place twice year, was held on 25 February and chaired by the Secretary, Ministry of Labour and Employment. Present were representatives of the Bangladesh Employers’ Federation (BEF), the National Coordination Council for Workers’ Education (NCCWE).  

Participants also stressed the need for a coordinated, synergistic whole-of-Government and whole-of-society approach to promoting decent jobs opportunities for Bangladeshi workers. For the first time, representatives from other line ministries key to employment and skills development were also in attendance following a recommendation of the last DWCP Steering Committee meeting held in 2024. 

Employers’ and workers’ organizations emphasized the importance of broad-based consultations on labour administration and governance issues such as migration, labour law amendments, and overall labour sector reforms. 

The rights of migrant workers and ensuring decent work for them at the destination countries through bilateral agreement was strongly emphasized.

Other key issues identified for ILO to provide technical leadership included the need to transition the country’s massive informal sector, which accounts for around 85 percent of employment in the country, into a thriving, job-rich, commercially viable formal economic sector complete with comprehensive social protection benefits for workers. 

The ILO was also asked to provide guidance on climate change-induced decent work challenges such as heat stress, flood displacement, air and environmental pollution that are forcing more and more workers to migrate internally and internationally.