Despite steady industrial expansion in Bangladesh, job creation has not kept pace, raising concerns among economic experts and development professionals. According to Dr.Khondaker Golam Moazzem, Research Director at the Centre for Policy Dialogue (CPD), while the country’s manufacturing sector has shown consistent growth in recent years, this progress has not resulted in proportional employment opportunities. During a recent CPD dialogue titled “Labour Market Recovery: Trends and Priorities”, Dr.Moazzem emphasized that the industrial sector—particularly manufacturing—has become more capital-intensive. As companies automate more processes, they rely less on manual labor, which limits the number of new jobs being generated. This trend is especially notable in key sectors like garments and textiles, which have traditionally been large employers. The dialogue further revealed that although employment levels have somewhat recovered since the COVID-19 pandemic, the quality and security of these jobs remain low. Many workers remain in the informal economy, where they lack access to social protection, job security, and consistent income. Women and youth are particularly affected, facing higher barriers to entry and limited upward mobility in the workforce. Dr.Moazzem called for policies that better align industrial growth with employment goals. “We need a shift towards labor-friendly industries and a stronger focus on skills development,” he noted. Emphasizing the role of small and medium enterprises (SMEs), he suggested that policies should support sectors that are both labor-absorbing and competitive. CPD’s findings also highlighted mismatches between education and job market needs. Despite a rise in the number of university graduates, many young people still struggle to find employment due to a lack of practical and technical skills. In response, experts recommended revamping vocational and technical training programs to meet industry demand. In addition, the conversation highlighted how crucial it is to make decisions based on data. Strengthening labor market surveys and data collection would help policymakers identify emerging trends and respond more effectively. There was also a call for greater investment in gender-inclusive policies and digital literacy to prepare workers for the evolving industrial landscape. While Bangladesh’s growth story remains impressive, the challenge now lies in making that growth more inclusive. By promoting labor-intensive industries, bridging the skills gap, and improving job quality, the country can ensure that its industrial progress benefits a wider segment of the population.
