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Labor Exploitation at BAT’s Kushtia Factory; Unlawful Dismissals and Deprivation of Rights
August 17, 2025
Labor Exploitation at BAT’s Kushtia Factory; Unlawful Dismissals and Deprivation of Rights

Seasonal Factory Status:    Since 2007, BAT has declared its Kushtia factory as seasonal, which meant it could legally operate for just 125 days per year. However, the company has been running the factory year-round, violating this seasonal classification. This practice led to unlawful dismissals of workers who were kept in seasonal roles without compensation.

Dismissals and Denied Compensation: In 2008, 208 workers were unlawfully dismissed without receiving proper compensation after BAT reclassified the factory as seasonal. The company failed to pay them for their work, leading to long-standing disputes over their dues. Workers who were dismissed in 2007-2012 have filed legal cases to receive their wages, and despite a court ruling in their favor, they are still waiting for the full amount to be paid.

Testimonies of Workers: Workers shared heartbreaking accounts of poverty and exploitation:

Many workers claimed they were denied their rightful dues for several years. Soharab Mondal, a worker who worked for 30 years at BAT, was among those dismissed in 2008. He and others have been deprived of their wages and benefits, and have been struggling for compensation since.

Unpaid Claims:  In October 2024, the Khulna Labor Court ruled that BAT must pay 25% interest on the wages owed to workers from the period between 2008 and 2012. However, BAT has appealed the decision in the High Court, further delaying the workers’ right to compensation.

Additional Dismissals: In 2023, 16 seasonal workers were unjustly dismissed, and BAT continued to refuse to reinstate them or pay their outstanding dues. The workers tried to use legal means to force BAT to comply, but the company has yet to respond to a government order for their reinstatement.

Government Action and Resistance:

Ministry of Labor’s Intervention:  The Ministry of Labor and Employment intervened to facilitate a tripartite meeting on October 16, 2024, where it was decided that the dismissed workers should be reinstated. However, BAT refused to comply, and sent a letter to the Kushtia Labor Inspector, citing they couldn’t implement the reinstatement at the time.

A.H.M. Safiquzzaman, Secretary at the Ministry of Labor and Employment, emphasized that workers’ rights are paramount, regardless of the company’s financial standing. He stated that BAT’s tax payments and other contributions were irrelevant if the company was not adhering to labor laws.

Conclusions & Remaining Issues:

BAT’s Systematic Violations: The company’s pattern of avoiding legal compliance is not limited to one or two incidents. It is part of a larger systemic issue of violating labor laws, misclassifying factories to avoid legal obligations, and depriving workers of their fair wages and rights.

Government and Worker Response: Workers are fighting for their rights through the legal system and through public outcry, but their claims are being delayed and ignored by BAT. Government authorities are putting pressure on BAT to comply with labor regulations, but the company’s continued resistance shows that there is a long way to go in securing justice for these workers.

Current Status:  BAT has been accused of operating illegally and exploiting its workers, but the company is showing little to no willingness to comply with labor regulations, despite government oversight and legal action.

Unanswered Questions: Will BAT be held accountable for its systemic labor violations and its failure to reinstate dismissed workers? Can the government successfully enforce its labor laws on such a large multinational corporation?