Bangladesh's economic engine runs on the tireless efforts of over seven crore workers. Yet, a staggering 85 percent of them (nearly six crore people) toil in the shadows—the vast, unregulated world of the informal sector. These are the rickshaw-pullers, tea vendors, labourers, domestic workers, salespersons and people employed in farming, catering, transport, and construction. They are the backbone of our economy, yet their contributions come at a steep price: their own vulnerability.

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Bangladesh’s ever-neglected working class

These informal workers lack even the basic protections afforded by the 2006 labour law, which means they essentially have no job security, work-hour limits, workplace safety, wage structure, workplace injury compensation or rehabilitation, retirement benefits, pension or maternity leave. Imagine facing injury on the job with no compensation, or losing a loved one with no support for your family, or being terminated from your job because you are pregnant, denied maternity leave or benefit. This is the harsh reality for millions.

Bangladesh's GDP and per capita income may have grown at an impressive rate over the past decade, but it has clearly failed to bring any meaningful changes to workers' lives.

Strikingly, the number of people in the informal sectors have increased by 26 percent since 2010, as per the data from Bangladesh Bureau of Statistics (BBS). This growth has been fuelled by a decline in formal sector opportunities, pushing many towards informality and in turn precarity. Bangladesh's GDP and per capita income may have grown at an impressive rate over the past decade, but it has clearly failed to bring any meaningful changes to workers' lives. As the country looks to graduate out of the Least Developed Country (LDC) status in 2026, it must address the glaring lack of rights of informal workers and take urgent steps to bring them under a more formalised structure, beginning with establishing a national minimum wage and ensuring a system for appointment letters.

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No progress without workers’ inclusion

Our labour ministry and relevant departments are currently struggling to monitor and ensure the rights of the 15 percent in the formal sector. Under the circumstances, their roles and capacities must be redefined and strengthened significantly if we are to expect them to address the pressing concerns of the vast majority of Bangladesh's workers. The informal sector is not a burden; it is the lifeblood of Bangladesh's economy. Recognising this reality demands a paradigm shift. It's high time we brought these invisible contributors into light and ensured they are not just the engine of our growth, but also its valued beneficiaries.