Economists and stakeholders said structural issues of domestic labour market, slow technological advancement, skill gap between employment and academia, lack of soft and interpersonal skills, and decent working environment are hurting the country's labour market recovery.
Growing youth unemployment, lack of quality education in both rural and urban areas, and poor export diversification are worsening the labour market situation, thus affecting the country's economy, they added.
Keeping these in view, they called for strengthening the labour market-related institutions, overhauling the country's vocational and polytechnic education system, adopting modern technology and machinery in agricultural sector, ensuring labour rights, enabling decent working environment, and formalising labour sector.
Their suggestions and remarks were made at a dialogue session - "Labour Market Recovery in Bangladesh: Prospects amid the Global Recession" at an auditorium on Dhaka University (DU) campus on Thursday.
Economics Study Centre (ESC) of DU organised the eighth dialogue.
The programme was moderated by Dr. Selim Raihan, Professor, Department of Economics, DU, and Executive Director, SANEM.
The panellists were Dr. Fahmida Khatun, Executive Director of Centre for Policy Dialogue (CPD); Dr. Sayema Haque Bidisha, Professor, Department of Economics, DU, and Research Director SANEM; Bijon Islam, Co-founder and CEO, LightCastle Partners; and Mohammad Nazmul Avi Hossain, Programme Officer, ILO.
Dr. Fahmida Khatun said, "During the Covid-19 pandemic, commerce sector flourished, and it created a good number of jobs as well. There's always a silver lining, and we should see every challenge as an opportunity."
Taking measures to combat sudden supply-side disruption can be really helpful. At the same time, establishing a skilled and properly trained labour force would help to secure more jobs abroad.
She opined that caregiving in the healthcare sector is one of the budding industries where the country can focus on.
She hoped that the government would take necessary measures and provide incentives to motivate people to opt for unconventional working sectors.
Dr. Sayema Haque Bidisha mentioned that the new macro- and micro-economic challenges are making the current labour market scenario more complicated.
She also stressed the issue of decent working opportunities and conditions. From minimum wage to basic labour rights - all are important. Skill gap in the labour market is another major challenge.
"Most importantly, we need to make futuristic policies and ensure that inflation will be under control, as it creates problems in all aspects of the economy."
"Besides, we will eventually come up with policies that will solve the structural issues of our labour market," she hoped.
Bijon Islam said the ongoing global tension and the Covid-19 pandemic have made all the countries more concerned over their economies.
He also mentioned that technical advancements have a great role to play in the labour market as well.
Bangladesh is still largely dependent on import - mostly of machinery and vehicles, he added.
Mohammad Nazmul Avi Hossain primarily mentioned the Covid-19 pandemic as one of the major shocks to the labour market. He also highlighted the Ukraine-Russia war as another key issue.
"On top of these, our LDC graduation will surely have some impact on the labour market."
He focused on the German reporting system on human rights that ensures the factories' labour rights condition, and how it has been helpful for their labour market.
Moreover, he mentioned about workers who are in vulnerable positions, increasing youth participation, and creating more job opportunities - all of which need a holistic support from academia and the government.
Dr. Raihan noted the significant points that were discussed throughout the session and gave an overall summary.
