Globalization In Bangladesh Case Study

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Register to read the introduction… It is estimated that near about 7 thousand big and medium size industries closed down as an impact of globalization. In Bangladesh near about 2 million people lost their employment due to closure of industries (IBM repot, 2005. Most of the privatization and closure of industries resulted in huge retrenchment. Fall in the aggregate demand for labor has accelerated declination of wage. Real wage declined due inflation and currency market deregulation. Also there is a decreased in number of working people under permanent contracts of employment. Non-traditional forms of employment including part time, casual and contract labor, homework and migratory work increased. Casualization of workers in the private sector resulted in deprivation of provident fund, gratuity, normal working days and hours, group insurance, leave, pension and above all job security. Numerical functional flexibility in labor market increased, increased of out sourcing of work, and increased irregular payment. In the name of competition workers are forced to work overtime. Minimum wages of the workers in the private sector are not …show more content…
3. Constitutional Constraints

In conformity with the worldwide trend, Bangladesh is also, from the end of 1970s, pursuing the private sector-led production, distribution, and creation of wealth, but it is not absolutely clear what is the constitutional mandate. The Preamble of the Bangladesh Constitution (second para) pledges “Socialism -- meaning economic of social justice” and again in the third para it pledges “a socialist society, free from exploitations.” In addition, Article 13 of the Constitution deals with principle of ownership which states:

“The people shall own or control the instruments and means of production and distribution, and with this end in view ownership shall assume the following forms:

a) State ownership, that is, ownership by the State on behalf of the people through the creation of an efficient and dynamic nationalized public sector embracing the key sectors of the
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The sector embarked upon a Financial Sector Reform Program in the 1990s which primarily aimed at entrusting additional powers to the central bank by strengthening efficacy of its instruments. The next generation private banks, which came in early and mid 90s performed better, with higher paid up capital, improved technology, better management and innovative products to satisfy market demand. A gradual shift from classical to demand economics was witnessed with the advent of a new generation of banks early this century. These banks stress on innovating new products adjusting to customers’ needs and targeting growth via corporate, SME, retail and credit card operation under a diversified risk profile. The issues that remain unmet by most banks in the country are: compliance to core risk and prudent capital

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