Around 40% of Bangladesh’s workforce is facing potential disruption due to automation and artificial intelligence, posing challenges to the country’s labor-intensive manufacturing sector and job security, as per a report by The Daily Star. The report highlights the shift towards automation and digital production systems, impacting the traditional export-led growth model.
Moreover, there is a growing concern over the rise of high-value services that often lack adequate social protection measures. This shift is occurring amidst a significant portion of the workforce being engaged in insecure or informal employment, with vulnerable groups like young people, women, and individuals with disabilities at higher risk of job displacement and limited access to retraining opportunities.
The report emphasizes that as Bangladesh nears its LDC graduation, the competitive pressures in export sectors, particularly in the ready-made garments industry, are expected to increase. The withdrawal of preferential trade access could further accelerate the adoption of automation and higher-productivity production methods, potentially leading to job losses.
According to official labor data cited in the report, Bangladesh witnessed a loss of nearly 1.3 million jobs in 2024, with women bearing the brunt of about 90% of these job losses. The ready-made garments sector, in particular, faces significant disruption from automation, with projections indicating that up to 60% of female jobs in the sector could vanish by 2041 if current trends persist.
The report points out that existing policy measures in Bangladesh are inadequate in addressing the challenges posed by automation, AI, the Fourth Industrial Revolution (4IR), and Technical and Vocational Education and Training (TVET) reforms. There is a critical need to integrate these challenges into sector-specific transition strategies and workforce adaptation mechanisms to mitigate the impact on employment.
Highlighting the shortcomings in the current skills development framework, the report suggests a revamp of the Technical and Vocational Education and Training (TVET) system to be more industry-driven and outcome-oriented. It recommends closer collaboration with employers to tailor training programs, expand apprenticeships, and align skill development initiatives with the evolving needs of industries and international labor markets.
