To contain the COVID-19 outbreak, the government had put the country under lockdown from March 29 to May 30. Salary under the government's stimulus package was disbursed by RMG factories for four months from April to July 2020.
Despite the high benefits such as decreased payroll processing costs and lost worker production time and enhanced security associated with digital payments, factories are switching back to cash payments, said the survey report ‘Factory Wage Digitisation Trends’.
The survey was conducted by the Microfinance Opportunities in Bangladesh in collaboration with the South Asian Network of Economic Modeling (SANEM).
RMG factory owners are reverting back to cash mode of salary disbursement as the benefits of digitisation are not readily apparent, SANEM said in a statement.
Fibre2Fashion News Desk (RKS)