GARMENT WORKERS PROTESTS ERUPT IN VIOLENCE

C O N F I D E N T I A L SECTION 01 OF 03 DHAKA 003002

SIPDIS

SIPDIS

STATE FOR SCA, INR

E.O. 12958: DECL: 05/23/2016
TAGS: PGOV ELAB ECON ASEC BG
SUBJECT: GARMENT WORKERS PROTESTS ERUPT IN VIOLENCE

Classified By: Amb. Patricia Butenis; reason 1.4(d)


1. (U) Summary: Garment worker protests at a Savar
factory May 22 quickly spilled over to other factories and
then into the Dhaka Export Processing Zone (DEPZ). Police
were slow to respond, but had the situation under control by
late afternoon. Reports indicate one death, several injuries
and significant property damage outside DEPZ. Protests
continued on May 23 with several thousand garment workers
from factories in the band from north Dhaka near Zia
International Airport to Savar reportedly turning to the
streets, blocking major roads. There were scattered reports
of violence and property damage. Order was restored by 1600
local. No disturbances are reported in Chittagong.


2. (U) The Prime Minister departed on a scheduled trip for
the UAE on May 23 after a brief delay. State Minister for
Home Affairs Babar may cancel his May 24 trip to the U.S.
Post personnel are restricted to the diplomatic zone but
there is no immediate threat to post facilities or
residences. The post EAC meeting is reported septel. End
summary.

Wage Protest Sparks Violence
--------------


3. (U) Garment workers protested outside their factory on
May 22 demanding payment of back wages and improved working
conditions. The protest was the latest escalation of a
dispute that apparently had simmered for weeks. Scattered
violence quickly got out of hand and spilled over to the
adjacent factory, and then to other factories in the area as
workers urged their colleagues to join the street protest.
By mid-morning, protesters had blocked the two main roads in
the area and spilled into the nearby Dhaka Export Processing
Zone (DEPZ).


4. (SBU) Police were slow to respond, but had the
situation under control by late afternoon. Reports indicate
one death and several injuries. Three factories outside the
DEPZ were burned, including a Korean owned factory that
burned to the ground. Within the zone, protesters smashed
vehicles, set small fires at two factories, and broke windows
and damaged offices at several other factories, including a
U.S. owned factory (Paxar www.paxar.com) located just inside
one of the entrances to the zone. The factory apparently was
a target of opportunity. The general manager does not
believe it was attacked because of its U.S. ownership. No
Americans were present in the factory.


5. (SBU) Bangladesh Export Processing Zone Authority
(BEPZA) officials were caught off guard by the attack on the
DEPZ. During the violence, the GM of the Paxar factory
called econoff to report on events. He also met with econoff
on May 23. He said his initial calls to DEPZ and BEPZA
authorities had produced no visible police response. Even as
protestors were approaching the DEPZ, no steps were taken to
close access gates, officials apparently naively assuming
that protestors would observe past practices and not enter
the DEPZ grounds. Once police arrived in sufficient numbers
nearly six hours after the initial protests, they were
quickly able to bring the situation under control.

Protests Spread to Dhaka
--------------


6. (U) Protests continued on May 23 with several thousand
garment workers from factories in the band from north Dhaka
to Savar reportedly turning to the streets, blocking major
roads. By mid-morning, demonstrators had gathered in Mirpur,
Uttarkhan (north of the airport) and Tongi. There are
scattered reports of violence, including ransacking of
businesses and arson. The Bangladesh Garment Manufacturers
Association (BGMEA) reports protestors have set fire to at
least one factory in Asulia. There are also reports of fires
and violence at factories in the Tejgaon Commercial Area,
located just outside the southern end (Gulshan 1) of the
diplomatic zone. One factory owner and former president of
the BGMEA estimates over 200 factories have been damaged
since the protests began. As of 1600 local, officials
reported calm had been restored.


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Chittagong Remains Calm
--------------


7. (U) Investors in Chittagong report the city remains
calm. One incident on May 23 was quickly defused.
Additional police have been deployed around the Chittagong
EPZ and operations are normal within the zone.

Government Response Mixed
--------------


8. (SBU) The BDG has turned out police, the Rapid Action
Battalion (RAB) and the Bangladesh Rifles (BDR) to deal with
the protests and had restored order by 1600 local. Paxar's
GM said he observed police and the BDR deployed outside the
DEPZ, and said there has been no further violence in the
zone.


9. (U) Prime Minister Zia delayed her scheduled departure
to the UAE by two hours so she could consult with senior
government officials. State Minister for Home Affairs
Lutfozzaman Babar told us late May 23 he may have to postpone
his May 24 trip to the U.S. in order to deal with events.
For now, the BDG has resisted calls to deploy the military.

Labor Leaders Arrested
--------------


10. (SBU) Police and the RAB have reportedly picked up
organizers of several of Solidarity Center's labor NGO
partners. David Welch, in his first day as Solidarity
Center's Bangladesh Director, told econ officer three members
of its partner BIGUF (including the janitor) were arrested
the morning of May 23 and are being held without bail. He
also said RAB officers have been seen walking past
Solidarity's office several times today. Organizers of two
other Solidarity Center partners (NGWF and BCWS) were also
picked up.

Opposition Calls for Calm
--------------


11. (C) AL Organizing Secretary Aktaruzzaman told polfsn
that AL activists were not part of the demonstrations. AL's
Joint General Secretary Mukul Bose told polfsn that his party
is not officially involved in the worker's demonstrations but
certainly AL members are likely participating in them. DCM
spoke with AL Presidium member Kazi Zafarullah late May 23 to
urge Sheik Hasina to issue an explicit call for calm.
Zafarullah said the AL leadership was meeting tonight to
discuss its response over the next few days. Zafarullah also
said the AL was not active in the demonstrations and had been
working with AL factory owners behind the scenes to calm the
situation down.

BGMEA and Investors Nervous
--------------


12. (U) BGMEA is demanding swift government action, urging
the government to call out the military to restore order.
They are demanding compensation to factory owners and
threatening to shut down the industry unless order is
restored by nightfall. They will meet with the Home Minister
and the Minister for Local Government, Rural Development and
Development on May 23. BEPZA was meeting with investors from
Dhaka and Chittagong to assure them the EPZs would be kept
secure.

Demands and Causes Unclear
--------------


13. (U) No one seems to have a clear idea what is behind
the protests. No coherent demands have emerged and the
protests have spread beyond the garment industry to factories
in general. Indications are that the protests have formed
spontaneously and not in response to organized political or
labor agitation. Most eye witnesses report the crowds move
from factory to factory, growing as workers are encouraged to
come out and join the demonstrations. Television footage
reveals an almost festive atmosphere, with protestors
laughing and posing for the cameras. While the original
spark may have been wage demands at a particular factory, the

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violence quickly became indiscriminate.


14. (U) Theories and rumors abound. BGMEA, its senior
leadership in the U.S., has been disorganized, blaming
everything from "outside influences and competitors" to
"political forces out to destroy the industry." Some
speculate that frustration over frequent power outages, water
shortages, and price hikes for essentials has finally spilled
over into civil protests. Others see an emerging populist
anger at growing income disparities, represented by factory
owners. Some or all of these factors could be in play, but
it is doubtful even the protestors themselves know at this
point.
BUTENIS