Report on Labour Force Contraction in Bangladesh and Implications for Sustainable Development Goals (SDGs)

Executive Summary

• A 2024 Labour Force Survey by the BBS indicates Bangladesh’s total labour force contracted by 1.7 million people from the previous year, marking the first such decline since 2010.
• The reduction is overwhelmingly attributed to a sharp decrease in female labour participation, which fell by 1.6 million.
• This trend presents a significant challenge to the nation’s progress towards key Sustainable Development Goals (SDGs), particularly SDG 5 (Gender Equality) and SDG 8 (Decent Work and Economic Growth).

Statistical Overview of Labour Force Changes (2023-2024)

• Total Labour Force: Decreased from 73.4 million in 2023 to 71.7 million in 2024.
• Male Participation: Remained largely stable, with a minor decrease from 48.1 million to 48.0 million.
• Female Participation: Experienced a significant decline from 25.3 million to 23.7 million, reversing a long-term growth trend observed from 2010 to 2023.

Analysis of Factors Impacting Female Labour Participation and SDG Alignment

Several interconnected factors contribute to the decline in women’s workforce participation, each with direct implications for achieving the SDGs.

1. Structural Transformation and Job Creation (SDG 8 & 9): The economy’s structural shift away from agriculture is not translating into sufficient job creation in other sectors. This weakness in generating employment disproportionately impacts women, undermining SDG 8’s goal of full and productive employment.
2. Sector-Specific Challenges (SDG 8): Shrinking employment opportunities in manufacturing and increased automation in the female-dominated garment industry are reducing available roles. This directly impedes progress on creating decent work for all.
3. Barriers for Educated Women (SDG 5 & 8): A significant mismatch exists between the skills of educated women and the availability of suitable jobs. This points to a failure in creating higher-value, decent work that aligns with advancing educational attainment.
4. Inadequate Supportive Infrastructure (SDG 5): The absence of essential infrastructure, most notably accessible and affordable childcare facilities, creates a substantial barrier for women, hindering their ability to participate equally in the economy as targeted by SDG 5.
5. Constraints on Female Entrepreneurship (SDG 5): Women face systemic barriers to entrepreneurship, including a lack of access to capital, markets, and information. This limits their economic empowerment and obstructs a key pathway to achieving gender equality.

Conclusion: Setbacks for Sustainable Development

• SDG 5 (Gender Equality): The sharp drop in female labour participation represents a direct reversal of progress towards women’s economic empowerment and full participation in public life.
• SDG 8 (Decent Work and Economic Growth): The overall labour force contraction and the specific challenges faced by women signal a failure to promote inclusive and sustainable economic growth and provide decent work for all citizens.
• SDG 10 (Reduced Inequalities): The trend is likely to widen gender-based economic inequalities, working against the goal of reducing inequality within the country.

Analysis of SDGs, Targets, and Indicators

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 5: Gender Equality
• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation, and Infrastructure
• SDG 10: Reduced Inequalities

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 5: Gender Equality
   • Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership in political, economic and public life. The article directly addresses this by highlighting the sharp decline in female labour force participation in Bangladesh, from 2.53 crore in 2023 to 2.37 crore in 2024, indicating a setback in women’s economic participation.
2. SDG 8: Decent Work and Economic Growth
   • Target 8.3: Promote development-oriented policies that support productive activities, decent job creation, entrepreneurship, creativity and innovation. The article points to a failure in this area, stating, “If job creation is weak, women’s participation also suffers,” and notes that “women’s participation as entrepreneurs is limited due to barriers such as a lack of capital, market access, and information.”
   • Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men… and equal pay for work of equal value. The article’s central theme is the contraction of the labour force, particularly for women, due to shrinking employment opportunities, especially in manufacturing. This shows a move away from, rather than towards, full and productive employment for women.
3. SDG 9: Industry, Innovation, and Infrastructure
   • Target 9.1: Develop quality, reliable, sustainable and resilient infrastructure… to support economic development and human well-being. The article explicitly mentions the “absence of supportive infrastructure such as childcare facilities” as a key barrier preventing women with higher education from joining or remaining in the workforce.
4. SDG 10: Reduced Inequalities
   • Target 10.2: By 2030, empower and promote the social, economic and political inclusion of all, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status. The sharp fall in female labour participation while male participation remains “largely unchanged” signifies a growing gender gap in economic inclusion, which is a core concern of this target.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. Female Labour Force Participation Rate: The article provides absolute numbers for female participation (2.37 crore in 2024, down from 2.53 crore in 2023). This data is a direct measure for SDG Target 5.5 and can be used to calculate the participation rate, which is a key indicator of women’s economic inclusion.
2. Total Labour Force Size by Gender: The report cites the total labour force shrinking from 7.34 crore to 7.17 crore and provides a breakdown for male (4.8 crore) and female (2.37 crore) participants. This data serves as an indicator for SDG Target 8.5, helping to measure overall employment trends and gender disparities within the workforce.
3. Availability of Supportive Infrastructure: The article implies an indicator by mentioning the “absence of supportive infrastructure such as childcare facilities.” The presence, accessibility, and affordability of such facilities can be measured to track progress towards SDG Target 9.1, as it is identified as a critical factor for women’s employment.
4. Number of Female Entrepreneurs: The article states that “women’s participation as entrepreneurs is limited.” The number or proportion of businesses owned or run by women would be a direct indicator to measure progress on creating an enabling environment for entrepreneurship under SDG Target 8.3.

4. SDGs, Targets and Indicators Table

Source: business-humanrights.org