Bangladesh’s textile and apparel industry is experiencing rapid automation, boosting output while reducing employment. This shift mirrors global trends where industrial automation and digital manufacturing transform production models.
Global Shift from Labour-Intensive to Capital-Intensive Manufacturing
The global textile and apparel sector is valued near $2 trillion and employs tens of millions. Automation, robotics, and digital systems are spreading beyond advanced economies to hubs in Bangladesh, Vietnam, China, and Indonesia. Manufacturers adopt automated cutting, knitting, dyeing, finishing, and even sewing systems to increase efficiency.
Author Insight: Factory automation, including PLCs and control systems, enhances productivity, quality, and consistency, but reduces demand for repetitive manual labor.
Automation Drives Productivity but Reduces Jobs
Industry studies suggest 65–90% of textile tasks are technically automatable. Automation allows one operator to manage multiple machines, increasing output four to five times. Bangladesh’s garment exports rose from $12.5 billion to $40 billion in a decade, yet employment fell by 1.4 million jobs between 2013 and 2023.
Expert Note: These trends demonstrate that automation improves operational efficiency but creates a structural employment gap, particularly in labor-intensive sectors.
Factory-Level Impacts of Industrial Automation
Automated knitting, denim processing, and garment finishing dramatically reduce workforce requirements. For example, a denim production line now operates with half the workers compared to five years ago. Automation ensures consistent quality and speed but displaces low-skill labor.
Author Insight: Industrial automation and control systems, including advanced DCS and PLCs, are key to achieving high throughput in export-oriented factories.
Cost Pressures and Compliance Accelerate Automation
Rising wages, statutory benefits, and compliance obligations increase labor costs. Manufacturers adopt automation to maintain predictable operations and avoid production disruptions from labor issues. Automation responds to buyer demands for speed, traceability, and accuracy rather than directly targeting job reductions.
Expert Note: Factory automation provides operational resilience, which becomes critical as compliance and supply chain expectations tighten globally.
Additional Factors Behind Job Losses
Energy shortages, financial stress, and operational bottlenecks also reduce employment opportunities. Even fully automated machinery remains underutilized if energy supply or capital investment is unreliable. These factors compound the impact of automation on workforce displacement.
Author Insight: A holistic approach combining automation with infrastructure and energy investment is necessary to stabilize employment while improving productivity.
Skills Gap and Workforce Transformation
Automation shifts demand from low-skill helpers to machine operators, technicians, and maintenance specialists. Structured reskilling and multi-skilling programs are critical for enabling workers to operate modern automated systems.
Expert Note: Industrial automation adoption must include workforce development to ensure long-term operational sustainability.
Bangladesh’s Concentrated Industrial Base Amplifies Employment Risks
Heavy reliance on ready-made garments, which constitute over one-third of manufacturing output and 85% of exports, intensifies the impact of automation on employment. Productivity gains in this single sector directly translate to labor displacement without alternative industries to absorb displaced workers.
Author Insight: Diversification into electronics, footwear, or machinery manufacturing could mitigate job losses caused by automation in garments.
Global Comparison: Lessons from Vietnam
Vietnam’s diversified manufacturing base and foreign investment provide alternative employment channels. Automation changes job roles rather than eliminating them entirely. Bangladesh’s slower diversification limits its ability to offset job displacement within the textile sector.
Author Insight: Industrial automation should be accompanied by policy and investment strategies to create new industries and skills pathways.
Policy Implications for Bangladesh
Automation is inevitable and critical for competitiveness. However, unmanaged adoption risks entrenching jobless growth. Policymakers should encourage industrial diversification, workforce reskilling, and strategic investments to balance productivity gains with employment sustainability.
Author Insight: Combining factory automation, PLC/DCS integration, and industrial policy is essential to achieve both productivity and inclusive economic growth.
Practical Applications and Solution Scenarios
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Smart Factories: Integration of PLCs, DCS, and robotic systems to boost textile output efficiently
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Workforce Development: Reskilling programs for operators, maintenance technicians, and automation specialists
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Process Optimization: Automated knitting, sewing, and finishing lines for higher throughput and quality
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Diversification Strategies: Encourage investment in electronics, footwear, and machinery manufacturing to absorb displaced labor