The UN Capital Development Fund (UNCDF) together with wagely and a consortium of Quizrr and Ulula have committed $556,000 toimprove the financial and digital inclusion of garment workers in Bangladesh.
Through this commitment, UNCDF will provide performance-based grants and technical assistance. The technical assistance will include mentorship for partners on human-centric product design, client outreach with a focus on women, partnerships, data analytics and reporting support.
“UNCDF is proud to partner with wagely and Quizrr and Ulula to improve livelihoods, particularly for women, and sustainability in the ready-made garment sector in Bangladesh through digitalization, following the devastating impact the pandemic has had on the sector with some $3 billion worth of cancelled orders in 2020-2021,” said Maria Perdomo, Regional Coordinator in Asia for UNCDF.
Tobias Fischer, CEO of wagely said, with UNCDF’s support, wagely will accelerate its ‘Earned Wage Access’ service in Bangladesh, which allows employees to receive accrued wages before payday, and is proven to increase productivity and retention of employees.
“In addition, wagely will introduce additional financial wellness solutions, in particular for female workers, helping ready-made garment workers reach financial resilience and inclusion,” says Tobias.
In Bangladesh, the ready-made garment manufacturing sector employs more than 4 million people, of whom 2.5 million are women. Following the devastating impact of the ongoing COVID-19 crisis during 2020-2021, the sector is now recovering, with opportunities to improve Environmental, Social and Governance sustainability to strengthen the sector’s competitiveness, growth and potential for further investment.
Utilizing digital services has the potential to accelerate these opportunities and improve thedecency of work and livelihoods of people employed in the sector.