INDEPENDENT UNIVERSITY, BANGLADESH

Assignment On
“Ratio Analysis on Food Industry Company In Bangladesh”
Course Title: Financial Management
Course ID: MBA 511
Section:

Submitted To

Dr. SamiulParvez Ahmed

Associate Professor
School of Business
INDEPENDENT UNIVERSITY, BANGLADESH

Submitted By

NAME ID

Date of Report Submission:

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 Letter of Transmittal
8th January 2021
Dr. Samiul Parvez Ahmed
Associate Professor,
School of Business
Independent University, Bangladesh
Subject: Submission of Project Report on Ratio Analysis of three company of food industry.

Dear Sir,
It is my great pleasure that I am going to submit the report on “Financial statement
analysis through ratio analysis”

We have tried our best to follow the guidelines you had prescribed me to create our project
report. We believe, the information we have collected, are the most important and necessary to
know about the food products industry of Bangladesh and it had made our report more specific
and coherent. We have prepared this report with full determination and sincerity to make it a
success. Throughout our research and analysis on companies, we have continuously explored
several ideas and used our practical knowledge from MBA511 course to complete the report.
We enjoyed a lot the challenges of preparing the report because it has given us, an opportunity to
increase our understanding about the food industry.

We are thankful to you for your guidance during the preparation of this report. We will be
grateful to you if you accept the report and all of your support in this regard will be highly
appreciated.

Sincerely yours,
…………….
Independent University, Bangladesh (IUB)

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Acknowledgement

At the beginning of my report, I would love to express my gratitude to Almighty Allah after that
we would like to express our gratitude to our respected faculty, Dr. Samiul Parvez Ahmed,,
School of Business and Economics, .Independent University of Bangladesh , whose guidance,
support and direction provided me the ability to finish such a long report.

We would like to thank Independent University, Bangladesh (IUB) for planning such a course
that gave us the chance to gather practical knowledge about what we have learned in 03 months.
The knowledge we gathered throughout the course would help us to develop our future career.
It was a great opportunity for me to get an opportunity to work on the food and beverage industry
of Bangladesh which is such an important sector of Bangladesh economy.

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 Table of Content

Serial Content Page

Number number
1. Title page 1-3
2. Executive Summary and report source 5-7
3. Overview of the organization 8-12
4. Labor Law of AFBL 13-17
Condition of service and employment of AFBL
Duties of employees
Duties of employers
5. Compensation policy of AFBL 18-20
Salary
Bonus
Provident Fund & Gratuity
Allowance
Earn Leave
Retrenchment
6. Disciplinary power 21-22
Termination of employment by employers otherwise
than by dismissal
7. Employment of adolescent 23-26
Working hours for adolescent
8. Health and Hygiene 26-28
9. Safety
10. Health and safety programs 29
11. Conclusion 30
12. Reference 31

Executive Summary

Food is the most important basic needs for the Human society. The food and beverage industries
are the highest fast growing industry on earth. The food and beverage is a fastest growing

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industry in Bangladesh since the year of 2000 as Bangladesh is agriculture based country. This
industry alone contributes 22% of the economy in the nation and around 2.45% of the nation's
total workforce. But the labor laws are not properly followed in our country so the dynamics of
the social, economic and political situation call for a re-structuring of the legal framework
governing labor, employment and social security. And need to pursuant article 179. That helps to
defines the general principles and establishes the legal framework applicable to individual and
collective employment relationships, in respect of work rendered to an employer for
remuneration. Throughout my overall report, I have mainly tried to critically review the labor
law followed by food products industry of Bangladesh. We have focused on the overview of
Bangladeshi labor law act 2006.
Last but not the least, to figure out several problems in the food industries labor law of
Bangladesh, we have done some research on both employee and employer to justify the actual
situation. We will share some recommendations depending on our educational knowledge and
hope; the recommendations will be valuable for any new entrants of these industries.

Origins of the report

A project report created as a necessity for the fulfillment of the MBA program course FIN 511.
The essential objective of the project program is to give the students an 'at work' experience and

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a chance to compare the book knowledge with the real-life experience. To satisfy this reason we
were encouraged to write a report on the labor law of food industry of Bangladesh.

General Objective

The prime objective of this report is to make us familiar with the labor law along with general
principles and establishes the legal framework applicable to individual and collective
employment relationships, in respect of work rendered to an employer for remuneration.

Specific Objectives

There are some specific objectives also

 To figure out the the legal employment relationships between employers and employees,
both national and foreign, in all fields of activity 2. To figure out the reason of short term
credit extension.
 To figure out law that governed by specific legislation

Scope of the report

The report is going to be a piece of document that provides valuable ideas and information on the
labor law of food industries Bangladesh. Any reader of this report can get the idea of
Bangladeshi labor law act and ordinance. So, I think, this report will be an important one for the
officials but also for educational purposes of Bangladesh.

Methodology of the report

The analysis of the report is completely based on secondary data sources where I have collected
all the data from company website and Bangladesh labor law website.

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Limitations of the report

Limitation refers the difficulties; we have faced during the preparation of this report. The
limitations we have faced while gathering information of the report are:

 The collection of necessary information was tough me because most of all the food
companies are situated outside of Dhaka city and also the restriction due to covid 19
epidemic situation. At the same time Due to time and cost restrictions, the study is
concentrated in selected areas. Continuing study in such a vast requires a big deal of time.
As students, we had less than one month which is not enough. So the The scope of
collecting primary data was limited.

 Available data also could not be verified. In most cases, we simply did not have any
option but to furnish with data without verification.

Overview of the organization

Akij Food and Beverage Ltd.

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 “Brings Quality in Life”.

Akij Food and Beverage Ltd (AFBL), a stress of Akij Group and a noteworthy name in Food
Processing and Marketing Sectors, is an eventual outcome of visionary thought of Mr. Sk. Akij
Uddin. AFBL started its assignment in the year 2006. AFBL is a Project worth $70 million and is
set up by the Parental Company Akij Group. AFBL produces a broad assortment of Snacks and
Beverage for both National and International Market. AFBL concentrated on soft drinks, regular
item squeeze, deplete, water and snacks and amassed together these divisions in another
assembling plant discovered same 50 kilometers outside from capital Dhaka in Krishanapura,
Dhamrai, quality was the basic objective of the coordinator Late Mr. Sk. Akij Uddin that is the
reason his expression is "Uncompromising quality even in unpleasant situation” the main power
behind the achievement of Akij Food and Beverage Ltd.

As the Beverage business has ended up being more forceful and testing in the coming years, it
leaves with assurances of ensuring quality in the dominant part of its things. To bring the vision
of this visionary business visionary into reality AFBL has been worked with most present-day
working workplaces of European root for planning and Packing including aseptic filling line
which in single case in the entire subcontinent. It was more than fifty years back, that AKIJ
GROUP ascended into the Bangladesh publicizes like an obscure island in the guide as a little
merchant. From such a little beginning, they have formed into a standout amongst other mix in
Bangladesh. By and by Akij Group is the most lifted TAX payer in the Republic Government of
Bangladesh ensuring mind blowing quality and organization to the regarded purchasers. Akij
Food and Beverage Ltd has won the most outrageous satisfaction of the customers by conveying
best quality things and essentially transformed into a threat for both national and overall brands
in the country inside a concise time allotment. To crown everything, Functional Distributors,
Strategic Sales Forces and set up Suppliers are the genuine givers remembering the true objective
to give quality things to our regarded buyers. Akij Food and Beverage Ltd. (AFBL) shows its
thankfulness to each one of the delegates who have joined as a gathering today and moving to
achieve the "VISION" of AFBL in a body with full conviction.

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Vision of AFBL

To be the main sustenance and Beverage brands exceeding expectations in item quality, social,
specialized and showcasing imagination and administration to AFBL's clients through the
aptitudes and extremely cheerful responsibility of its representatives.
As indicated by Late Mr. Sheik Akij Uddin with respect to Akij Food and Beverage Limited
(AFBL)- "We will create and present those great quality items in the market that we ourselves
and our family will dependably utilize; we won't simply deliver items for the customers in the
market and let our family devour other overseas items".

Mission of AFBL

 To pick up a best position in Food and Beverage segment.

 Finding and understanding the wants and needs of the network and working in congruity with
our customers, representatives and business accomplices

Goal of AFBL

 To achieve market leadership, profitability, good corporate citizenship and a sustainable

growth.

Business Philosophy of AFBL

In soft drink industry, there are numerous national and overseas organizations. Akij Food and
Beverage wants to be a one of a kind nearby FMCG maker with a similar nature of the overseas
organization. For this reason, AFBL produces CSD, Snacks, Milk and Juice for youthful target
bunch who love to lead stylist life.
Main slogan of AFBL is: “Brings Quality in Life”.

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Objective of AFBL

The principle target of the organization is to build strong piece of the pie in related differentiated
products in Bangladesh and to guarantee the potential clients of the quality of the items.

AFBL: Morale, Ethics & Values

 Believing in quality and perfection in benefit

 Believing open correspondence, individual obligations, honesty, and dynamic interest
 Supporting the variety in creativity and share of thoughts & ideas
 Building society of learning in view of administration, cooperation, responsibility, and
coactivity.
 The 4ps of Product, Price, Place, and Promotion are subjected to their central goal and to
execute and co-ordinate them appropriately keeping in mind the end goal to maintain and
upgrade customer fulfillment and furthermore experience legitimate gainfulness

AFBL Product
Akij food &Beverage limited started their journey officially on July 2006 with three products but
now there are lot of products on its rosters. The products which are offering now by the
company are given below

Product Category Sub category Brand Name Size

Carbonated Soft Cola MOJO 150ml can, 250ml pet and can,
Drinks 500ml pet, 1-liter pet, 2-liter
pet.
Cloudy Lemon Lemu 150ml can, 250ml pet and can,
500ml pet, 1-liter pet, 2-liter
pet
Clear Lemon Clemon 250ml pet and can 500ml pet, 1-
liter pet, and 2-liter pet.

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 Clear up 250ml pet
Energy Speed 250ml pet and can
Huston 250ml CAN
Drinks
Velocity 250ml CAN
Molt Wild Brew 250ml CAN
Beverage
Orange Twing 250ml, 500ml pet
Aafi orange 250ml pet
Drinking Water Spa / Revera 500ml pet, 1,2- & 5-liter pet
Aseptic product Fruit drinks Frutika mango 250ml pet, 1 liter.
Aafi mango 250ml pet, 1 liter.
Frutika grape 250ml pet
Milk product Farm Fresh UHT milk 250ml and 500ml pkt
Farm Fresh 250ml and 500ml pkt
Pasteurized
Farm Fresh yogurt 250ml cup
Farm Fresh Ghee 250ml and 500ml jer
Farm Fresh butter 250ml pkt
Snacks Cheese Puffs 15 and 30 gm Foil pack.
Cheeky Monkey 15 and 30 gm Foil pack.
Aafi chanachur 15 and 30 gm Foil pack.
O’ potato 15 and 30 gm Foil pack.

Organization Hierarchy

As there are corporate office and factories of AFBL, so there are some dissimilarity in organ
gram factories with corporate office.

Director (AFBL) Chairman of AKIJ group

Sr. General Manager
General Manager
Deputy General manager
Manager
Deputy Manager
Assistant Manager
Sr. Executive Sr Engineer
Engineer Technical Officer
Executive Assistant Engineer
Jr. Executive Sub. Assistant Engineer

Technical supervisor Technical Foreman

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Sr Operator Sr Technician/Electrician
operator Technician/Electrician
Jr. Operator Asst. Technician/Electrician
Helper Technical Helper
Daily Basic labor

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Labor Law of AFBL

This law defines the general principles and establishes the legal framework applicable to
Individual and collective employment relationships, in respect of work rendered to an employer
for remuneration. This law shall apply to the legal employment relationships between employers
and employees, both national and foreign, in all fields of activity, who carry out their activity .
According to Bangladesh labor act 2006, it is an act to consolidate and amend the laws relating
to employment of labor, relations between workers and employers,. determination of minimum
wage, payment of wages and compensation for injuries to workers, formation of trade unions,
raising and settlement of industrial disputes, health, safety, welfare and working conditions of
workers, and apprenticeship and matters ancillary thereto. Whereas it is expedient to consolidate
and amend the laws relating to employment of labor, relations between workers and employers,
determination of minimum wages, payment of wages and compensation for injuries to workers,
formation of trade unions, raising and settlement of industrial disputes, health, safety, welfare
and working conditions of workers, apprenticeship and matters connected therewith;

Condition of service and employment of AFBL

Akij has followed mixed rule and regulation for their employment policy in which they classify
their employees in following classes according to the nature and condition of work;
Namely

 Apprentice,
 Temporary,
 Probationer, and
 Permanent.

AFBL allow apprentice or internship for students learning purposes, where they learn the overall
corporate culture and real life field experience regarding the market. And this is a paid allowance
during the period of training. At this Student employees have the right not to attend work during

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examination periods, without loss of remuneration, provided they shall give their employer
advance notice of least seven days

AFBL has also temporary work policy at which they employed only for limited time period or
project basis. At this employees were provided with higher salary benefits then regular basis. In
some cases AFBL recruit some potential temporary employees as permanent.
The period of probation for a worker whose function is of clerical nature shall be six months and
for other workers such period shall be three month. Actually AFBL justify the potentiality of the
candidate. At this if candidate is good enough to hit target he is being permanent. And the
permanent employees can be -

Contract of employment of a minor

AFBL also follow employment of minor where an employment contract entered into directly
with a minor of between twelve and fifteen years of age shall only be valid with written
authorization from the minor’s legal representative. Opposition by the minor’s legal
representative or revocation of the authorization given pursuant to the preceding paragraph may
be declared at any time, and shall become effective after a period not exceeding thirty days. The
remuneration of a minor shall be established according to the quantity and the quality of the
work the minor performs, and in no event may it be lower than the minimum wage in force in the
enterprise. Minors have the capacity to receive the remuneration for their work.

Employment of persons with disabilities

AFBL believe that Employers shall promote the adoption of appropriate measures that allow
employees with disabilities or chronic illness to have the same rights and duties as other
employees, with respect to access to employment, vocational training and promotion, as well as
suitable working conditions to enable them to perform socially useful activities, taking into
account the specific circumstances of their impaired working capacity

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Foreign workers

AFBL employed foreign workers also, where they have the equal treatment and opportunities in
relation to home workers, within the framework of the rules and principles of international law
and in compliance with the reciprocity provisions agreed to between home and any other
country. At this AFBL need to follow the strict rules and regulation established by the
employment of ministry.

Duties of employees

AFBL follows strict rules for their employees and they are

 To go to work regularly and punctually;

 To perform their work with zeal and diligence;
 To respect and treat with propriety and loyalty their employer, their hierarchical
superiors, their work colleagues and all other persons who are in contact or come into
contact with the enterprise;
 To obey the lawful orders and instructions of the employer, the employer’s
representatives and the employee’s hierarchical superiors, and to perform all other
obligations arising from the employment contract, except those that are illegal or are
contrary to their rights and guarantees;
 To use properly and keep in good condition the work-related property and equipment
entrusted to them by the employer;
 To respect professional confidentiality and in no case disclose information regarding the
organization, production methods or business of the enterprise or establishment;
 Not to use the workplace or the equipment, property, services or tools of the enterprise
for personal or non-work related purposes, without authorisation from the employer or
the employer’s representative;
 To be loyal to the employer, in particular, not to compete with the employer either
directly or for the account of a third party, and to contribute to improving the system of
safety, hygiene and health at work.
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  To protect the property of the workplace and the production output against any damage,
destruction or loss.

Duties of employers

AFBL also maintain their duties toward their employee and they are
 To respect the rights and guarantees of employees and to comply fully with their
obligations arising under the employment contract and the rules that govern it;
 To guarantee the observance of rules on hygiene and safety at work, as well as to
investigate the causes of work accidents and occupational illnesses and to take
appropriate preventive measures;
 To respect employees and treat them with propriety and politeness;
 To provide employees with good physical and moral conditions at work;
 To pay employees fair remuneration, in accordance with the quantity and the quality of
their work;
 To assign employees to occupational grades suited to the tasks and activities they
perform;
 To maintain the employee’s occupational grade, and not to lower it except in such cases,
as are expressly provided for by law and by collective labour regulation instruments;
 To maintain the same working hours and the same workplace, except in those cases
established by law, collective labour regulation instruments and individual employment
contracts;
 To allow employees to carry out trade union activities, and not to prejudice an employee
for performing trade union duties;
 Not to compel employees to acquire goods or use services supplied by the employer or by
a person designated by the employer;
 Not to operate refectories, canteens, crèches or any other work related establishments or
supply goods or services to employees, for making a profit.

Compensation is the most important part in any organization as it is one of the key factors of
motivation for all employees now-a-days. Therefore, different organization undertakes attractive

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compensation policy to uphold the potential employees to increase the productivity. Generally,
we can see two types of compensation system. One is financial and another one is non-financial.
AFBL has been also offering lucrative compensation to their employees for years for which their
demand is up scaling day by day. One of the finest things that I observe that AFBL has always
tried their utmost to keep their best person else by ensuring the best pay scale comparing with the
competitors. Therefore, it is seen that the turnout ratio of employees of AFBL is so low. AFBL
goal of compensation is to focus on the certain activity or works done by the employees upon
which the compensation is maintain or scaled such as it has maintained a combination of cash,
benefits, retirement, perquisites as a total compensation n package. There are several
compensation policies taken by AFBL. These are given below:

Compensation policy of AFBL

Salary

To compare with all the local banks AFBL pays relatively so high to their lower level
employees. It is done due to grab the potential employees from the market. Actually, there are
few companies in the market to pay such a high basics to their employees for which AFBL is still
is the first choice of new comers. This is the area in which AFBL has done marvelous job
because now-a-days employees are more concern of their basics. AFBL has successfully adapted
this change. It has been seen that employees of AFBL are highly satisfied due to the convenient
salary structure as other company in the market are not paying like this. Moreover, AFBL used to
review its salary once in a year. For a instance every December, the salary of the employee
review based on the performance which is key motivating factor to perform well. Another thing
that is to mention that AFBL conducts performance evaluation twice in a year according to that
they are to review the salary.

Salary Payment

The most important thing about the payment of the salary of AFBL is that it clears all the salary
payments within 25th of each month which is quite absent in other companies. The employees

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are paid their every month salary on their accounts which they have to open while joining in the
company. It is good in such way that all the tax and deductible income are cut by company itself
and the employees get those amounts withdrawn the money from their account as a whol.

Bonus

Like the other banks, AFBL provides two festival bonuses to their employee’s one is in Eid ul-
Fitar another one is Eid-ul-Azha. The bonus is equivalent to the basics of the employees.
Moreover, there is another provision regarding the bonus which is based on the performance of
the employee. But it actually depends in the performance of the branch which means if a branch
does well as a whole then all the employees of that branch get bonuses of their performance.

Performance Bonus

If the bank makes profit, the employees will be entitled to 3% of pre-tax profit as performance
bonus. Fifty percent of such bonus distributed on the basis of basic pay of an employee, and
balance fifty percent on the basis of performance of individual employees. Performance appraisal
for the purpose made on the criterion set by the management time to time.

Provident Fund & Gratuity

The employees are also entitled with provident fund in AFBL. Actually 10% of the basic are
deducted from each employee for the provident fund along with this 10% another 10% provided
by the company total 20% is installed as the payment of provident fund. This fund is given to
their employees at the end of their service. If any employees leave the organiza t ion before
completing three years of employment, he will get the provident fund induce from the 10% of
the basic that will be calculated upon his service period which means those employees will not
be able to claim the other 10% provided by the company. In addition, AFBL also provide
gratuity to their which has a handsome amount apart from the basics. The employees who
complete 10 years are used to get a gratuity equivalent to the basic of 3 months.

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Annual Increment

There is a provision of annual increment of AFBL which is 10% to 20% sometimes 25%
increment based on the performance. It works as a motivating factor for the employees to
perform well. Therefore, each employee tries their best to make it happen so that their base
salary having well shaped structure.

Travel Allowance

The bank also provides travel allowance to their employees. If any employee travels any place in
Bangladesh regarding company’s prospect, they will get the money or remuneration that is cost
by them but the cost that is spent is verified by the HR personnel and after that they got the
requisition of the money.

House Rent Allowance

The company also provides house rent to their permanent employees who are in the managerial
level. Each employee in the managerial level gets 55% of their basic as house rent. This
encourages the potential candidates in the market to work for AFBL.

Employee Loan

Unlike other banks, AFBL provides a great scheme of loans to their employees. First of all, the
permanent employees get loans from their provident fund at a cost of 10%. They can use their
money for several purposes. Secondly, from the executive level the employees are qualified for
home loans, car loans and others at a cost of 8% where it is around 15% for the customers so it
an extra benefit consumed by the employees.

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Medical Facilities

The medical facility provided by AFBL is quite different from other banks. AFBL has their own
medical team to look after their employees in case of any medical assistance. They have their
nursing home as well. Therefore, employees of AFBL do not have the opportunity to enjoy life
insurance which means AFBL does not provides life insurance policies to the employees.

Welfare Funds

Every year 200 taka for each employee is deducted to count in the employee welfare fund. The
money induced from the welfare fund is used for the welfare for the employees when they are in
trouble or in emergency. This money is totally distributed to the employees so that they feel safe
at their emergency period.

Earn Leave

The employees who complete one year of service without any unusual leave, get 30 days for earn
leave in a year. It means their paid equivalent 30 days of compensation.

Disability Leave

If any employee faces unusual accident or physical challenge, then they are provided leave
granted by the company which is called disability leave but for this leave the salary of them will
not be deduced which means these are paid leave.

Maternity Leave

Maternity leave may be granted by the competent authority to an employee for a maximum six
months period at a time. This flexibility is provided considering the labor law made by the
government. This is also a paid leave.

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Retrenchment
A worker employed in an establishment may be retrenched from service on the ground of
redundancy. No worker who has been in continuous service for not less than one year under an
employer shall be retrenched by the employer unless-

 The worker has been given one month’s notice in writing, indicating the reasons for
retrenchment, or the worker has been paid in lieu of such notice, wages for the period of
notice;
 a copy of the notice is sent to the chief Inspector or any other officer authorized by him
and also to the collective bargaining agent in the establishment, if any; and
 he has been paid, compensation which shall be equivalent to thirty days wages or gratuity
for every completed year of service if any, whichever is higher.

Disciplinary power

AFBL has disciplinary power over their employees and apply the decilplinary penalties in the
following way
 Verbal reprimand;
 Written reprimand;
 Suspension from work with loss of pay, for up to ten days for every disciplinary offence
and up to thirty days per calendar year;
 Fine of up to twenty days’ wages;
 Demotion to an occupational grade immediately below, for a period not exceeding one
year;
 Dismissal

Dismissal is the last stage of punishment. At this AFBL follow section 23, where

 The allegations against him are recorded in writing;

 He is given a copy thereof and not less than seven day’s time to explain;

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  He is given an opportunity of being heard;
 He is found guilty, after enquiry;
 The employer or the manager approves of such order

Termination of employment by employers otherwise than by dismissal

The employment of a permanent worker may be terminated by the employer, otherwise, than in
the manner provided else-where in this chapter, by giving to him in writing-

 one hundred and twenty days’ notice, if he is a monthly rated worker;

 Otherwise AFBL provide sixty days’ notice, in case of other worker.

(2) The employment of a temporary worker may be terminated by the employer, otherwise than
in the manner provided elsewhere in this chapter, and if it is not due to the completion, cessation,
abolition or discontinuance of the temporary work for which he was appointed, by giving to him
in writing-

 Thirty day’s notice, if he is a monthly rated worker;

 Fourteen days notice, in case of other worker.

(3) Where an employer intends to terminate the employment of a worker without any notice, he
may do so by paying to the worker, wages in lieu of the notice, which is enquired to be given
under subsection
(1) Or (2), as the case may be.

(4) Where the employment of a permanent worker is terminated under this section, he shall be
paid by the employer compensation at the rate of thirty day’s wages for every completed year of
service or gratuity, if any, whichever is higher, in addition to any other benefit to which he may
be entitled under this Act

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Employment of adolescent

AFBL is completely against child lever. And at this AFBL follow the government rules and
regulation for employment adolescent. To avoid any unavoidable situation AFBL maintain

 Prohibition of certain agreement in respect of children

 Certificate of registered medical practitioner
 Certificate of fitness
 Certificate on restriction of employment of adolescent in certain work such as clean or
lubricate of running machine etc.
 Certificate on Employment of adolescent on dangerous machines.

Working hours for adolescent

AFBL follows some strict rules regarding the working hour of adolescent.

 No adolescent shall be required or allowed to work in any factory or mine, for more than
five hours in any day and thirty hours in any week;

 No adolescent shall be required or allowed to work in any other establishment, for more
than seven hours in any day and forty-two hours in any week.

 No adolescent shall be required or allowed to work in any establishment between the

hours of 7.00 P.M and 7.00 a.m.

 If adolescent works overtime, the total number of hours worked, including overtime shall
not exceed-
 In any factory or mine, thirty six hours in any week;
 In any other establishment, forty eight hours in any week.

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  The period of work of an adolescent employed in an establishment shall be limited to
two shifts which shall not overlap or spread over more than seven and a half hours each.

 An adolescent shall be employed in only one of the relays which shall not, except with
the previous permission in writing of the Inspector, be changed more frequently than
once in a period of thirty days.

 The provisions of weekly holiday shall apply also to adolescent workers, and no
exemption from the provisions of that section shall be granted in respect of any
adolescent.
 No adolescent shall be required or allowed to work in more than one establishment in any
day.

Health and Hygiene

AFBL is completely focused on their health and hygiene issues. AFBL believes that the key of
good environment of an organization is its health and hygiene. SO AFBL focused on cleanliness
through accumulation and maintain the statutory provision of 1948, statutory provisions
regarding the health of the workers is stated in the sections 11 to 20.

Cleanliness (sec 11):

AFBl kept it factory kept clean by daily sweeping or washing the floors and workrooms and by
using disinfectants where every necessary. Walls, doors and windows is repainted or varnished at
least once in every 5 years.

Disposal of wastes and effluents (sec 12):

AFBL maintained a proper disposal of wastes and effluents. Actually the waste materials
produced from the manufacturing process is effectively and properly decomposed.

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Ventilation and temperature (sec 13):
AFBL maintain adequate ventilation for the circulation of fresh air. They try to maintain proper
temperature to create a comfortable level. For this they separated the Hot parts of machines and
insulated it properly. They kept thermometers in specified places and the adoption of methods
which will keep the temperature low.

Removal of Dust and fumes (sec 14):

If the manufacturing process used gives off injurious or offensive dust and steps must be taken so
that they are not inhaled or accumulated. For this AFBL maintained an effective arrangement for
disposal of wastes and effluents due to the manufacturing process carried on therein.

Artificial humidification (sec 15):

AFBL used pure water for maintain better environment. Actually The water used for
humidification is taken from a public supply or other source of drinking water and is effectively
purified before use.

Overcrowding (sec 16):

AFBL maintained a proper space management for better work environment where every
employees need to maintain a distance of 3 miters form one another. In factories existing before
the commencement of the Act there must be at least 9.9 cubic meters of space per worker. For
factories built afterwards, there must be at least 4.2 cubic meters of space. The chief inspector of
factories can also prescribe the maximum number of workers who can work in each work room.

Lighting (sec 17):

AFBL maintained proper and sufficient lighting through artificial or natural or both.

Drinking water (sec 18):

AFBL made proper Arrangements to provide a sufficient supply of wholesome drinking water.
All supply points of water is marked “drinking water”.

They kept distance of 20 ft. (or 7.5 meters) of latrine, washing place etc.

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Toilet facilities (sec 19):
AFBL provide sufficient number of latrines and urinals. There are separate provisions for
male and female workers. And at the same time Latrines and urinals is kept in a clean and
sanitary condition.

Spittoons (sec 20):

AFBL provided a sufficient number of spittoons at convenient places, in a clean and hygienic
condition. And they follow the State Government rules regarding their number, location and
maintenance.

Safety

Due to rapid industrialization, industrial workers are exposed to several types of hazards and
accidents. Every year lakhs of workers are injured due to mechanical, chemical, electrical and
radiation hazards and it leads to partial or total disablement. So in recent years, greater attention
is given to health and safety due to pressure from government, trade unions, labor laws and
awareness of employers.

Actually the efficiency of workers depends to a great extends on the environment in which the
work. Work environment consists of all the factors, which act and react on the body and mind of
an employee. The primary aim is to create an environment, which ensures the greatest ease of
work and removes all causes of worries. So AFBL is completely focusing on creating a sound
and secure environment for their employees through healthy and safety practice considering on
issues relating to occupational medicine, industrial hygiene, toxicology, education, engineering
safety, ergonomics, psychology, etc.

According to factories Act, 1948, the statutory provisions regarding the safety of the workers are
stated in the sections 21 to 41. AFBL try to maintain all of them and they are

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Fencing of machinery (Sec 21)
At this AFBL made a rules, in which it was declared that only experienced worker or authorized
engineer are allowed to surveillance the machine specially the water turbine, and every part of an
electric generator, motor or rotary converter, every part of transmission machinery is restricted
for all workers except authorized one.

Striking gear and devices for cutting off power (Sec 24):
In every factory, suitable striking gear or other efficient mechanical appliance has to be provided,
maintained and used to move driving belts. So AFBL maintained a proper Striking gear and
devices for cutting off power.

Casing of new machinery (Sec 26):

AFBL follow strict rolls regarding chasing of new machinery. At this all machinery
driven by power, every set-screw, bolt or key or any revolving shaft, spindle, wheel or pinion,
spur, worm and other toothed or friction-gearing has to be properly encased or guarded in order
to prevent danger to the workmen.

Casing of new machinery (Sec 26):

AFBL maintained all machinery driven by power, every set-screw, bolt or key or any revolving
shaft, spindle, wheel or pinion, spur, worm and other toothed or friction-gearing in order to
prevent danger to the workmen.

Excessive weights (Sec 34):

AFBL has strict rules for employee in factory to lift, carry or move any load so heavy as is likely
to cause him injury.

Prohibition of employment of women and children near cotton openers (Sec 27):
AFBL has their own restriction for women and children worker. At this women and child
workers are prohibited to be employed in any part of a factory for heavy work.

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Hoists, lifts, lifting machines (Sec 28&29):
For Lifting machines, chains, ropes and lifting tackles AFBL has good mechanical construction,
sound material and adequate strength and free from defects. They are properly maintained and
thoroughly examined by a competent person at least once in every 6 months.

Revolving machinery (Sec 30):

The maximum safe working peripheral speed of every grindstone or abrasive wheel is
permanently affixed by AFBL authority. Safe working peripheral speed of every revolving
vessel, cage, basket, flywheel, pulley or disc is also ensured by the authority.

Floors, stairs and means of access (Sec 32):

In accordance with sec 22 AFBL properly maintained factor floors, steps, stairs, passages and
gangways in sound construction.

Excessive weights (Sec 34):

No person is to be employed in any factory to lift, carry or move any load so heavy as is likely to
cause him injury.

Precaution in case of fire (Sec 38):

AFBL has every proper means of escape in case of fire. They has maintained Effective and
clearly audible means of giving warning in the case of fire. And also has a free passage-way
giving access to each means of escape in case of fire.

Safety of buildings and machinery (Sec 40):

In accordance with sec 40 AFBL maintained proper and adequate measures to ensure the safety
of the buildings and machinery. AFBL has employed the required safety officers according to the
number of workers working in the factory

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Health and safety programs

AFBL has proper and effective workplace health and safety programs that help to save the lives
of workers by reducing hazards and their consequences. Health and safety programs also have
positive effects on both worker morale and productivity, which are important benefits. At the
same time, effective programs can save employers a great deal of money. For all of the reasons
given below, it is crucial that employers, workers and unions are committed to health and safety.

 Workplace hazards are controlled - at the source whenever possible.

 Records of any exposure are maintained for many years.
 Both workers and employers are informed about health and safety risks in the workplace.
 There is an active and effective health and safety committee that includes both workers
and management.

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Conclusion
AFBL is conducting its business with good reputation. Its sale is increasing over time.
Consumers as well as retailers are satisfied with AFBL in terms of price, quality and service.
AFBL is successfully doing its business in Dhaka rather than other districts. This report and
survey really helped me to know regarding products and internal environment and condition of
this company. It helped me better to correlate my theoretical knowledge with practical domain.
AFBL completely focused on their growth in the market in which they think employees are the
main key factor to attain the success. That is the main reason of AFBL to maintain the labor law
and ordinance of 2006 and amendment of it 2013. AFBL think that the long run success of
company is completely depending on its employee. So employer must take care of their
employee. AFBL has maintained better work environment, waste management, wages and salary
policy, recruitment policy and safety and security of their employee. in some cases they have
their own ordinance for the betterment of employee and to maintain the working environment of
the organization. Actually by applying the proper labor law the company can be optimized
successfully the convenient rout of success.

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Reference
Akij Food & Beberage Ltd. (2018). About Us: Akij Foods and Beverage. Retrieved from Akij
Foods & Beverage alternative Website: https://www.akij.net/akij-food/

https://tahmidurrahman.com/employee-rights-labour-law-in bangladesh/#:~:text=Bangladesh's
%20employment%20law%20is%20regulated,%2C%20annual%20leave%2C%20medical
%20leave.

https://www.ilo.org/dyn/travail/docs/352/A%20Handbook%20on%20the%20Bangladesh
%20Labour%20Act%202006.pdf

https://betterwork.org/portfolio/bangladesh-labour-act-2006/

https://www.lexology.com/library/detail.aspx?g=d1623485-d48f-439e-bf10-61afd82a80db

http://www.peopletreefoundation.org/uploads/1/5/5/1/15517332/report-of-the-baseline-study-on-
bangladesh.pdf

https://www.dhakatribune.com/bangladesh/dhaka/2019/04/22/akij-food-factory-workers-block-
dhaka-aricha-highway-for-2-hours

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