Investing in cooling systems for garment factories in Bangladesh is not just a humanitarian move—it makes solid financial sense for manufacturers and the global brands they serve, according to a new report from Cornell University’s Global Labor Institute.
Heat stress threatens revenue and worker health
Researchers measured temperatures inside eight factories in Dhaka over a six‑month period and discovered that indoor heat often exceeds outdoor levels, especially in ironing and finishing sections. The study estimates that extreme heat erases about 4.1% of annual revenue for these factories on average, creating a clear financial risk for both producers and the brands that rely on their output.
Cooling measures can break even quickly
The report outlines a suite of relatively low‑cost interventions—reflective paint, roof insulation, and improved airflow ventilation—that can be installed without major disruption. When these measures are combined, the researchers calculate a payback period of under four years, meaning the savings from reduced heat‑related downtime and higher productivity offset the upfront investment within that timeframe.
Brands urged to share costs
Jason Judd, executive director of the Global Labor Institute, told Reuters that buyers need clear data on the cost of cooling to make informed decisions. “If you’re contemplating cooling investments but you don’t know how much is going out the door, it’s very difficult,” he said.
He added that apparel brands have been in “back‑and‑forth” discussions with manufacturers about who should bear mitigation costs, especially as companies strive to meet greenhouse‑gas targets and explore alternative energy sources.
Industry response and broader implications
The American Apparel and Footwear Association (AAFA) recently released a toolkit aimed at protecting workers from extreme temperatures. AAFA Executive Vice President Nate Herman emphasized that the industry must act to safeguard the people at the heart of the supply chain.
Earlier research projected that heat and flooding could wipe out $65 billion in apparel export earnings across Bangladesh, Cambodia, Pakistan and Vietnam by 2030. The new findings suggest that proactive cooling investments could help stem that loss while also improving working conditions.
What this means for the global supply chain
While the study focuses on Bangladesh, its conclusions are relevant to other hot‑climate production hubs. Brands that help offset cooling costs can protect their supply chains from climate‑related disruptions and demonstrate a commitment to worker welfare—a message that resonates with increasingly conscious consumers.
As climate change continues to raise temperatures worldwide, the apparel industry faces mounting pressure to adapt. This research provides a clear, financially viable pathway for manufacturers and brands to do so, reinforcing the idea that caring for workers can also protect the bottom line.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.