Transforming the Workforce: Enhancing Employability of Women and Madrasa Graduates through Online Freelancing

Mohammad Raied Arman

Bangladesh stands at a demographic turning point, with about 115 million working-age citizens (65 percent of its 176 million population). Each year, roughly two million people enter the labor market, underscoring the country’s untapped economic promise. Yet, widespread supply-side and demand-side challenges have hampered full absorption of these workers, turning what could have been a demographic boon into a potential risk.

Vulnerable Groups in the Labor Market

At the heart of Bangladesh’s labor problem is a disjuncture: the supply side struggles with skills mismatch and weak human-capital development, while the demand side simply does not create enough jobs, even for those who are qualified. This disconnect hits certain groups harder than the others. Women and madrasa graduates, whose outcomes are shaped by overlapping societal and institutional barriers are two such groups.

Female labor force participation is around 37 percent, constrained by deep-rooted gender norms, safety concerns, and heavy caregiving duties. Bangladesh ranks 99th on the Global Gender Gap Index. The ranking would have been even lower had the index not contained women’s political representation. The status of economic, educational, and health indicators is much worse. Recent data highlight the deterioration: from July to December 2024, Bangladesh lost 2.1 million jobs, 85 percent of which were held by women. Overseas job opportunities for women have also shrunk, with monthly female departures dropping from 8,789 in 2022 to 4,610 in early 2025.

Parallel vulnerabilities exist among madrasa students, who form a significant share of Bangladesh’s school-age population (5 percent at the primary and 15 percent at the secondary level). Male graduates often lack market-relevant training, while female madrasa students also grapple with gender-specific restrictions in addition. The standard Alia curriculum poses two critical bottlenecks: limited entry into university programs due to curricular misalignment; and weak proficiency in core subjects like Bangla, Mathematics, and Science, made worse by a shortage of qualified teachers. As a result, many madrasa graduates end up in low-paying roles such as imams or madrasa teachers instead of higher-return occupations.

Sectoral Disruptions, Informality, and Budgetary Oversights

External shocks threaten key industries. The ready-made garment sector, a cornerstone of female employment, is vulnerable to changing tariffs and automation pressures that could displace thousands of workers. Meanwhile, emerging sectors like IT, light engineering, and agro-processing can’t find enough certified technicians to grow. Informality dominates the employment landscape, with approximately 85 percent of workers operating in precarious, non-regulated jobs devoid of upward mobility or skills upgrading avenues.

The latest fiscal policy response has, thus far, failed to address these structural inequities. The proposed FY2026 national budget, amounting to Tk 7.9 trillion, reflects troubling underinvestment in gender and educational priorities. The gender budget has declined to Tk 260,767 crore (33 percent of the total allocation), down from Tk 271,818.6 crore (34 percent of the total allocation) all in the previous fiscal year. Educational allocations have contracted by Tk 2,971 crore, with the Ministry of Education receiving Tk 95,644 crore, just 12.1 percent of the total budget and a mere 1.72 percent of GDP, falling well short of UNESCO’s recommended 4 to 6 percent threshold. Such allocative decisions signal tepid commitment to building human capital, particularly among marginalized groups, thereby perpetuating the supply-side inefficiencies.

Freelancing as a Labor Market Equalizer

In this challenging context, online freelancing has the potential to be a transformative equalizer taking care of the demand side issues enabling skilled individuals to contribute remotely while allowing easier navigation of the constraints. It offers geographically agnostic income-generation opportunities while attenuating sociocultural constraints. Online freelancing platforms like Upwork and Fiverr already have more than 650,000 Bangladeshi freelancers registered, 42 percent of whom are women. While the number of registrations does not have much significance, it at least indicates that the interest is there and could be a very effective channel if the workforce is made competent. And with the demand-side issues out of the equation, more resources can be allocated to address the supply-side issues.

Recent empirical evidence supports this proposition. A randomized controlled trial (RCT) conducted by the BRAC Institute of Governance and Development (BIGD) in 2022 evaluated the efficacy of a four-month freelancing training program targeted at underprivileged women. Training courses included graphics design, digital marketing, and web research and support which are all transferable skills suited to global gig marketplaces. Despite very low initial levels of digital and computer literacy among the participants, the intervention resulted in statistically significant improvements: unemployment declined by 11 percentage points and average income rose by 28 percent.

This success story indicates feasibility in the context. By scaling up such initiatives, Bangladesh can turn its demographic challenge into an opportunity, equipping skilled individuals, especially women and madrasa graduates, to earn a sustainable living on the global stage.

Towards a Freelancing-Ready Workforce

To fully realize the potential of online freelancing as an inclusive employment pathway, public policy should shift from merely facilitating platform access to actively investing in people’s skills and building capacity.

For example, a foundational reform could involve embedding market-relevant modules within both vocational and madrasa education. For vocational institutions, this means upgrading existing content to include digital entrepreneurship, platform navigation, and soft skills such as client communication and time management. Within the Alia madrasa framework, optional tracks could introduce basic computing, financial literacy, and content creation tools without compromising religious instruction. Such dual-stream curricula would enable students to transition into gig-economy sectors without forfeiting cultural or theological identity.

Concurrently, investment on digital infrastructure such as high-speed internet, access to devices, shared workstations, mentorship networks etc. needs to be incentivized. This will bridge the urban–rural digital divide and ensure consistent access to freelancing ecosystems.

Targeted financial instruments such as training vouchers or conditional stipends can be deployed to reduce participation costs, especially for women and madrasa students, thus addressing equity gaps and countering sociocultural barriers to entry.

A major challenge in the online freelancing market is signaling. To help with signaling, the state can establish standardized certification frameworks aligned with major platforms’ reputation algorithms, enabling new freelancers to credibly signal proficiency and win contracts.

In summary, by weaving together market-relevant curricula, targeted financial support, digital infrastructure upgrades, and credible certification frameworks, Bangladesh can bridge its human-capital gaps and democratize global gig-economy access. These reforms will empower women and madrasa graduates to overcome entrenched barriers, absorb a bigger share of the two million annual entrants into meaningful work, and harness the country’s demographic window. In doing so, Bangladesh can not only secure inclusive, sustainable growth but also chart a pioneering path as a digitally empowered workforce on the world stage.

Author’s Biography:

Mohammad Raied Arman is currently pursuing his PhD in Economics at the University of Washington. Before starting his PhD he was working as a Senior Research Associate at BIGD. His research interests include Labor, Education, Health etc.