Fires broke out at two Standard Group buildings in the industrial district of Gazipur outside the capital Dhaka at around midnight following clashes between workers and members of the management.
Police rushed to the spot and fired rubber bullet and teargas shells to disperse the workers, triggering a clash, said Shawkat Kabir, inspector of Gazipur industrial police.
No casualties were reported due to the fire as it was closed at the time.
Workers allegedly went on the rampage at the factory complex following rumours that two workers had been killed during demonstrations to demand higher wages and better conditions, Daily Star newspaper reported.
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The workers also torched 31 vehicles inside the compound of which, 18 covered vans were fully loaded with products, a senior general manager at the factory said.
Bangladesh's garment sector, the world's second biggest after China, has been plagued by worker unrest on demands of a wage hike.
The government raised the minimum wage by 76 per cent to USD 68 to be effective from December this year, but many workers are unhappy and are pushing their demand for USD 100 a month.
Standard Group is one of the largest garment manufacturers in Bangladesh whose clients include Sears, Gap, Zara and Tommy Hilfiger.