What you'll learn
- Country Introduction
- Tax Breakdown for Employers
- Statutory Leave Laws
- Minimum Wage and Working Hours
- Termination Process
- Additional Information
Bangladesh is the eighth-most populous country in the world, located in South Asia. It’s one of the world's fastest-growing economies, and one of the fastest growing middle-income countries. There is no payroll taxes for employers in Bangladesh.
Paid Leave and Statutory Leave
Parental Leave
Pregnant employees who have been employed at a company for 6 consecutive months are entitled to 16 weeks of paid maternity leave — 8 weeks before the birth and 8 weeks after the birth. Pregnant employees who have worked at a company for less than 6 months or who already have 2 surviving children are usually eligible for only unpaid leave. Employees are not allowed to return to work for at least 8 weeks after giving birth. While there is currently no paternity leave in Bangladesh, the government is reviewing it in 2022.
Sick Leave
Employees are entitled to 14 days per year of paid sick leave, paid for by their employer. Employees need to show a medical certificate for sick absences to receive leave and pay.
Paid Leave
Bangladesh has 21 national holidays but employees are only allowed to take 11 of them as paid days off (it’s up to the employer which days these are). Employees in Bangladesh are generally entitled to 10 days of paid time off per year, although this varies by industry.
Wage Requirements and Working Hours
The National Minimum Wage Board of Bangladesh determines the minimum wage for each sector every 5 years. Currently, the minimum wage is BDT 1,500 per month (but varies by sector). The standard workweek in Bangladesh is 40 hours per week, at 8 hours per day. The workweek goes from Sunday to Thursday with the days off being Friday and Saturday. Any work exceeding the standard working hours is to be paid out as overtime and is regulated at up to a maximum of 10 hours per day and 60 hours per week.
Termination Process
Termination Process
Employees who are terminated due to physical or mental ailments are entitled to severance pay. Employees who are found guilty of misconduct or a criminal offense do not need a notice nor do they receive severance.
Notice Period
In Bangladesh, termination of employment usually requires written notice from the employer of 120 days for monthly rated workers and 60 days for any other workers. Employers can also pay employees for the notice period in lieu of working through the period.
Severance Pay
Employees in Bangladesh who have worked at least 1 year at a company are entitled to severance pay, which is equal to 30 days of wages for each year at the company.
Additional Information
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