Bangladesh
Min. wage
(x12 payments)
৳12,500 /mo
About the minimum wage
Employer tax
0% (no mandatory SSC)
Understand employer tax
Annual leave
~15 days
Learn about annual leave
Notice period
60-120 days
Termination and notice info
Updated
Sep 2026
Default after probation, with full Labour Act protections including notice, severance and unfair-dismissal safeguards
Permitted for temporary, seasonal or project-based work; successive fixed terms for continuous service may be treated as permanent.
Overtime paid at 200% of basic hourly wage, limited to 2 extra hours/day
6 months for clerical roles, 3 months for other workers, extendable by 3 months
Two festival bonuses per year (each up to one month's basic wage) after 1 year of service, paid before major festivals
Company directors, statutory officers and roles requiring local licensing generally cannot be hired under the EOR model
No universal social security payroll contributions; under the 2025 labour reforms large employers (100+ permanent workers) must match employee provident fund contributions of 7-8% of basic pay, and profitable companies pay 5% of net profit to the Workers' Profit Participation Fund
No universal employee contributions; employees of large firms contribute 7-8% of basic pay to a mandatory provident fund (employer-matched). Progressive income tax (0-30%) withheld separately.
In addition to statutory leave, employees are entitled to the following statutory benefits:
Bangladesh has no universal state social security system funded by payroll contributions. Statutory benefits are largely employer-funded and include:
Employers are directly liable for employment-injury compensation under the Labour Act, with fixed lump sums for death or permanent disability, and group insurance required for larger establishments.
Permanent workers terminated without cause are entitled to compensation of 30 days' wages for each completed year of service, in addition to notice or pay in lieu. Workers dismissed for proven misconduct may forfeit this compensation.
There is no 13th-month salary as such, but the Labour Rules require two festival bonuses per year for workers with at least one year of service, each capped at one month's basic wage.
P.S. our team speaks multiple languages and we'd love to chat in your preferred language if requested.
Your employee's hours, time off, holidays, bonuses, and commissions are automatically calculated into payroll. RemoFirst will invoice you in either US Dollars (USD), Euros (EUR), British Pounds (GBP), Canadian Dollars (CAD), Australian Dollars (AUD), or Singapore Dollars (SGD) around the 15th of each month to make sure your employees are paid on time. To make it even easier, you can summarize your entire global team's salaries to aggregate them into one payment (instead of many individual payments).
Unlike full-time employees, contractors work on projects with multiple companies at a given time and are technically self-employed. Full-time employees are solely focused on their employer and usually receive benefits (such as health insurance, equity or stock options, and time off) as an additional form of compensation. While it can be cheaper to work with international contractors instead of paying benefits to a full-time employee, you run the risk of misclassification. It's recommended to work with an EOR for contractor onboarding and payments, so you can know that your international contractors are paid compliantly and on time.
Whenever the employee or employer has a question about, or anything else related to international employment, they can speak with our customer support team to get answers from our team of experts.
