Minimum Wage

General

In Bangladesh, the National Minimum Wage Board determines the minimum wage for each sector every five years. The current minimum wage is BDT 1,500 (EUR 15.77) per month but may vary depending on the sector.

Payroll

Payroll Cycle

In Bangladesh, the payroll cycle can be daily, weekly, bi-weekly and monthly. Employees’ salaries must be paid by the end of the seventh day after the final day on which the payment is due, according to Bangladesh’s Employee Rights and Labor Law. The same rules are applied to those employees whose employment has been ended by the employer.

13th Salary

There is no statutory requirement to provide a 13th salary.

Working Hours

General

The standard workweek in Bangladesh consists of a maximum of 48 hours per week (for hourly paid). The standard workweek in consists of 8 hours a day.

Overtime

All work exceeding the standard working hours a week is to be paid as overtime and is regulated by employment contract/collective agreements up to a maximum of 10 hours per day and 60 hours per week

Working Week

Sunday–Thursday

Leave

Paid Time Off

After one year of service, employees are generally entitled to 10 days of paid annual leave, although this can vary by industry.

For example,

• Tea plantation workers are entitled to one day of paid annual leave per 22 days of work.
• Employees who work in the road transport service industry and employees who work in shops, industrial establishments, commercial establishments, and factories are entitled to one day of paid annual leave per 18 days of work.
• Newspaper workers are entitled to one day of paid annual leave per 11 days of work.

Public Holidays

Although Bangladesh has 21 days of national holidays each year, employees are only entitled to take 11 of them off as paid holidays, and it is the employer’s choice as to which ones.

Sick Days

Employees are generally entitled to 14 days of paid sick leave per year, however, this is an annual entitlement and cannot be carried over from year to year.

All employees must present a medical certificate for all absences to receive sick leave and pay.

Maternity Leave

Female employees who have worked for at least six months are entitled to 8 weeks of paid maternity leave before birth and 8 weeks of paid leave after the birth paid by the employer. Women who have worked less than 6 months or who already have two other surviving children are generally eligible for unpaid leave.

Women are also forbidden to work for 8 weeks after the birth of a child.

Paternity Leave

There is no paternity leave currently in Bangladesh, however, the government is reviewing this in 2022.

Parental Leave

There is no parental leave apart from maternity leave.

Other Leave

There is no other leave in Bangladesh.

Termination

Termination Process

Employees with at least one year of service are generally entitled to one month’s notice or pay in lieu of notice, and 30 days’ salary for every year of service.

Notice Period

It is common for three weeks’ notice to be provided; however, this does differ by job role, industry, and seniority.

Severance Pay

Employees who have completed at least one year with an employer are entitled to severance pay of 30 days’ wages for each year worked.

Probation Period

Probation periods are generally six months for clerical employees and three months for other employees.

VISA

VISA

All foreigners entering Bangladesh require a visa. There are many types of visas for prospective foreign nationals, including business, investor, employment, and NGO working visas.  The duration of stay will be worked out by the embassy at which one is applying following review of required documentation, generally, a valid passport, two passport-size photographs, an application form, and the visa fee.

If ex-pats are going to work in Bangladesh, a work permit is also required. Government bodies tasked with issuing these permits include the Bangladesh Investment Development Authority, the Bangladesh Export Processing Zone Authority, and the NGO Affairs Bureau. The prospective employer will confirm which body to contact.

VAT

General

The standard rate of VAT in Bangladesh is 15%.