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Globalpedia

Employer of Record (EOR) in BdBangladesh

Population

169,828,911

Languages

1.

Bengali

Country Capital

Dhaka

Currency

Taka (৳) (BDT)

G-P’s Employer of Record (EOR) model allows your company to start hiring talent in minutes via our global entity infrastructure. Unlike a Professional Employer Organization (PEO), G-P allows your company to expand your global footprint without the hassle of entity setup and management.

Our global employment products, including G-P Meridian Prime™ and G-P Meridian Core™, are backed by the largest team of HR and legal experts in the industry. We handle the growing complexities of compliant global expansion — so you can focus on opportunities ahead.

As a global EOR expert, we manage payroll, employment contract best practices, statutory and market norm benefits, employee expenses, as well as severance and termination. You’ll have peace of mind knowing you have a team of dedicated employment experts assisting with every hire. G-P allows you to harness the talent of the brightest people in 180+ countries around the world, quickly and easily.

Hiring in Bangladesh

When negotiating terms of an employment contract and offer letter with an employee in Bangladesh, it may be useful to keep the following standards in mind.

Employment contracts in Bangladesh

In Bangladesh, it’s legally required to provide an appointment letter, which spells out the terms of the employee’s compensation, benefits, and termination requirements. An employment contract may also be provided once the employee confirms their acceptance of the position. The appointment letter and employment contract in Bangladesh should always state the salary and any compensation amounts in Bangladesh taka rather than another currency.

Working hours in Bangladesh

The standard workweek is 40 hours, with a typical workday of 8 hours. The maximum weekly working hours is 48 hours. Employees usually have Friday and Saturday off.

Holidays in Bangladesh

Employees are generally entitled to 11 holidays with pay. The holidays are determined by the employer. Employees may be required to work on a festival holiday but shall receive 2 compensatory paid holidays and a substitute holiday.

Major holidays in Bangladesh include:

  • New Year’s Day
  • Language Martyrs’ Day
  • Birthday of the father of the Nation, Bangabandhu Sheikh Mujibur Rahman
  • Independence Day
  • Bengali New Year
  • May Day
  • Buddha Purnima
  • Jumatul Bidah
  • Eid-ul-Azha
  • National Day of Mourning
  • Shuba Janmashtami
  • Eid-ul-Adha
  • Durga Puja
  • Ashura
  • Eid-e-Miladun-Nabi
  • Victory Day
  • Christmas Day

Vacation days in Bangladesh

Employees who have worked for at least 1 year are generally entitled to annual leave as follows:

  • 1 day for every 18 days of work in a shop, commercial, industrial establishment, factory, or road transport establishment
  • 1 day for every 22 days of work on a tea plantation
  • 1 day for every 11 days of work as a newspaper worker

Unused annual leave may be carried over to the following year, subject to specific caps: 40 days for factory or road transport workers or 60 days for tea plantation, shop, commercial, or industrial workers.

If employees plan to take 4 or more days of consecutive leave, they are generally entitled to payment before going on leave. Workers, except those on tea plantations, are generally entitled to 10 days of paid casual leave each calendar year. This leave cannot be carried over.

Bangladesh sick leave

Employees are generally entitled to annual paid sick leave of 14 days. However, employees must present a medical certificate to receive sick leave. Sick leave may not be carried over to the following year.

Maternity and paternity leave in Bangladesh

Pregnant employees who have worked for at least 6 months are entitled to 8 weeks of paid maternity leave before the birth and 8 weeks of paid leave after the birth. Employees who have worked less than 6 months or who already have 2 other children are generally eligible for unpaid leave.

Employees who have given birth are forbidden to work for 8 weeks after the birth of the child. There is no statutory paternity leave for non-birthing employees in the private sector — only a few employers offer this benefit.

Health insurance in Bangladesh

Bangladesh’s healthcare system includes universal public coverage, private insurance, and support from non-governmental organizations (NGOs). As an additional benefit, numerous companies opt to provide private insurance options for employees.

Bangladesh supplementary benefits

Some companies provide housing assistance, transportation allowance, education subsidy, and/or private insurance.

Bonuses

Employees who have completed at least 1 year of service are entitled to 2 festival bonuses each year. Each bonus should not be more than the basic salary.

Termination/severance in Bangladesh

Employers may include a probationary period of 6 months for clerical workers and 3 months for other employees.

Termination of employment in Bangladesh generally requires the employer to provide written notice of 120 days for monthly rated workers or 60 days for other workers, or equivalent pay in lieu. The worker is also entitled to 30 days of pay for every year worked.

Retrenched employees with at least 1 year of service are generally entitled to 1 months’ notice or pay in lieu of notice, and 30 days of pay for every year served.

Employees may be terminated for reasons of physical or mental incapacity or continued ill-health as certified by a medical practitioner. If the employee has served at least 1 year, they are entitled to 30 days of wages for each year of service. Employees who have been convicted of a criminal offense or found guilty of misconduct are not owed notice or severance.

Paying taxes in Bangladesh

Personal income taxes are progressive from 10% to 30%, depending on income. There is no social security tax.

Why G-P?

At G-P, we help companies unlock the power of the everywhere workforce through our industry-leading Global Growth Platform™. Let us handle the complex and costly tasks involved in finding, hiring, onboarding, and paying your team members, anywhere in the world, with the speed and guaranteed global compliance your business needs.

Contact us today to learn more.

Disclaimer

THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). G-P does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect G-P’s product delivery in any given jurisdiction. G-P makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.

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