* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.

Capital City
Dhaka
Currency

Bangladesh Taka (৳)

Timezone

BST (GMT +6)

Payroll
Monthly
Employment Cost

0% - 5%

Annual Leave

18 days

In-demand Specialties*
Software Developmet, It, Digital Marketing

The Ultimate Guide to Hiring Employees in Bangladesh

Simplify hiring employees in by partnering with Playroll. Our Employer of Record (EOR) handles hiring, onboarding, payroll, taxes, immigration, benefits administration, and compliance. While you maintain control of day-to-day tasks and responsibilities.

hiring-in-Bangladesh-guide

Key Considerations Before Hiring In Bangladesh

Employing in Bangladesh requires employers to own a legal entity in the country and manage payroll, tax, benefits and compliance through their own in-country resources. Grow your team in Bangladesh with our Employer of Record solution, ensuring streamlined, compliant business expansion with no entity.

Playroll allows you to hire employee's in Bangladesh quickly, easily and we even automate tax document collection, benefits, payroll and more.

Good To Know

Bangladesh offers an attractive mix for sourcing remote workers, including a large and young workforce, low costs, excellent English proficiency, and cultural compatibility.

Bangladesh has a tech-savvy workforce, making it an excellent choice for roles in technology, IT services, and digital marketing.

Bangladeshi professionals often demonstrate cultural adaptability, making them well-suited for working with diverse teams and catering to a global clientele.

Hiring remotely in Bangladesh provides scalability options for your business, allowing you to easily adjust the size of your workforce based on project needs.

playroll-good-to-know

Fundamental Aspects of Employment in Bangladesh

When hiring in Bangladesh, it's crucial to follow specific formalities outlined by The Bangladesh Labour Act of 2006 and the Bangladesh Labour Rules of 2015. Contracts need to be in writing and signed by both parties. Key aspects include:

  • Contracts must be in English (with the option for bilingual agreements)
  • Contracts must be signed by both parties involved
  • Terms of agreement and compensation
  • Position
  • Place of work

Probationary Period in Bangladesh

Probation periods are mandatory. The minimum probation period is 3 months and the maximum probation period is 6 months.

Working hours in Bangladesh

Labour regulations stipulate a maximum weekly working hours limit of 48. A standard workday is 8 hours, and the regular workweek lasts 5 days, from Sunday to Thursday.

Overtime in Bangladesh

Section 102 of the Labor Act sets the maximum weekly working hours at 48. Overtime pay is usually calculated by dividing the total salary (including benefits) by 208, then doubling the result and multiplying it by the overtime hours worked.

Navigating Key Aspects of Payroll in Bangladesh

Bangladesh has a robust and complex payroll and tax system, and as an employer, it pays to understand payroll process basics.

1 July - 30 June

Fiscal Year in Bangladesh

1 July - 30 June is the 12-month accounting period that businesses in Bangladesh use for financial and tax reporting purposes.
monthly

Payroll Cycle in Bangladesh

The payroll cycle in Bangladesh is usually monthly, with employees being paid on or before the last day of the month.
78 BDT p/h

Minimum Wage in Bangladesh

The minimum wage for employees in Bangladesh is typically 78 BDT per hour, amounting to ~12,500 BDT per month for a typical 40 hour work week.

Minimum wages and salaries in Bangladesh

Every five years, the National Minimum Wage Board of Bangladesh sets the minimum wage for various sectors. The present minimum salary stands at BDT 12,500 per month, subject to potential adjustments based on industry variations.

Bonus Payments in Bangladesh

There is no legal obligation to offer a 13th-month salary in Bangladesh, but some employers may provide a festive bonus of 20%.

Comprehensive Overview of Employment Taxes in Bangladesh

Understanding the tax obligations for both employers and employees is crucial when operating in Bangladesh's business landscape. This section explains how taxes and statutory fees affect payroll and individual earnings in Bangladesh.

Employer Tax Contributions

Employer payroll contributions are generally estimated at an additional 0% - 5% on top of the employee salary in Bangladesh.

Tax Rate Tax Type

Employee Payroll Tax Contributions

In Bangladesh, the typical estimation for employee payroll contributions cost is around Employees in Bangladesh are not required to make compulsory contributions to social insurance..

Tax Rate Tax Type

Individual Payroll Tax Contributions

The individual income tax in Bangladesh follows a progressive rate structure, ranging from 0% to 25%. Overarching tax rates may vary according to different factors, including household status and the number of dependents. In addition, the lesser of 450,000 BDT or one-third of the total taxable income is exempt from Income tax. For foreign residents, a flat tax rate of 30% applies.

Tax Rate Income Bracket

Pension in Bangladesh

There are no mandatory pension contributions in Bangladesh.

The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Bangladesh tailored to your needs.

Easily navigate payroll, taxes and contributions with Playroll.

Grow your distributed workforce today!

Understanding the Protocols for Termination of Employment in Bangladesh

When it comes to terminating employment in Bangladesh, understanding the legal obligations regarding severance pay and contributions is essential. Below is a detailed overview of the key considerations for both employers and employees.

Termination Process

In Bangladesh, employers are not permitted to terminate employment at will, except during the probationary period. Termination must be justified by valid reasons. These reasons may include:

  • Mutual agreement
  • Objective grounds
  • Disciplinary dismissal
  • Poor work performance

Notice Period

Employers are obligated to give advance notice to employees being terminated without cause. This notice period varies, extending to 60 days for general workers and 120 days for those receiving monthly compensation. Alternatively, payment in lieu of notice can be given though this depends on the type of employment.

Severance Pay

Employees who have served a minimum of one year with an employer are eligible to receive severance pay equivalent to 30 days' wages for each year of service.

Annual Leave Entitlements and Company Policies in Bangladesh

The annual leave entitlement in Bangladesh is 18 days for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays in Bangladesh

Bangladesh recognizes several national holidays, comprising of:

Holiday Date

Paid Time Off in Bangladesh

Maternity Leave in Bangladesh

Paternity Leave in Bangladesh

Sick Leave in Bangladesh

Parental Leave In Bangladesh

Bangladesh's Benefits Built Into Playroll

Competitive benefits package in Bangladesh

Playroll is committed to providing tailored, competitive benefits packages that are designed not only to attract but also retain top talent worldwide. Our global team of benefits experts build custom local packages to ensure your employees in Bangladesh's needs are met. Typically our packages contain some or all of the following benefits.

Health Insurance
Pension or 401k
Life and Disability Insurance
Vision Insurance
Dental Insurance
Discounts & Perks

Playroll Supplementary Benefits For Employment In Bangladesh

Make your benefits package in Bangladesh a talent magnet with Playroll's local plans. We offer benefits that are compliant, comprehensive, and flexible — all at competitive rates. Speak with our local territory experts to explore the localized benefits we can offer you, while you scale your team.

  • Workman's Compensation
  • Background Checks

Statutory benefits for employment in Bangladesh

Playroll allows you to provide localized benefits for employees in Bangladesh within minutes. All in one manageable online dashboard. If you'd like specific information about our benefits packages in Bangladesh create an account or contact our global expansion team, today.

Playroll Benefit Services

Playroll's Expertise in Facilitating Work Visas for Bangladesh

At Playroll we're all about empowering employees to work anywhere, making mobility possible for global teams. We sponsor visas and hire the employee for you, so you don’t have to worry about payroll, taxes, and more.

It's important to note, visa support can be complicated. There are many variables that affect whether sponsorship is possible, including one’s nationality, education, marital status, and the immigration policy for the country in question.

Unfortunately, this means we can’t support visas everywhere - with that being said, we handle the entire visa process in-house, and dig into your situation to give you an overview of what to expect if we're able to help with visa sponsorship in Bangladesh.

Playroll Immigration Support

Integrated EOR Platform

Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.

Accelerated Immigration Timeline

By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.

Hire in 50+ Countries

Accelerated Immigration Timeline

Acquiring a visa without an entity has never been easier, leverage Playroll's global coverage to sponsor and hire employees.

Playroll Visa Services

Hiring International Employees is Complex.

Playroll makes it easy!