Employment Law · Bangladesh
Labour Law Compliance in Bangladesh
We keep your workplace in line with the Bangladesh Labour Act 2006 and its 2026 amendment: appointment letters, working hours, overtime, leave, wages, committees, registers and exits, checked against the current law and ready for an inspection.
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Definition
What Is Labour Law Compliance in Bangladesh?
Labour law compliance in Bangladesh means running your workforce to the Bangladesh Labour Act 2006, the Bangladesh Labour Rules 2015 and their amendments, including the Labour (Amendment) Act 2026: written appointment, lawful working hours and overtime, timely wages, statutory leave, workplace committees, required registers and lawful termination.
The Department of Inspection for Factories and Establishments (DIFE) inspects for it, and workers can take claims to the labour court.
Common gaps we find
- !No appointment letters, or letters missing the terms the law requires
- !Overtime paid at the basic rate instead of twice the rate
- !Leave records that do not match the payroll
- Hire: appointment letter and ID card for every worker
- Pay: wages before the 7th working day
- Hours: 8 a day, 48 a week, overtime capped
- Leave: casual, sick, annual, festival, maternity
- Safety: committees, welfare and harassment rules
- Exit: notice, final pay and service benefits
Leave and holidays
Statutory Leave Entitlements in Bangladesh
Leave is where payroll and HR records most often disagree. These are the paid entitlements every worker carries.
Section 115
Section 116
Section 117
Section 118, as amended in 2026
Increased from 112 in 2026
Paid leave under the Bangladesh Labour Act 2006 for adult workers. Some sectors, such as tea plantations, have different annual leave rules. One weekly holiday is also due under Section 103.
Headcount triggers
Which Labour Law Duties Start as Your Team Grows?
Some duties switch on at a set number of workers. Cross one and the obligation applies from that day.
Trade union registration can start (2026 amendment)
Day-care room for children under six (Section 94)
Participation committee (Section 205) and safety committee (Section 90A)
Group insurance (Section 99); provident fund rules apply at this size, see note
Workers' participation fund (WPPF) is triggered by company size, not headcount: 5% of net profit where paid-up capital is at least Tk 1 crore or fixed assets at least Tk 2 crore (Section 234). Provident fund rules changed between the 2025 ordinance and the 2026 Act; we confirm the current requirement before you act.
Getting ready for a buyer audit? See social compliance audit readiness. Need wages, tax and TDS right? See salary TDS and statutory compliance.
The 2026 amendment
What Changed in Bangladesh Labour Law in 2026?
Parliament passed the Bangladesh Labour (Amendment) Act 2026 on 9 April 2026, replacing the 2025 labour ordinance and changing more than 90 sections of the 2006 Act. Some changes affect every employer from day one, such as longer maternity leave and two extra festival holidays.
Appointment letters, leave policies and payroll set up under the old law need to be checked against the new text.
Update first
- 1Leave policy and leave register
- 2Appointment letter and service rules
- 3Committee set-up and harassment complaint process
- Mandatory safety committees (Section 90A)
- Complaint committees for harassment (Section 332A)
- Blacklisting of workers prohibited
- Right to refuse imminently dangerous work (Section 61A)
NEW DUTIES
Inspection ready
The Records a Labour Inspector Asks For
When DIFE inspects, compliance is judged on paper. We build and keep these records so they match what actually happens on the floor.
FAQs
Labour Law Compliance: FAQs
What are the legal working hours in Bangladesh?
An adult worker should ordinarily work no more than 8 hours a day and 48 hours a week. With overtime, the limit is 10 hours a day and 60 hours a week, averaging no more than 56 hours a week over a year (Sections 100 and 102).
How is overtime paid under the Labour Act?
Overtime is paid at twice the ordinary rate of basic wage plus dearness allowance and any ad hoc or interim wage (Section 108).
When must wages be paid?
Before the end of the seventh working day after the last day of the wage period (Section 123).
How much leave does a worker get in Bangladesh?
Ten days of casual leave, fourteen days of sick leave, one day of annual leave for every eighteen days worked, festival holidays (thirteen days after the 2026 amendment) and 120 days of maternity leave, plus one weekly holiday.
What changed in the Labour (Amendment) Act 2026?
Maternity leave rose from 112 to 120 days, festival holidays from 11 to 13 days, the wage review cycle shortened to three years, union registration became possible from 20 workers, and new duties were added for safety committees, harassment complaints and blacklisting.
Who must pay the workers' participation fund (WPPF)?
Companies with paid-up capital of at least Tk 1 crore or fixed assets of at least Tk 2 crore at the end of the accounting year set aside 5% of net profit for the workers’ participation and welfare funds (Section 234).
When is a participation committee or safety committee required?
An establishment with 50 or more workers needs a participation committee (Section 205). Safety committees under Section 90A apply to factories at the size set by the Labour Rules, and the 2026 amendment strengthened that duty.
Who enforces labour law in Bangladesh?
The Department of Inspection for Factories and Establishments (DIFE) inspects workplaces and can bring cases, and workers can file claims in the labour court.
Check Your Workplace Against the 2026 Labour Law
Send us a sample appointment letter, your leave policy and one month’s payroll. We will check them against the Labour Act as amended in 2026, list every gap, and quote a fee to fix it and keep you compliant.