Hire in Bangladesh
People's Republic of Bangladesh — 170 million population, $2,690 GDP per capita. Everything you need to know about employment law, tax, compliance and hiring in Bangladesh.
Capital
Dhaka
Currency
Bangladeshi Taka (BDT)
Languages
Bengali
Time zones
UTC+6 (BST)
Hiring overview
- Typical time to hire
- 1-2 weeks for contractor, 2-4 weeks for full-time
- Entity requirement
- Bangladeshi private limited company. Registration at RJSC.
- EOR available
- Yes — from $399/employee/month through a Corpshore entity
- Contractor of record
- Yes — from $39/worker/month
Employment law
- Standard workweek
- 48 hours (8 hours/day, 6 days)
- Maximum weekly hours
- 60 hours
- Minimum annual leave
- 10 days (with full wages) after 1 year
- Public holidays
- 11 per year
- Maternity leave
- 16 weeks (8 before + 8 after), fully paid
- Paternity leave
- No statutory provision
- Notice period
- 60-120 days depending on employment type
- Severance
- 30 days wages per year of service (retrenchment). Gratuity: 30 days per year (after 10+ years).
- Probation
- 6 months (3 for skilled workers)
- Overtime rules
- 2x normal rate. Maximum 2 overtime hours per day.
Tax overview
- Income tax range
- 0% to 30%
- Corporate tax
- 27.5% (listed); 30% (unlisted); 45% (mobile telecoms)
- Social contributions
- No statutory social insurance system. Employer provides benefits directly.
- VAT / GST
- 15%
- Tax year
- July 1 to June 30
- Treaty network
- Over 35 tax treaties
Compliance landscape
- Worker classification
- Bangladesh Labour Act 2006 (amended 2013, 2018) governs.
- Data protection
- No comprehensive data protection law (Digital Security Act 2018 provides some provisions).
- Right to work
- Work permit required for foreigners from BIDA (Bangladesh Investment Development Authority).
- Non-compete
- Limited enforceability under Bangladeshi law.
- Collective bargaining
- Protected. Active in garment sector.
Payment rails
bKash is one of the world's largest mobile money platforms (70M+ accounts). BEFTN handles interbank electronic transfers.
Key considerations for hiring
- Bangladesh is the world's second-largest garment exporter after China
- bKash mobile money has revolutionised financial inclusion (70M+ accounts)
- Growing IT and freelancing sector — Bangladesh is in the global top 10 for freelance earnings
- Dhaka and Chittagong have expanding tech ecosystems
Business and cultural context: Bangladesh
Business culture
Hierarchical and relationship-oriented. Personal connections are important. Bengali hospitality is warm. Business pace varies between fast-moving Dhaka and regional centres.
Key industries
Talent pool strengths
Historical context
Bangladesh's ready-made garment industry, which accounts for 85% of exports, employs 4 million workers (mostly women) and transformed the country from an aid-dependent economy to one of Asia's fastest-growing. The Rana Plaza collapse (2013) catalysed global supply chain accountability reforms. Bangladesh's GDP growth has averaged 6-7% annually, and it graduated from Least Developed Country status in 2026.
Ready to hire in Bangladesh?
Use our EOR service from $399/month and we handle employment law, payroll, tax and compliance in Bangladesh for you.