
Professional Compliance Consulting Services in Bangladesh
PayrollBD is a professional compliance consulting firm in Bangladesh. We manage your back-office HR, payroll and tax compliance so your business stays aligned with local law while you focus on growth. Our specialists keep your policies, records and filings audit-ready.
What is compliance consulting?
Compliance consulting is a professional service that helps a company meet its legal and regulatory obligations across labour, HR, payroll and tax. In Bangladesh that means staying aligned with the Bangladesh Labour Act 2006, DIFE inspections, and NBR and BIDA requirements, reducing the risk of fines and shutdowns.
We conduct a comprehensive audit of your company’s current human resources by professional compliance consulting service. In addition, the results of the audit will allow us to make recommendations. As a result, we can protect your business from costly legal problems. Furthermore, we can ensure that your company’s HR policies are in line with applicable laws. Also, that your record-keeping is thorough.
Our compliance consulting service helps identify areas for potential growth, save you money, and resolve tax issues. We will assist you with specific areas that can be covered by our Legal Professional Compliance Consulting service.
1. HR Documentation.
2. Auditing Of Employee Records.
3. Employee Intake Process.
4. Employee Handbook.
5. Record Retention.
6. Policies & Procedures.
7. BIDA Reporting & Verification.
8. Local Guidelines & Practices.
9. Cash Flow Management.
10. Provide Tools For Cash Allocations.
11. Revenue & Overhead Analysis.
12. Plan To Track Every Taka.
13. Analysis Of Equipment Purchases & Expansions.
14. Forecasting & The Cash Flow Calendar.
15. Analysis Of Direct & Indirect Cost.
16. Benchmark Key Financials.
Why hire a compliance consulting agency in Bangladesh?
In Bangladesh, workplace compliance is governed by the Bangladesh Labour Act 2006 and enforced by the Department of Inspection for Factories and Establishments (DIFE), while tax and investment matters sit with the NBR and BIDA; our specialists keep your business aligned with all of them. Reviewed by Eicra Binte Islam
1. HR Compliance.
2. Onboarding paperwork.
3. Unemployment and Worker’s Compensation
4. Workplace safety and health management.
5. Employee Benefit Management.
6. Recruiting Talent.
7. Temporary staffing payroll administration.
8. Employee Termination Compliance.
9. Regulatory employee training.
10. Writing Employee Handbooks.
11. Writing job descriptions.
12. One on One Manager Discussions.
13. Onsite full-service HR administration.
14. Labor Guidance and Compliance.
15. Talent Development and Guidance.
16. HR experience across every city we serve.
Can a foreign company hire staff in Bangladesh without a local entity?
Yes. A foreign company can employ people in Bangladesh without first incorporating, by engaging a local employer of record that holds the employment contract while the foreign company directs the day-to-day work. The alternative is to register a legal presence through the Bangladesh Investment Development Authority (BIDA) and employ directly. Either route carries the same statutory duties set out above — the difference is who signs the contract and who answers to the inspector.
What changes for a foreign employer
- 1Work permits for expatriate staff. Foreign nationals working in Bangladesh require a work permit, issued through BIDA for commercial and industrial entities outside the export processing zones.
- 2Payroll in local currency. Wages are paid and reported in Bangladeshi taka, with tax deducted at source and remitted to the National Board of Revenue.
- 3Records the inspector asks for. Service books, wage registers, leave records and appointment letters must exist in the form the Act prescribes, in Bangladesh, before an inspection — not reconstructed after one.
PayrollBD acts for companies on both routes and for companies moving from one to the other. Talk to us about which fits your headcount and time frame: contact the compliance team or request a written quote.
What does the Bangladesh Labour Act 2006 require of every employer?
Every establishment operating in Bangladesh is bound by the Bangladesh Labour Act 2006 (Act XLII of 2006). The obligations below are the ones an employer is most often found non-compliant on during a DIFE inspection. Section numbers refer to the Act as currently amended, including the Bangladesh Labour (Amendment) Act 2026. Where the duty is one we carry for you, it is handled inside our HR payroll management service.
| Obligation | What the Act requires | Section |
|---|---|---|
| Daily working hours | 8 hours (extendable to 10, subject to s.108) | s.100 |
| Weekly working hours | 48 hours (extendable, subject to s.108) | s.102 |
| Overtime rate | Double the ordinary rate of wages | s.108 |
| Casual leave | 10 days on full wages, not cumulative | s.115 |
| Sick leave | 14 days on full wages | s.116 |
| Annual leave with wages | 1 day for every 18 days worked (22 days, tea garden) | s.117 |
| Festival holiday | 13 days with wages | s.118 |
| Maternity benefit | 60 days before and 60 days after delivery | s.46 |
| Notice — permanent worker | 120 days (monthly-rated) or 60 days (others) | s.26(1) |
| Notice — temporary worker | 30 days (monthly-rated) or 14 days (others) | s.26(2) |
Section 46 was amended by the Bangladesh Labour (Amendment) Act 2026, which replaced the former “eight weeks” period with 60 days before and 60 days after delivery. Section 118 stands at 13 days of festival holiday, not 11. Employers working from older summaries are frequently wrong on both. The unamended sections above are as published by the Ministry of Law at bdlaws.minlaw.gov.bd; the section 46 and section 118 figures come from the Bangladesh Labour (Amendment) Act gazetted by SRO on 16 February 2026, which the consolidated text on that site does not yet carry. Sector wage boards and gazette notifications may impose higher minimums.
How does compliance consulting work at PayrollBD?
In four stages, each with a named owner and a date. Nothing is rewritten before the audit has proved it fails a section of the Bangladesh Labour Act 2006, and nothing is reported as closed before the replacement record exists. You can see at any point which stage the establishment is in, which records have been rebuilt, and which duty each rebuilt record answers.
- 1
Discovery call
We establish your headcount, sector, establishment type and which records already exist, so the scope is set from facts rather than assumptions. Nothing is quoted before that call, and nothing is promised that the record set cannot support. You leave the call knowing which duties apply to your establishment and roughly how much documentation the first pass will touch.
- 2
HR and records audit
We test appointment letters, identity cards, service books and the register of workers against the sections of the Bangladesh Labour Act 2006 that create each duty, then check wage records against the statutory payment deadlines. Every gap is written down with the record it concerns, the section it fails and the change required, so nothing is fixed on impression alone.
- 3
Recommendations and policy alignment
We rewrite the handbook, the contract templates and the registers that failed the audit, and align the payroll calendar with the statutory payment deadlines. Each rebuilt record is checked back against the section that required it before it is reported as closed. You receive the findings, the replacement documents and a short note on what changed and why.
- 4
Ongoing monitoring and reporting
We watch for amendments to the Bangladesh Labour Act 2006 and for notices from DIFE, the National Board of Revenue and BIDA, then identify which of your records, policies or filings each change touches. Affected documents are refreshed and you receive a report on an agreed cycle stating what changed, what we updated, and what still sits with you.
What do employers ask most about compliance in Bangladesh?
These six questions come up in almost every discovery call with a company employing staff in Bangladesh. Each answer names the section, the record or the stage it rests on, so you can check it against the statute rather than take it on trust. Where a duty falls on the employer rather than on PayrollBD, the answer says so plainly.
Questions foreign employers ask before they hire
The first three cover whether a local entity is needed, what notice the Bangladesh Labour Act 2006 requires to end an employment, and how much paid leave accrues each year. The last three cover maternity benefit, working hours and the overtime rate, and how an engagement is scoped and quoted before any work starts.
Can a foreign company hire employees in Bangladesh without opening a local entity?
Yes. A foreign company can engage a local employer of record that holds the employment contract, or it can register a presence through BIDA and employ directly. Both routes carry identical duties under the Bangladesh Labour Act 2006; only the contracting party changes.
What notice period does the Bangladesh Labour Act 2006 require to end employment?
For a permanent worker, section 26(1) requires 120 days written notice for a monthly-rated worker and 60 days for other workers. For a temporary worker, section 26(2) requires 30 days for a monthly-rated worker and 14 days for others.
How much paid leave must an employer in Bangladesh grant each year?
Section 115 gives 10 days casual leave on full wages, section 116 gives 14 days sick leave on full wages, and section 117 gives annual leave at one day for every 18 days worked in a shop, commercial or industrial establishment, factory or road transport undertaking. Section 118 adds 13 days of festival holiday with wages.
What maternity benefit must an employer provide in Bangladesh?
Under section 46, as amended by the Bangladesh Labour (Amendment) Act 2026, a woman worker is entitled to maternity benefit for 60 days immediately before the expected date of delivery and 60 days immediately after. Section 45 bars an employer from having her work in the 60 days following delivery. Older guides still citing eight weeks are out of date.
What are the legal working hours and overtime rate in Bangladesh?
Section 100 sets ordinary daily hours at 8 and section 102 sets ordinary weekly hours at 48, each extendable subject to section 108. Section 108 requires overtime to be paid at double the ordinary rate of wages, and does not apply to piece-rate workers.
How does an engagement start, and how is it priced?
We price each engagement individually, because compliance scope varies by company size, sector and headcount. After a short discovery call we assess the work and send a fixed, written quote before anything begins, with no hidden fees. Every engagement starts with a written Engagement Letter setting out each service and how it will be delivered.
