Hire Staff in Bangladesh Without a Local Entity
Hire and pay staff in Bangladesh in days — no local entity required, full compliance with the Bangladesh Labour Act 2006.
An Employer of Record (EOR) in Bangladesh is a local company that becomes the legal employer of your staff. PayrollBangladesh provides this service — handling payroll in BDT, income tax withholding, provident fund, gratuity, and Labour Act 2006 compliance — so foreign companies can hire in Bangladesh without registering an entity.
Reviewed by Romana Akther Shila, HR — updated August 2026
What Is an Employer of Record (EOR) in Bangladesh?
An Employer of Record (EOR) in Bangladesh is a local company that becomes the legal employer of your staff. PayrollBangladesh signs a Labour Act 2006-compliant contract, runs payroll in Bangladeshi Taka, withholds NBR income tax, and manages provident fund and gratuity — while you direct the day-to-day work. It lets foreign companies hire in Bangladesh without registering their own entity.
No local entity. No legal overhead. Your Bangladesh hire can be onboarded and working in 2 to 3 business days, fully compliant from day one.
- Remote Staffing
- Remote Onboarding
- Work Visa Processing
- Work Permit Support
- Hire Expatriate
- Expatriate HRM
Bangladesh Employment Compliance We Handle for You
Hiring in Bangladesh means full compliance with the Bangladesh Labour Act 2006 — paying salary in Bangladeshi Taka, withholding income tax under the NBR, and providing statutory benefits like provident fund, gratuity, and festival bonuses. As your Employer of Record, we handle every one of these obligations so you stay 100% compliant without a local entity.
| Compliance Area | What Bangladesh Law Requires |
|---|---|
| Governing law | Bangladesh Labour Act, 2006 (and amendments) |
| Salary currency | Must be paid in Bangladeshi Taka (BDT) |
| Minimum wage | Sector-specific, set by the Minimum Wage Board. For IT/services: typically determined by market rates/contracts unless a specific sectoral Gazette applies. |
| Provident Fund | Equal contribution of 7% to 8.33% of basic salary by both employer and employee (mandatory if established). |
| Gratuity | Minimum 5 years of service; calculated as 30 days' basic wages per year (45 days' basic wages per year for 10+ years of service). |
| WPPF (profit share) | Companies with 100+ permanent workers (or minimum capital criteria) contribute 5% of net profit. |
| Festival bonus | 2 bonuses per year (commonly equivalent to basic salary for eligible employees). |
| Income tax (NBR) | Progressive slabs from 0% up to 25% (or 30%). Tax year: July 1 – June 30. |
| Working hours | Standard 48 hrs/week (8 hrs/day) up to max 60 hrs/week including overtime. |
| Paid leave | 1 day per 18 days worked (approx. 14–18 days annual leave) + 11 days public festival holidays + 10 days casual + 14 days sick leave. |
Every filing, contribution, and payslip — handled correctly, on time, in full compliance.
Ongoing Compliance Monitoring
Bangladesh labour and tax rules change. We track every update to the Labour Act, NBR tax rates, and Minimum Wage Board rulings — and adjust your payroll automatically. If anything affects your team, we notify you first. You are never caught off guard.
Why Foreign Companies Choose Our EOR in Bangladesh
Everything you need to hire and pay staff in Bangladesh — compliant, fast, and transparent.
No Hidden Fees
One transparent monthly fee per employee. No setup charges, no surprise costs — you see the full price before you commit.
Full Legal Compliance
Local experts keep you compliant with the Bangladesh Labour Act 2006, NBR tax rules, and provident fund — every filing done correctly, on time.
One Place for Everything
Contracts, payroll in BDT, tax, and payslips — all managed from a single dashboard. One point of contact for your entire Bangladesh team.
Employees or Contractors
Hire full-time employees through our EOR, or engage independent contractors compliantly — scale your Bangladesh team up or down anytime.
Video overview: This short video explains how Employer of Record (EOR) and payroll outsourcing services work for companies hiring in Bangladesh. It covers what an EOR does as the legal employer — running payroll in Bangladeshi Taka, withholding NBR income tax, and managing statutory benefits under the Bangladesh Labour Act 2006 and why foreign companies use an EOR to hire staff without registering a local entity. Watch it for a two-minute introduction, then see the compliance table above for the exact statutory requirements PayrollBangladesh handles on your behalf.
Trade License Support for Your Bangladesh Entity
Every business operating in Bangladesh needs a valid trade license, renewed each year. As part of our EOR and entity services, we prepare and file your trade license — including supporting documents such as the MOA/AOA, incorporation certificate, and TIN — with the relevant City Corporation or local authority.
Our team collects the required documents, submits the application, and pays the applicable fees on your behalf. We handle the follow-up with the authority and keep you updated at every step — so your license stays current without you chasing paperwork.
EOR vs Setting Up an Entity in Bangladesh: The Real Cost
EOR Pricing in Bangladesh
PayrollBangladesh's EOR service costs 300–500 USD per employee per month, depending on role, headcount, and benefits. Statutory employer costs — provident fund, gratuity accrual, and festival bonuses — add roughly 15% to 22% on top of gross salary. One transparent monthly fee, itemized in every quote: no setup charges, no hidden costs.
Setting up a local entity in Bangladesh can take 4 to 8 weeks via RJSC and BIDA and cost $3,000 to $6,000+ in legal, registration, and initial compliance fees. With an EOR, your first employee can be hired and compliant in just 2 to 3 business days — no incorporation required.
Why Skip Local Incorporation
Without an EOR, you must incorporate and register a company locally in Bangladesh — a costly, time-consuming process requiring accountants and lawyers. An EOR lets you hire employees in Bangladesh legally and stay compliant, while avoiding the cost and delay of forming a company.
Get Our 4 Expansion Solutions Through The EOR Entity Set-up
From international PEO and Employer of Record services, to payroll, talent acquirement, global flexibility and entity set-up, our customized solutions ensure that your expansion needs are taken care of with the assistance of a single partner
Foreign Company Formation
Our team of specialists utilize their wealth of experience and intelligence tools to enable firms to easily transition from working with our professional experts to forming an established entity, supporting them every step of the way.
Branch Office Set Up
We provide New Branch Office Setup Services in Bangladesh with extensive industrial skills and understanding in this field. These services are in high demand among our clients due to their prompt execution and they are provided by of our most diligent executives.
Registration Process
We offer hassle-free registration processing, timely updates, and the assurance that we'll be there for you every step of the way. Moreover We provide customers with the greatest all-in company formation service at the lowest cost .
Representative Office
We provide outstanding service to our clients in setting up representative office from beginning to end with a team of professional expert who have years of experience in this field. They will advise you on what you need to run your business in the Bangladesh
Why We Are Different To Ensure Successful EOR Services?
1. Utilize Local Expertise: Our own global expansion has given us firsthand experience with the obstacles of hiring people from other countries, and we've backed it up with a market-leading network of local specialists in sectors like accounting, legal, and compliance.
2. Save Time: Quickly deploying your team into the country can aid in the start-up of your international project. An Employer of Record solution speeds up onboarding by avoiding the red tape and lengthy timeframes associated with entity segregation.
3. Spend Less: The financial viability of an overseas enterprise is determined by its profitability; adopting an Employer of Record service reduces costs associated with business formation, payroll and taxation, foreign exchange, and immigration.
4. Ensure Compliance: Employment and tax rules are complicated and differ by country; noncompliance can result in severe penalties. To guarantee that your overseas employees are working legally in-country.