International Employment – Bangladesh – Nauriin Ahmed

At Legal Circle, we specialise in employment and labour law, providing comprehensive legal services tailored to the diverse needs of our clients. Our expertise encompasses a wide range of employment law issues, including compliance, dispute resolution and strategic advisory.

We assist clients with drafting, reviewing and negotiating employment contracts to ensure they meet legal requirements and reflect the interests of both employers and employees. Our team provides in-depth guidance on complying with local and international employment regulations, including labour laws, employment agencies, workplace safety and anti-discrimination policies. We also handle employment disputes, such as wrongful termination, discrimination claims and wage disputes.

In addition, we offer advice on structuring employee benefits and compensation packages to align with legal standards and organisational goals. We help clients develop and implement workplace policies and handbooks that foster a fair and compliant work environment. For businesses undergoing workforce reductions or restructuring, we provide support to navigate redundancy processes while ensuring legal compliance and minimising risks.

Our firm distinguishes itself through its deep local expertise in Bangladeshi employment and labour laws, which allows us to offer nuanced and contextually relevant advice. We take a personalised approach, tailoring our legal strategies to address each client’s unique employment challenges. Our proactive stance enables us to identify potential issues before they arise and offer solutions to mitigate risks effectively.

We offer comprehensive support covering all aspects of employment law, from contract drafting to dispute resolution, ensuring clients have a one-stop solution for their employment-related needs. Our experienced team of professionals delivers high-quality representation and advice, with a strong emphasis on clear communication and transparency. This client-centric approach ensures that our clients are well-informed and confident in their legal decisions.

By leveraging our specialised expertise and commitment to excellence, we deliver exceptional employment and labour law services that drive successful outcomes for businesses and individuals in Bangladesh.

Employing a workforce in Bangladesh involves navigating a complex array of employment and labour laws. The primary challenge lies in ensuring compliance with the comprehensive regulatory framework established by the Bangladesh Labour Act, 2006, along with its subsequent amendments and the rules promulgated under it. The legislation covers various aspects of employment, including working hours, wages, health and safety, as well as employee benefits, which can be intricate and demanding for businesses unfamiliar with the local legal landscape. In addition, the requirement for detailed appointment letters, which must outline job responsibilities, compensation and termination conditions, adds another layer of complexity.

Termination and dismissal procedures in Bangladesh are also governed by strict legal requirements, including procedural safeguards and severance obligations, making the process of legally compliant termination complex. Employers must also navigate the rights of employees to form and join trade unions, manage relationships with employee representatives and address issues related to collective bargaining and industrial actions. Compliance with wage and benefit regulations is another critical area, where precise calculations and adherence to minimum wage laws are essential to avoid legal disputes. Moreover, adherence to data protection laws is crucial for handling employee information, requiring careful management of how personal data is collected, stored and processed.

At our firm, we specialise in employment and labour law and are well-equipped to assist businesses in overcoming these challenges. We provide expert guidance on regulatory compliance, including the preparation and review of employment contracts, ensuring adherence to wage and benefit regulations, as well as maintaining health and safety standards. Our team handles lawful termination procedures and manages disputes related to dismissal, helping businesses navigate severance payments and mitigate legal risks. We also support the management of relationships with trade unions, addressing collective bargaining and industrial action issues effectively. Furthermore, we offer assistance with accurate wage calculations, benefit administration and data protection practices to ensure comprehensive compliance with legal requirements. By leveraging our expertise, businesses can navigate the complexities of employment law in Bangladesh, ensuring compliance and fostering a positive work environment.

At our law firm specialising in employment and labour law in Bangladesh, we handle a wide range of employment issues with efficiency and thoroughness. Our workflow begins with a detailed consultation to understand the client’s situation, followed by a comprehensive legal assessment of their employment practices and compliance with Bangladeshi labour laws. We develop and implement strategic approaches to address their concerns, including drafting and reviewing employment agreements, managing employee relations and navigating regulatory requirements. When disputes arise, we represent clients in negotiations, mediations and legal proceedings, offering ongoing support to ensure compliance and address emerging issues.

Recently, clients have faced challenges related to workplace restructuring, trade union activities, employee termination disputes and regulatory compliance. One notable case involved a foreign multinational corporation closing its offices in Bangladesh, resulting in the termination of several employees. In response, employees initiated a trade union application to delay their termination, aiming to negotiate better severance terms.

We conducted a legal assessment, advised the client on risks, and prepared for negotiations with the trade union. Our team managed all aspects of the transaction, ensuring compliance with local laws, negotiating fair severance packages and addressing employee concerns. The case was resolved successfully, allowing the client to wind up operations smoothly while maintaining a positive reputation.

This case highlights our firm’s ability to manage complex employment law issues, delivering successful outcomes through strategic legal solutions.
In addition to the above, we have meticulously crafted multiple employment agreements tailored to differing categories of employees being appointed by our client in the ride-sharing services industry. This process involved understanding the unique roles and responsibilities of each employee group, ensuring compliance with local labour laws, as well as incorporating company policies and standards to protect both the employer and employees. By doing so, we ensure that the client’s employment practices are both legally sound and aligned with their organisational objectives.

We have also been instrumental in obtaining commercial establishment and factory licences from the Department of Inspection for Factories & Establishments (DIFE) for our client in the healthcare services industry. This involved preparing and submitting all necessary documentation, liaising with regulatory authorities and ensuring that the client met all legal requirements to operate their facilities. Our efforts facilitated the client’s ability to function efficiently within the legal framework, contributing to their operational success.

The current business climate, marked by rapid technological changes and evolving regulations, drives the demand for our services. This makes the Legal Circle a trusted partner in navigating these complexities and achieving business goals.

Yes, we have observed a significant increase in remote and hybrid working arrangements in Bangladesh, particularly accelerated by the global pandemic and the subsequent shift in work culture. This trend has introduced several legal complexities that businesses must navigate to ensure compliance and maintain effective workforce management.

Key Legal Complexities:

1. Employment Contracts: Traditional employment contracts often do not account for remote or hybrid working arrangements. Employers need to update contracts to reflect new working conditions, including provisions for remote work, working hours and expectations.

2. Labour Law Compliance: Ensuring compliance with local labour laws, including working hours, overtime and leave policies, becomes more challenging with remote work. Employers must ensure that remote workers receive the same protections and benefits as on-site employees.

3. Data Privacy & Security: Remote work increases the risk of data breaches and cyber threats. Employers must implement robust data privacy policies and ensure that employees adhere to security protocols to protect sensitive information.

4. Performance Management: Managing and evaluating employee performance can be more complex in remote settings. Employers need to develop clear performance metrics and regular communication strategies to ensure accountability and productivity.

5. Dispute Resolution: Remote working arrangements can lead to new types of employment disputes, such as disagreements over work hours, availability and productivity expectations. Employers must have clear policies and procedures in place to address these issues.

6. Cross-Jurisdictional Issues: For businesses operating in multiple jurisdictions, remote work can complicate compliance with varying local laws and regulations. Employers need to understand and address the legal requirements in each jurisdiction where their employees are located.

As specialists in employment and labour law, our firm provides comprehensive legal support to help businesses navigate these complexities. We assist in drafting and updating employment contracts, developing data privacy policies, ensuring compliance with labour laws and resolving disputes effectively. Our goal is to enable our clients to implement successful remote and hybrid working arrangements while mitigating legal risks and maintaining a productive workforce.

In Bangladesh, the concept of digital nomads is still emerging, and there are no specific legal arrangements or formal frameworks directly addressing digital nomads. However, the country is gradually recognising the potential of remote work and digital nomadism, particularly as global trends evolve.

Key Considerations for Employers Implementing a “Work Anywhere” Policy:

1. Compliance with Local Labour Laws: Employers must ensure that their remote work policies comply with Bangladeshi labour laws. This includes adherence to regulations concerning working hours, minimum wage, employee benefits, as well as health and safety standards.

2. Taxation: Employers need to consider the tax implications of remote work. They must understand how the employee’s location affects their tax obligations and ensure proper tax withholdings and filings both domestically and, if applicable, internationally.

3. Data Security & Privacy: Implementing robust data security measures is crucial. Employers must ensure that their data protection policies are updated to address the risks associated with remote work. Compliance with data privacy laws, such as the Cyber Security Act, 2023, is essential.

4. Employment Contracts: Employers should review and, if necessary, update employment contracts to reflect remote working arrangements. This includes clauses on work location, working hours, communication protocols and performance expectations.

5. Cross-Border Employment Issues: In cross-border employment issues and employment of foreign workers, employers must navigate the complexities of cross-border employment laws, including visa requirements, work permits and adherence to the labour laws of the host country.

Key Considerations for Workers Taking Advantage of “Work Anywhere” Policies:

1. Tax Residency & Obligations: Digital nomads must be aware of their tax residency status and the corresponding tax obligations in both Bangladesh and the country they are residing in, or vice versa. Understanding double taxation agreements, if any, is important.

2. Work Permits & Visas: Workers should ensure they have the necessary work permits or visas to legally work in the country they choose to reside in. Each country has its own regulations regarding digital nomads and remote workers.

3. Employment Rights & Benefits: Workers should understand how their remote status affects their employment rights and benefits. This includes clarifying entitlements to healthcare, insurance and other employee benefits.

While Bangladesh is still developing formal policies for digital nomads, both employers and employees can benefit from careful planning and adherence to existing legal frameworks. Our firm is well-equipped to provide guidance on navigating these complexities and ensuring compliance with all relevant laws and regulations.

Yes, we have observed a heightened focus on Environmental, Social & Governance (ESG) issues among employers in Bangladesh. Companies are increasingly recognising the importance of sustainable and ethical practices.

Our firm can assist employers in aligning their strategies with ESG principles by:

1. Developing ESG Policies: Crafting comprehensive ESG policies that integrate environmental sustainability, social responsibility and robust governance practices.

2. Training & Development: Providing training programmes to educate employees about ESG values and practices.

3. Reporting & Transparency: Assisting in the preparation of ESG reports to enhance transparency and stakeholder trust.

4. Advisory Services: Offering ongoing advisory services to help employers continuously improve their ESG initiatives and adapt to evolving standards.

By partnering with us, employers can effectively incorporate ESG considerations into their business strategies, fostering a sustainable and responsible corporate culture.

We provide comprehensive counsel to prevent and combat workplace discrimination and persecution. Our services include:

1. Policy Development: Assisting employers in creating and implementing anti-discrimination policies that comply with local laws.

2. Training & Education: Conducting workshops and training sessions for management and staff to promote awareness and understanding of discrimination issues.

3. Legal Representation: Representing clients in disputes and providing defence against claims of workplace discrimination.

4. Advisory Services: Offering ongoing advice and support to address specific incidents and develop strategies to foster an inclusive and respectful workplace environment.

Our proactive approach helps employers maintain a fair and compliant workplace, reducing the risk of discrimination and persecution.

Yes, we have been active in work related to employees’ rights to organise a union. Common complexities in this area include navigating restrictive regulatory frameworks, addressing employer resistance and ensuring compliance with labour laws. We resolve these by providing thorough legal guidance on statutory rights, mediating between employers and employees to foster cooperative negotiations, as well as ensuring all actions are compliant with Bangladesh’s labour regulations. Our proactive approach ensures that both employees’ rights and employer interests are effectively balanced and protected.

We ensure a well-informed advisory scope for clients based in other jurisdictions or with overseas operations by:

1. Staying Updated on Global Trends: We monitor international labour laws and trends to understand their potential impact on local regulations and our clients’ operations.

2. Collaborating with International Partners: We work closely with reputable law firms and legal experts in other jurisdictions to gain insights and ensure compliance with both local and foreign legal requirements.

3. Tailored Research & Analysis: We conduct thorough research and provide tailored legal analyses to address the specific needs and challenges faced by clients with cross-border operations.

4. Regular Communication: We maintain regular communication with our clients to understand their global operations, providing proactive updates and legal advice to keep them informed and compliant.

This approach allows us to deliver precise, informed and effective legal solutions to our globally operating clients.

We are closely monitoring several upcoming developments. Key updates include:

1. Amendments to the Bangladesh Labour Act, 2006, and Bangladesh Labour Rules, 2015: Revisions aim to enhance worker rights, improve workplace safety and streamline dispute resolution processes.

2. Enhanced Data Privacy Regulations: With growing emphasis on digital security, new guidelines on personal data protection and privacy are expected to be introduced.

These changes highlight the evolving landscape of employment law in Bangladesh, emphasising the need for businesses to stay informed and compliant.

Our objectives for the coming year are focused on expanding our service offerings and enhancing our operational efficiency. We plan to broaden our practice by incorporating more specialised services in such areas as digital workplace policies, employee data privacy and compliance with evolving labour regulations. In addition, we aim to implement advanced technology solutions to streamline our processes, improve client communication and deliver more efficient and effective legal services. This strategic expansion and operational enhancement will enable us to better serve our clients and address the dynamic challenges in the employment and labour law landscape.