This document provides an overview and analysis of labor laws in Bangladesh. It describes the history of labor legislation in Bangladesh and provides definitions of key terms. It also outlines some of the key provisions of the Bangladesh Labor Act of 2006, including classifications of workers, leave policies, termination procedures, and punishment for misconduct. Finally, it discusses the publication of the Bangladesh Labor Rules in 2015 and provides some conclusions regarding ongoing efforts to strengthen labor rights and protections in Bangladesh.
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Labor Law Assignment in Bangladesh
1. IPE4253
ASSIGNMENT ON
LABOR LAWS IN BANGLADESH
Submitted by: Submitted to:
S.A.M. SABBIR AHASAN Md. RAKIBUL ISLAM
Roll:136025 LECTURER,
Department of Department of Industrial
Glass & Ceramic Engineering, & Production Engineering,
RUET RUET
2. Summary
This assignment describes about the current labor laws in Bangladesh. This assignment describes
about the labor act and implementation of labor laws. The labor legislation of Bangladesh mainly
deal with the workers employed in the formal sectors. A vast majority of the workers employed
in informal sector remain outside of the ambit of the labour laws of the country. Up until 2006,
there were more or less thirty separate laws which related to labour issues in the country. To
simply the labour laws and make a comprehensive single labour code, the Government formed
a commission namely the Labour Law Commission, 1992 with members from employers and
workers, as well as Government representatives and legal experts. Based on the report submitted
by the commission on 31st
March, 1994 and followed by long discussions with the Employers and
Workers, GOB passed the LABOUR ACT, 2006 on the 11th October, 2006 repealing the existing
25 laws of the country.
This Bangladesh Labour Act, 2006 deals with the employment of labour, relations between
workers and employers, determination of minimum wages, payment of wages and compensation
for injuries to workers, formation of trade unions, raising and settlement of industrial disputes,
health, safety, welfare and working conditions of workers, and apprenticeship and matters
ancillary thereto.
Although, the Act was passed in 2006, no rules under this law have yet been made, the
consequence of which the proper implementation of the law is being hampered. The rules made
under the previous repealed laws although remain in force, but those are considered insufficient
for the proper implementation of the BLA, 2006.
3. Contents
The title page
Summary
Contents
The introduction
History
Definitions
Classification of workers
Working hours
Employee leave types
Punishment for conviction & misconducts
Procedure for punishment
Termination by employer or employee
Payment of Provident Fund
Time limit for payment of final dues of workers
Service Benefit
Bangladesh Labor Rules 2015 published
Conclusions and recommendations
References
4. Introduction
Labour law (or “labor”, or “employment” law) is the body of laws, administrative rulings, and
precedents which address the legal rights of, and restrictions on, working people and their
organizations. As such, it mediates many aspects of the relationship between trade unions,
employers and employees. In Canada, employment laws related to unionized workplaces are
differentiated from those relating to particular individuals. In most countries however, no such
distinction is made. However, there are two broad categories of labour law. First, collective
labour law relates to the tripartite relationship between employee, employer and union. Second,
individual labour law concerns employees’ rights at work and through the contract for work.
The labour movement has been instrumental in the enacting of laws protecting labour rights in
the 19th and 20th centuries. Labour rights have been integral to the social and economic
development since the industrial revolution.
Labour law arose due to the demands for workers for better conditions, the right to organize,
and the simultaneous demands of employers to restrict the powers of workers’ many
organizations and to keep labour costs low. Employers’ costs can increase due to workers
organizing to win higher wages, or by laws imposing costly requirements, such as health and
safety or equal opportunities conditions. Workers’ organizations, such as trade unions, can also
transcend purely industrial disputes, and gain political power – which some employers may
oppose. The state of labour law at any one time is therefore both the product of, and a
component of, struggles between different interests in society.
What is ILO :
The International Labour Organization (ILO) is devoted to advancing opportunities for women
and men to obtain decent and productive work in conditions of freedom, equity, security and
human dignity. Its main aims are to promote rights at work, encourage decent employment
opportunities, enhance social protection and strengthen dialogue in handling work-related
issues.
International Labour Code :
One of the principal functions of the ILO is setting international labour standards through the
adoption of conventions and recommendations covering a broad spectrum of labour-related
subjects and which, together, are sometimes referred to as the International Labour Code. The
topics covered include a wide range of issues, from freedom of association to health and safety
at work, working conditions in the maritime sector, night work, discrimination, child labour, and
forced labour. The term “code” is somewhat a misnomer insofar as adoption of new standards
and revision of old ones has not resulted in an entirely integrated and homogeneous body of law.
This is not the case. Nevertheless, the broad scope of the subjects covered by the ILO’s standards
suggests that the term “code” would be appropriate to use.
5. History
The Bangladesh Labour Code 2006 is one of the very recent laws with major overhauling changes
in the field of labour legislation. The laws which this Code has replaced were made mostly during
the British Colonial regime and Pakistan period and they were as many as 50 in number. In many
cases these laws were outdated, scattered, inconsistent and often overlapping each other. In
1992 a Labour Law Commission was formed by the Government of the day which examined 44
labour laws and recommended to repeal 27 laws and it prepared a draft Labour Code in 1994. This
draft of Labour Code, 1994 underwent series of changes in its vetting stages and finally the
Bangladesh Labour Code 2006 was passed by the Parliament on October 11, 2006. Section 353 of
the Code has repealed 25 previous labour related laws. There are still 25 valid laws dealing with
labour and -industrial issues have not been repealed or consolidated and as such the Bangladesh
Labour Code 2006 although a consolidated Act has not consolidated all the laws in the filed.
Furthermore, although the name of the law is Bangladesh Labour Code,-in fact, it is not a Code
rather a consolidating legislation only.
A recent tendency of legislative drafting by the government bodies has been that most of the laws
are drafted in Bengali and so has been the case of the Bangladesh Labour Code, 2006.
Definitions
Adolescent: Adolescent means a person who has completed his 14th years but not completed
18th years of age.
Adult: Adult means a person who has completed 18th year of age.
Child : Child means a person who has not completed his 14th year of age.
Retrenchment : Retrenchment means the termination by the employer of service of workers on
the ground of redundancy.
Discharge : Discharge means the termination of services of a worker by the employer for the
reasons of Physical or mental incapacity or continued ill health of a worker.
Dismissal : Dismiss means termination of service of worker by the employer for misconduct.
Go Slow : Go Slow means an organized, deliberate and purposeful slowing down of normal
output of work by a body of workers in a concerted manner, and which is due to any mechanical
defect,breakdown of machinery, failure or defect in power supply or in the supply of normal
materials and spare parts of machinery.
6. Lay off : Lay off means the failure, refusal or inability of an employer on account of shortage of
coal, power or raw material or the accumulation of stock or the breakdown of machinery, to give
employment to a worker.
Classification of worker
Workers employed in any establishment shall be classified in any of the following class according
to nature and condition of work namely-
1. Apprentice
2. Badli
3. Casual
4. Temporary
5. Probation
6. Permanent
1. Apprentice: A worker shall be called an apprentice if he is employed in an establishment as a
learner & is paid an allowance during the period of his training.
2. Badli: A worker shall be called a badli if he is employed in an establishment in the post of a
permanent worker or probationer during the period of his temporary absence.
3. Casual: A worker shall be called a casual worker if his employment in an establishment is casual
nature.
4. Temporary: A worker shall be called a temporary worker if he is employed in an establishment
for work which is essentially of temporary nature,& is likely to be finished within a limited period.
5. Probationer : A worker be shall be called a probationer if he is provisionally employed in an
establishment to fill a permanent vacancy in a post & has not completed the period of his
probation.
6. Permanent: A worker shall be called a permanent worker if he is employed in an establishment
on a permanent basis or if he has satisfactorily completed the period of his probation in the
establishment.
7. Contents
The title page
Summary
Contents
The introduction
History
Definitions
Classification of workers
Working hours
Employee leave types
Punishment for conviction & misconducts
Procedure for punishment
Termination by employer or employee
Payment of Provident Fund
Time limit for payment of final dues of workers
Service Benefit
Bangladesh Labor Rules 2015 published
Conclusions and recommendations
References
8. Casual Leave:
Section-115: Every worker shall be entitled to casual Leave with full wages for 10 (Ten) days in a
calendar year. It will not be accumulated and carried forward to the succeeding year.
Sick Leave:
Section-116: Every worker shall be entitled to sick leave with full wages for a total period of 14
(Fourteen) days in a year. It will not be accumulated and carried forward to the succeeding year.
Festival Holidays:
Section-118: Every worker shall be allowed 11 (Eleven Days) festival holidays with full wages in a
year.
A worker may be required to work on a festival holiday but 2 (Two) days additional
compensatory holidays with full wages & a substitute holiday shall be provided. Festival
Holidays
[Note: A worker may be required to work on festival holiday but two days additional
compensatory holiday with full wages & a substitute holiday shall be provided]
Annual Leave:
Section-117: Every adult worker who has completed a period of one year continuous service in
the establishment shall be allowed leave & it calculated at the rate of 01 day for every 18 days of
work.
[Note: Only Earned leave can carry forward to the succeeding year. Any leave applied for by a
worker but refused by his employer shall be added to the credit of such worker]
Maternity welfare facilities:
Section -45,46: Employers are liable to provide maternity benefits to the employee who has
completed at least 6 months of service with the employer by the date of confinement.
Every woman employed in any establishment shall be entitled to the payment of
maternity benefit : 08 weeks (2 month) preceding the tentative date of her delivery.08
weeks (2 month) immediately following the said of her delivery.
9. [Note: No woman worker shall be entitled to such benefit if she has, at the time of delivery, two
or more children alive].
PUNISHMENT FOR CONVICTION & MISCONDUCTS
Section-23: A worker guilty of misconduct may, instead of being dismissed
Removal
Reduction to a lower post, grade or scale of pay, for a period not exceeding 1 year.
Stoppage of promotion for a period not exceeding 1 year.
Withholding of increment for a period not exceeding 1 year
Fine
Suspension without wages for a period not exceeding 7 days.
Censure & warning.
PROCEDURE FOR PUNISHMENT
Section-24: No order of punishment against a worker shall be made unless-
The allegations against him are recorded in writing.
He is given a copy thereof and not less than seven day’s time to explain.
He is given a opportunity of being heard.
He is found guilty, after enquiry.
The employer or the manager approves of such order.
A worker charged for misconduct may be suspended, unless the matter is pending before any
Court, the period of such suspension shall not exceed 60 days.
Provided that, during the period of suspension, a worker shall be paid by his employer a
subsistence allowance equivalent to half of his average wages(Basic).
If the worker is found not guilty of charges on inquiry he shall be deemed to have been on duty
for the period of suspension for enquiry, if any, and shall be entitled to his wages for such period
of suspension & subsistence allowance shall be adjusted accordingly.
TERMINATION BY EMPLOYER OR EMPLOYEE (SECTION-26,27)
In the case of termination of the employment with notice by employer-
10. The employer shall be terminated of monthly rate workers giving a written notice of 120
days and the employer shall be terminated of other workers giving a written notice of 60
days.
In the case of termination of the employment with notice by Employee-
If a permanent worker desires to terminate his/her employment, 60 days’ written notice
must be given to the employer.
If a worker (in probation) desires to terminate his/her employment, 14 days’ notice must
be given to the employer.
Payment of Provident Fund
Section-29: No worker, who is a member of any Provident fund shall not be deprived due to
retrenchment, dismissal, and discharge or terminated.
Time limit for payment of final dues of workers
Section-30: The appointing authority shall pay all dues of a worker within maximum of 30 working
days of his discharge, dismissal, retirement or termination.
SERVICE BENEFIT (SECTION-14,27)
A worker, who during the preceding twelve calendar months, has actually worked in an
establishment for not less than 240 days and 120 days, as the case may be, shall be
deemed to have completed 1 year or 6 month respectively of continuous service in the
establishment.
When a employment of permanent worker is terminated, he shall be paid by the
employer compensation—
a) At a rate of 14 days wages for every completed year of service if he has completed 5 years
of continuous service or more but less than 10 years.
b) At the rate of 30 days wages for every completed year of service, if he has completed 10 years
of continuous service or more.
11. Bangladesh Labor Rules 2015 published
After much delay, Bangladesh government has introduced the Bangladesh Labor Rules 2015 on
September 15, 2015 through a gazette. Government was under pressure from various sources to
promulgate the Labor Rules for a long time.
Here are some key points of the Labor Rules 2015:
Employment Policy/Service Rules: If any establishment wants to have its own
Employment Policy/Service Rules, it must obtain approval from the Chief Inspector of
Labor. All existing Employment Policy/Service Rules must be submitted to the Chief
Inspector of Labor within November 15, 2015 for approval.
Registration of Manpower supply agency: The Rules prescribed the process and forms
for the registration of manpower supply agencies under the Labor Act. Some new
conditions are also imposed on the manpower supply agencies.
Establishment Organogram: Every owner of an establishment must prepare an
organogram for the establishment and must obtain the approval of Chief Inspector of
Labor for such organogram.
Appointment Letter: Under the Labor Act, an appointment letter must be issued for hiring
any labor. The Labor Rules makes it mandatory that the appointment letter must contain
certain information such as salary, other financial benefits, applicable rules etc.
Various Register: The Labor Rules prescribe certain forms for various register such as
service book, labor register, leave register, etc.
Misconduct and punishment: The Rules prescribe the process for investigation of
misconduct.
Two festival bonuses: The Rules makes it mandatory that a labor, who continuously
works for a year, must receive two festival bonuses in every year. Each bonus shall not be
more than a basic salary.
Provident fund elaborated: the Rules provide detailed guidelines regarding provident
fund. New additions include provisions related to selection of nominee, management of
the fund, activities of the trust for managing provident fund.
Holiday: The Rules detailed the provisions related to holidays. It also clarifies the
provisions related to compensatory weekly holiday.
Health and fire safely: The Rules provide a detail guideline on health and fire safety.
Wages: the Rules details the provisions related to wages. Clarification is provided for the
mechanism of calculating wages for fraction of month and deduction from wages.
Prescribe from for filling case in Labor Court: The Rules introduces some prescribe form
for filling cases in the Layout Court.
Approval of factory plan and any extension: The Rules put an end to the Factories Rules
and provide detail guideline how approval of factory plan and any extension thereof
should be obtained.
12. Conclusion
Bangladesh being a member of International Labor Organization has been trying to maintain
international standard in enacting laws relating to labor rights. The Bangladesh Labor Law 2006
is a complete code to protect the rights of labor in Bangladesh working in various factories and
industries with maintaining the requirements of International Conventions of ILO. As a third
World County it has been ratified most of conventions of ILO and assisting to promote more
efficient operation of those treaties with implementing the laws relating to labor. Though it is
not possible to maintain highest standard through its enactment and practical implementation
of labor laws due to many social and economical restriction but the continuing process is
somehow demands a lot of gratitude from international community.
To reduce the incidents of workers unrest in the factories, the adjustments of their salaries in
view of the inflation of every year is also needed, but unfortunately which we will continue to
miss this in our labour law. The new amendment will again not provide any protection to the
worker from being stripped off the right of becoming member of a trade union of a factory in
the event he loses the job. Workers in garment sectors are still some of the lower wage
earners in the world, living and working in deplorable conditions in the face of unapologetic
exploitation. Unless concrete steps are taken to safeguard the security of the workers, both
in terms of physical and livelihood, the whole RMG sector’s future will remain at stake.
Bangladesh Fire and Building Safety Accord is a noble initiative on the part of the buyers and
global unions. But it remains to be seen how effectively this external initiative is integrated
locally. Importantly, strict and timely monitoring of the compliance including factory
inspection shall have to be ensured and a new provision of stringent punishment for the
delinquent officials, which is presently missing in BLA, has to be added to the law. At last not
least, the proposed amendment needs to be intensely discussed as an attempt to have the
amendments flawed free and pragmatic for betterment of all concerned.