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An Employer of Record (EOR) lets your company hire and pay employees in Bangladesh without setting up a local entity. HRBD acts as the legal employer on your behalf — managing employment contracts, payroll, income-tax withholding, and full compliance with the Bangladesh Labour Act 2006 and NBR requirements. You keep day-to-day control of your team; we handle the local legal, tax, and statutory obligations so you can start hiring in weeks, not months.
Here's what we take off your plate when you hire in Bangladesh:
We draft locally compliant employment contracts and onboard your new hires in Bangladesh — fully aligned with the Labour Act 2006, so you're protected from day one.
We administer the mandatory and market-standard benefits Bangladeshi employees expect — including Provident Fund and Gratuity — keeping your team compliant and competitive.
We run accurate, on-time payroll and handle all income-tax withholding and NBR filings for your Bangladesh team, so salaries and statutory deductions are always correct.
Bringing in a foreign hire? We handle BIDA work permit filing, visa coordination, and the foreign-worker compliance steps so your expat placements stay fully legal.
Hiring in Bangladesh means navigating the Labour Act 2006, NBR income-tax withholding, 15% VAT, and mandatory benefits like Provident Fund and Gratuity — rules that shift with NBR circulars and DIFE inspections. As your Employer of Record, HRBD becomes the legal employer of your Bangladesh team and absorbs every one of these obligations. We issue compliant contracts in Bangla and English, pay salaries in taka, withhold and file income tax correctly, and keep you aligned with local deadlines — so a misclassified contractor, a missed festival bonus, or a wrong deduction never becomes a penalty for your company.
Setting up your own Bangladeshi entity means RJSC incorporation, a trade licence, BIDA registration, NBR and VAT enrolment, and a local bank account — usually two to four months of work. With HRBD's Employer of Record, you skip all of it and onboard your first Bangladeshi hire in one to two weeks. We handle HR management, payroll, income-tax withholding, and Labour Act 2006 compliance, while you keep full day-to-day control of your team's work.
An Employer of Record (EOR) in Bangladesh lets a foreign company hire and pay staff without opening a local entity. HRBD acts as the legal employer—issuing Labour Act 2006 contracts, running payroll in taka, and remitting income tax to the NBR under progressive slabs of 0% to 30%—and typically onboards a new hire within one to two weeks.
Every EOR hire can include employee background checks in Bangladesh before onboarding, run by the same in-country team.
We keep every hire compliant with the Bangladesh Labour Act 2006, NBR tax rules, and DIFE requirements—so your team stays audit-ready and your company avoids penalties from day one.
We run monthly payroll, withhold income tax to NBR, and administer Provident Fund, Gratuity, and the two annual festival bonuses Bangladeshi employees expect—accurately and on time.
Skip RJSC registration, trade licence, and BIDA entity setup. As your Employer of Record, HRBD onboards your first Bangladeshi hire in one to two weeks — no local company of your own required.
Bringing in a foreign hire? We manage BIDA work-permit filing, security clearance, and visa endorsement and keep your headcount within Bangladesh's foreign-worker limits.
Legal employer: HRBD employs your staff; you direct their daily work.
No entity needed: No RJSC incorporation, trade license, or NBR/VAT enrollment on your side.
Onboarding time: A new hire is typically live within 1–2 weeks.
Compliance covered: Labour Act 2006 contracts, NBR income tax (0–30%), Provident Fund, Gratuity, and festival bonuses.
Foreign hires: BIDA work permit + visa handled by HRBD, usually 3–6 weeks.
An Employer of Record (EOR) in Bangladesh legally employs your staff on your behalf, handling contracts, payroll, and tax under the Labour Act 2006 and NBR—so you hire without setting up a local entity. With HRBD, it works in three steps:
You sign a service agreement with HRBD and share the role, salary, and start date for each hire. No local entity, RJSC registration, or trade license is required on your side.
HRBD issues a compliant employment contract in taka, registers the employee for Provident Fund and Gratuity, and completes onboarding — typically within one to two weeks. For foreign nationals, HRBD files the BIDA work permit and visa.
You direct the employee's daily work. HRBD runs monthly payroll, withholds and files income tax with the NBR, administers benefits, and sends you one consolidated monthly invoice.
HRBD's EOR pricing is a flat service fee per employee per month—no entity setup cost. The price is HRBD's service fee only; each employee's salary, statutory contributions (Provident Fund, Gratuity), and 15% VAT are billed separately, at actuals. Pick the level of support your team needs.
| Factor | EOR via HRBD | Set up your own entity | Global EOR platform (e.g. Deel) |
|---|---|---|---|
| Time to first hire | 1–2 weeks | 3–6 months (RJSC + licenses) | 1–2 weeks |
| Local legal entity needed | No | Yes (RJSC incorporation) | No |
| Who is the legal employer | HRBD — local, accountable in BD | You | Platform's local partner |
| Upfront setup cost | None | High (registration, legal, capital) | None |
| Monthly cost model | Service fee per employee | Ongoing overhead + staff + compliance | ~$599/employee (Deel, verified) ≈ ৳74,000 |
| Labour Act 2006 compliance | Handled in-house | Your responsibility | Handled, less local depth |
| NBR income-tax filing (0–30%) | HRBD files | Your responsibility | Handled |
| Provident Fund & Gratuity | Administered by HRBD | You set up & run | Usually handled |
| BIDA work permits & visas | Filed by HRBD | Your responsibility | Varies by provider |
| Local presence / on-ground support | Yes — Bangladesh-based team | N/A (it's you) | Limited / remote |
| Best for | Foreign firms wanting fast, compliant BD hiring without an entity | Firms planning a permanent, large BD operation | Firms hiring across many countries at once |
An Employer of Record (EOR) in Bangladesh is a local company that legally employs staff on behalf of a foreign business—issuing Labour Act 2006-compliant contracts, running payroll in taka, and withholding income tax to the NBR. Your company directs the employees’ daily work, while the EOR carries the legal, tax, and statutory obligations.
Bangladeshi citizens do not need a work permit. Foreign nationals do—a work permit is issued by BIDA through its One Stop Service (OSS) portal, along with security clearance and a visa endorsement; processing usually takes three to six weeks. HRBD manages these filings and keeps your headcount within Bangladesh’s foreign-worker limits.
Employees in Bangladesh are entitled to paid leave and statutory protections under the Labour Act 2006 and typically receive Provident Fund, Gratuity, and two annual festival bonuses as market-standard benefits. An EOR administers all of these, keeping your team compliant and competitive in the local market.
The EOR does. As the legal employer, HRBD calculates and withholds employee income tax under the NBR’s progressive slabs—from 0% up to 30%—files it with the authorities, and pays salaries in taka as Bangladeshi law requires. Your company simply funds one monthly invoice.
Yes. Using an Employer of Record like HRBD, a foreign company can hire full-time employees in Bangladesh without registering a local entity—no RJSC incorporation, trade license, BIDA registration, or NBR and VAT enrollment. The EOR already holds these registrations and acts as the legal employer, while you manage your team’s day-to-day work.
Reviewed by Md. Rahim Uddin, Head of Compliance, HRBD — Updated August 2026
Not sure whether you need an EOR or a PEO? An EOR becomes the legal employer; a PEO co-employs alongside your existing entity.
Whether you're hiring a single remote employee or building a full team in Bangladesh, we make the process fast, fully compliant, and risk-free. As your Employer of Record, we handle payroll, income tax withholding, and Bangladesh labor law compliance—so you can focus on your people, not the paperwork. Talk to one of our Bangladesh employment specialists today.
