Benefits Administration
Employee benefits administration in Bangladesh is the part of employing people a foreign company cannot see from abroad: two festival bonuses a year, a provident fund past the headcount threshold, gratuity accruing every completed year, statutory leave, and the group health policy teams expect. As a Dhaka-based company, we set them up and run them for international companies, per employee, at a fixed price. A benefits administrator and a payroll accountant work inside your human resources (HR) system under a non-disclosure agreement (NDA); your owner approves every enrolment and payment.
One exit at each step. No long-term commitment at any of them. We start with the team you employ, or are about to employ, in Bangladesh: headcount, start dates, basic pay, benefits in place, and what your home-country staff get that this team does not. Each statutory benefit is marked present, partial or missing, and the gap is costed in your numbers.
You get a written verdict — statutory benefits set up first, a group health policy for a small team, a provident fund and gratuity ledger, or full administration under an employer of record (EOR). If everything is already in place, you stop here and keep the audit.
30 minutes 01 Scope · free call
1 week 02 Diagnose · benefits audit, credited to the first month
30 days 03 Pilot · benefits setup for the first month, per team
Per employee 04 Production · a fixed price per employee per month
Monthly 05 Managed Ops · inside the per-employee price, cancel any month
What is included in employee benefits administration in Bangladesh?
Employee benefits administration in Bangladesh covers six things for a company employing people there, and our service handles all of them: a benefits audit against the Labour Act, festival bonus scheduling, provident fund and gratuity ledgers, leave tracking, a group health policy with a local insurer, and a monthly statement your finance team books. Each card is one deliverable.
Benefits audit against the Labour Act
Every employee’s statutory entitlements listed against what is actually in place: festival bonus eligibility, provident fund threshold, gratuity accrual, earned, casual, sick and maternity leave, with each item marked present, partial or missing and the cost of closing it.
Festival bonus scheduling
The two annual festival bonuses calculated per employee on basic pay and service length, scheduled against the festival calendar, approved by your owner, and paid through your payroll run with the entry your finance team books.
Provident fund and gratuity ledgers
A per-employee ledger of provident fund contributions at the statutory rate once the headcount threshold applies, and a gratuity accrual that shows the liability building each completed year, reconciled monthly with payroll.
Leave tracking
Earned, casual, sick and maternity leave accrued and recorded per employee at the rates the Labour Act sets, balances visible to your managers, carry-forward and encashment handled at year end and at exit.
Group health policy with a local insurer
A group medical plan from a licensed insurer in Bangladesh sized for a team of five to twenty, with hospital and outpatient cover, dependants where you choose, enrolment, renewals and claims support in the employee’s own language.
Monthly benefits statement
One statement a month: bonuses paid, fund contributions made, gratuity accrued, leave balances, insurance premiums and claims, each line tied to a payroll entry and an approval, ready for your accountant and your auditor.
Not included: Underwriting insurance · acting as fund trustee · legal or tax advice · deciding entitlements the Labour Act leaves to the employer, which your owner and your counsel decide.
Which of the statutory employee benefits in Bangladesh is missing first: festival bonus, provident fund, gratuity or leave?
The Bangladesh Labour Act, as amended, fixes four employee benefits an employer owes, and the audit says which one your team lacks first. Festival bonuses are due twice a year; the provident fund applies once headcount crosses the threshold; gratuity accrues per completed year; leave accrues by days worked. All four sit inside our employer of record service.
Festival bonus
Two bonuses a year on basic pay for employees past one year of service, when a foreign payroll has never scheduled them.
Provident fund
Employer and employee contributions at the statutory rate once headcount passes the threshold, when nobody has opened the fund.
Gratuity
Thirty days’ wages for each completed year, accrued now and paid at exit, when no ledger shows the liability building.
Statutory leave
Earned, casual, sick and maternity leave at the Act’s rates, when balances live in a spreadsheet nobody reconciles.
What does the first month of employee benefits administration contain?
The first month of employee benefits administration is five steps over thirty days, because “we handle benefits” tells you nothing. Every item traces to an employee record, a Labour Act entitlement, an approver and a date; the example is an eight-person engineering team whose employer had paid salaries for two years and nothing else. Yellow marks where a person signs.
First-month log · eight-person team
The log at that step · its result
Audit signed
| Audit item | Sample team |
|---|---|
| Employees | 8 |
| Past one year of service | 6 |
| Entitlements each | 4: festival bonus, provident fund, gratuity, leave |
| Each one marked | Present, partial or missing |
| Owner | Named |
32
Entitlements in the audit8 employees · 4 entitlements each
Calendar set
Festival bonuses2 scheduled per employee, on basic pay
Leave balancesloaded from start dates
2
Festival bonuses scheduled per employeeagainst the festival calendar
Ledgers opened
Gratuityaccrued from each start date
Provident fundassessed against the threshold
Group policyinsurer quote received
Ledgers openedfrom each start date
Owner sign-off
EnrolmentsScheduleGroup policy
3
Approvals recordedapprovals logged with dates
Statement issued
First monthly statement→Your HR system→Premiums bound→Next cycle dated
8 of 8
Employees enrolledfirst month accepted · passed the agreed gate
Open a step, or a number below, to see its log entry
Each month after that: statement issued, ledgers reconciled with payroll, leave balances updated, claims followed up.
Illustrative run. Yellow marks where a person signs; every step is logged and traceable to employee, entitlement and approval.
How is employee benefits administration set up, from audit to Managed Ops?
Our employee benefits administration runs in five steps, each one an exit: a free scoping call, a one-week audit, a first month that enrols the team, production for every later hire, then monthly Managed Ops. Benefits go wrong when a foreign payroll copies home-country rules onto a team the Labour Act governs. Every step ends with a statement you keep.
01 30 min · free
Scope A call about the team: headcount, start dates, basic pay, who is past one year of service, which benefits exist and what home-country staff receive. With the team known, you leave with an audit quote.
02 1 week · credited
Diagnose Every employee’s statutory entitlements listed against what is in place; festival bonus, provident fund, gratuity and leave each marked present, partial or missing; the insurer’s group policy quote requested; the first month priced in writing.
03 30 days · fixed price
Pilot The team enrolled: bonus schedule set, fund opened where the threshold applies, gratuity ledger started from each start date, leave balances loaded, group policy bound, the first monthly statement issued and approved by your owner.
04 Per employee · after the first month
Production Every later hire enrolled on day one and every leaver settled at exit, bonuses paid on the calendar, contributions and accruals posted monthly, renewals handled, with the per-employee price fixed in the contract.
05 Monthly · cancel any month
Managed Ops The monthly cycle: statement issued, ledgers reconciled with payroll, leave balances updated, claims followed up, and the audit re-run when the Labour Act or its rules change, with an administrator who knows your team.
Who runs your employee benefits administration, and with what?
On day one you meet a benefits administrator who owns enrolments, schedules and the insurer relationship, a payroll accountant who posts contributions and accruals, and a reviewer who checks every statement against the Labour Act.
References Labour Act and Rules as amended; insurer terms
Communication Monthly review call and a shared channel
Delivery Your HR system, payroll tool and document store; nothing stored on our side
Quality assurance (QA) Second-person review of every statement; versioned; approver named
Ownership Every policy, ledger and employee record in your name
Risk Stop at any step; a written result at every step
Which employee benefits administration do you need first: statutory benefits, a health policy, a fund ledger or full administration?
Employee benefits administration starts from one of four situations; five questions show which fits. Statutory benefits never scheduled: set them up first. A small team without medical cover: a group health policy. Headcount near the threshold or employees past one year: a fund and gratuity ledger. No local employer: full administration under an employer of record, with Bangladesh payroll alongside.
1. How many people do you employ in Bangladesh?
2. Are festival bonuses scheduled and paid?
3. Does the team have a group medical plan?
4. Is a provident fund or gratuity ledger kept?
5. Who is the legal employer today?
Which one do you need? Answer five questions.
Statutory benefits set up first
Festival bonus, provident fund, gratuity and leave are owed whether or not anyone scheduled them: the audit lists each employee’s entitlement, the calendar is set, the ledgers are opened from each start date, and the first statement goes to your owner within thirty days.
A first estimate; the diagnostic confirms it.
How the verdict is decided
Nobody local employs the team → employer of record first
Bonuses not scheduled → statutory benefits first
Five or more people with no group plan → the health policy
Fund or gratuity ledger missing with employees past one year → the ledger
Why choose us to administer employee benefits in Bangladesh?
An administrator of employee benefits in Bangladesh is judged on whether the ledger survives an employee’s exit and an auditor’s question, not on the plan names it lists. We set every benefit up to the Bangladesh Labour Act’s own list, per employee, with a person who answers. Your owner approves; we administer; the setup stays current as the rules move.
Without local administration
!!!!!
- A home-country benefits plan copied onto a team the Labour Act governs
- Festival bonuses paid late, or missed, because no calendar existed
- Gratuity discovered as a lump sum on the day an employee resigns
- An international insurance plan priced for fifty seats, bought for five
With EICRA
First-month report · eight-person team
Employees enrolled8 of 8Entitlements set up32Gaps closed11Approvals recorded3VerdictFirst month accepted
Illustrative example
- Every statutory benefit audited per employee against the Labour Act’s wording
- Bonuses, contributions and accruals on a calendar your owner approved
- A gratuity and fund ledger reconciled with payroll every month
- A local group policy sized for your headcount, with claims support in Bangla
Is it safe to outsource employee benefits administration in Bangladesh?
Outsourcing employee benefits administration in Bangladesh is safe when approval stays with your owner and access stays limited to the records the work needs. The risk is who approves payments and who sees employee data, not where the administrator sits. As a Bangladesh-based company, we work inside your HR system under NDA and make no payment without your approval. Reviewed By Eicra.com team
Which agreements are signed, and when?
NDA — mutual, signed before any employee record, salary figure, policy document or statement is shared with anyone.
Data processing agreement (DPA) — processor terms under Article 28(3) of the General Data Protection Regulation (GDPR) where it applies, and the Bangladesh Personal Data Protection Act for the employee data we process.
International data transfers — standard contractual clauses or the transfer instrument your jurisdiction requires, signed before employee data moves.
Access — read and write access to the benefits and leave modules of your HR system only; no bank credentials, no payment authority, no production systems of yours.
Certifications — listed only when held; none are claimed, and we are not an insurer, a fund trustee or a law firm.
What controls, intellectual property (IP) and rework terms apply?
Your accounts Every policy, ledger, schedule and employee record lives in your HR system and document store from the first day; nothing is stored on our side.
Document ownership All records are assigned to you in the contract; you may export them, hand them to an auditor, or move them to another provider at any time.
Boundary We administer benefits; we do not underwrite insurance, act as fund trustee, give legal or tax advice, or decide entitlements the Labour Act leaves to the employer — your owner and your counsel decide.
Approval No bonus, contribution, premium or settlement is paid until your named owner has approved that month’s statement; approvals, dates and versions are recorded.
Rework Free when a statement line fails its agreed acceptance list within thirty days; new benefits, new entities or changes in the law are priced first as a change request.
What proof do you get before you pay for employee benefits administration?
Before you pay the per-employee monthly price for employee benefits administration, you get three proofs: a free 30-minute scoping call, a one-week audit that leaves you your own per-employee entitlement list, and a first month with no setup fee if it misses its agreed enrolment list.
30 minutes
A free scoping call about the team; if the team is known, you leave with an audit quote.
1 week
For the benefits audit: every employee’s statutory entitlements marked present, partial or missing, and the first month priced in writing.
30 days
To every statutory benefit enrolled and the first festival bonus or fund contribution scheduled, after the one-week audit.
Case studies: client results with numbers are added here as clients give permission to name them. Ask on the scoping call for references in your industry.
What do buyers ask about employee benefits in Bangladesh?
How much does employee benefits administration cost in Bangladesh?
Employee benefits administration with us is priced per employee, never per hour, and the price cards at the top show each step: a one-week benefits audit ending in a written entitlement list, credited to the first month; the first month, with the team enrolled and the group policy bound, priced per team; then administration per employee per month.
Which employee benefits are legally required in Bangladesh and which are optional?
The Labour Act fixes four: two festival bonuses a year for employees past one year of service, a provident fund once an establishment reaches the headcount threshold, gratuity of thirty days’ wages per completed year, and earned, casual, sick and maternity leave. Group medical cover, allowances and a thirteenth month are optional; a group policy is what most teams expect.
Must we pay a festival bonus to an employee in Bangladesh?
Yes, once the employee has completed one year of continuous service: two festival bonuses a year, each capped at one month’s basic wage, paid before the two main festivals. A foreign payroll that only runs monthly salary misses both dates; we schedule them per employee on your calendar, calculate them on basic pay and book them through your payroll.
Is a provident fund mandatory below 100 employees in Bangladesh?
No. The statutory fund applies to establishments with at least 100 permanent workers, where employer and employee each contribute 7% to 8% of basic wages. Below that threshold a fund is voluntary, but many international employers open one as a retention benefit; either way the gratuity accrual applies from the first completed year, so a ledger is needed regardless.
How is gratuity paid when a Bangladesh employee leaves?
Gratuity is thirty days’ wages for each completed year of service, paid at retrenchment or retirement under the Labour Act, or the higher of gratuity and any fund balance where both exist. It builds from the first completed year, so we accrue it monthly per employee, show it on your statement, and settle it in the final pay.
Start with a free 30-minute scoping call or a one-week benefits audit.