The 2025 Amendment in the Bangladesh Labour Act: An Overview

The Bangladesh Labour Act was enacted in 2006 with the objective of providing legal protection to labour rights and consolidating and amending the existing labour laws relating to labour rights. Subsequently, after considerable delay, the Bangladesh Labour Rules were adopted in 2015 under the Act. However, due to its failure to effectively safeguard labour rights and its inconsistencies with international labour standards, the Act has had to be amended repeatedly.

Following the Rana Plaza collapse in 2013, under pressure from the International Labour Organization (ILO), IndustriALL Global Union, and other labour rights organizations, extensive amendments were introduced to make the labour law more worker-friendly in order to ensure safe working conditions and maintain balanced industrial relations. Later, in 2018, another major amendment was brought addressing issues such as worker recruitment, compensation for death or injury due to workplace accidents, formation of trade unions, raising and settling industrial disputes, and the health, safety, and welfare of female workers. In that amendment, as well, the ILO and other donor agencies strongly demanded the protection of workers’ interests.

Most recently, on 17 November 2025, sweeping changes were introduced to the Bangladesh Labour Act, 2006 through an Ordinance promulgated by the President. There are multiple contexts behind this latest amendment. One of the key contexts was the formation of the “Labour Reform Commission” by a government notification issued on 17 November 2024 by the interim government of Bangladesh, following the July Revolution of 2024 and in recognition of workers’ roles in past resistance movements. The objective was to prevent the recurrence of oppression and persecution of workers and to formulate a rights-based development framework for working people in a new Bangladesh.

The Commission worked to formulate necessary reform proposals to protect labour rights and ensure the welfare of all working people. In April 2025, it submitted a detailed report to the government titled “The Transformation Framework of the World of Work: Workers’ Rights, Harmonized Industrial Relations and Inclusive Development.”

Additionally, as a member state of the ILO since 1972, Bangladesh has ratified 39 ILO Conventions, including all 10 fundamental conventions. As a party to these conventions, Bangladesh is regularly required to submit reports to the ILO’s Committee of Experts on the Application of Conventions and Recommendations (CEACR) regarding their reflection and implementation in domestic labour law. Therefore, Bangladesh felt the necessity to reform its labour laws in light of International Labour Standards. Furthermore, in response to allegations of violations concerning specific ILO Conventions (Nos. 81, 87, and 98), Bangladesh submitted a legal and institutional reform roadmap (2021-2026) to the ILO Governing Body.

Expansion of Scope of Application

The amendment has somewhat expanded the scope of application of the Act. Although there was an expectation to bring all categories of workers under the Act, that has not been fully achieved. However, with respect to Chapters XII, XIII, and XIV, concerning compensation for injury due to accidents, trade unions and industrial relations, dispute resolution, labour courts, labour appellate tribunal, and legal proceedings, the Act will now apply to seafarers, domestic workers, and for all agricultural workers.

This means these workers will now be entitled to accident compensation, the right to form trade unions, and the right to file cases in labour courts. Section 2 has been amended to include definitions of seafarer, agricultural worker, and domestic worker. Through this, Bangladesh has advanced a step in protecting seafarers’ labour rights in line with the Maritime Labour Convention (MLC, 2006). Domestic workers have also gained legal recognition as workers, which had previously been promised in the Domestic Workers Protection and Welfare Policy, 2015.

Prohibition of Forced Labour

Section 2 now includes a definition of “forced or compulsory labour.” Although the Constitution of Bangladesh prohibits forced labour, the Labour Act previously lacked specific provisions in this regard. To implement the provisions of the two fundamental ILO Conventions on forced labour, the amendment defines forced labour and legally prohibits and criminalizes it. No person may engage or assist in engaging any worker in forced or compulsory labour.

Violence, Harassment, and Sexual Harassment

The amendment defines “violence and harassment,” “gender-based violence and harassment,” and “sexual harassment.” Bangladesh ratified ILO Convention No. 190 (Violence and Harassment Convention, 2019) on 20 November 2025. In line with this Convention, all forms of violence and harassment have been legally prohibited and made punishable. Each workplace must now form a committee to address complaints of discrimination, violence, and harassment.

The amendment also takes into account the landmark High Court Division judgment in BNWLA v. Government of Bangladesh & Others (2009), which provided mandatory guidelines on defining and addressing sexual harassment at workplaces and educational institutions. Until Parliament enacted legislation, those guidelines were declared to have the force of law. Terminologically, the word “female” has been replaced by “woman” throughout the Act. However, the term “owner” has not been replaced with “employer,” although it would have been appropriate.

Trade Union Reforms

The amendment revises the definitions of “trade union” and “Collective Bargaining Agent (CBA).” The new definition includes not only workers and employers but also officers of establishments, who may now form unions, associations, federations, and confederations. Confederations are also included in the definition of CBA. “Blacklisting” is defined and prohibited, and declared as an “unfair labour practice” if used to harass or deprive workers after termination.

The procedure for union registration has been simplified. Previously, 30% (before 2018) and later 20% (after 2018 Amendment) of workers were required to form a union. Now, only 20 workers are required, subject to scaled thresholds based on establishment size (Section 179). The definition of worker has been expanded to include self-employed workers, daily and temporary workers, and gig/platform workers. Bangladesh is now among the few countries granting gig workers legal recognition and union rights.

Maternity and Leave Benefits

Maternity leave has been increased from 112 to 120 days (60 days before and 60 days after childbirth). Even if notice requirements are not fulfilled, a woman worker may still receive 120 days’ maternity benefits. Annual festival leave has increased from 11 to 13 days for all workers.

Accident Compensation and Employment Injury Scheme

The definition of “accident” has been expanded to include incidents occurring outside the workplace while performing professional duties or under employer authority, including physical or mental injury or death. A new Employment Injury Scheme Fund has been introduced, applicable to government-designated sectors.

Previously, a pilot Employment Injury Scheme (EIS) was launched in 2022 for the RMG sector with ILO and GIZ support, funded by brand contributions. It lacked a legal basis and excluded government and employer contributions. The new amendment provides legal grounding, allowing expansion to EPZs and other sectors under the National Social Security Strategy, 2015.

Anti-Trade Union Discrimination & Dispute Resolution

The amendment strengthens provisions against anti-trade union discrimination. The Director General may order cessation of discriminatory practices and compensation for affected workers. Additionally, a new Alternative Dispute Resolution (ADR) Authority will be formed for both individual and collective labour disputes. The Chairperson will be a retired District Judge or an experienced professional, supported by conciliators and a panel of arbitrators.

Conclusion

Although the 2025 amendment introduces significant changes, many essential issues remain unaddressed. It appears primarily aimed at demonstrating formal compliance with ratified ILO Conventions, while overlooking key worker demands such as universal labour law coverage, living wages, national minimum wage standards, job security, enhanced accident compensation, expanded social protection, and prevention of casualization in permanent work.