Bangladesh

Old Age, Disability, and Survivors

Regulatory Framework

First and current law: 1998 (old age).

Type of program: Social assistance system (old age only).

Coverage

Low-income citizens residing in Bangladesh.

Special system for public-sector employees.

Source of Funds

Insured person: None.

Self-employed person: None.

Employer: None.

Government: The total cost.

Qualifying Conditions

Old-age pension: Age 65 (men) or age 62 (women) with average annual income up to 3,000 taka. Only one member from each family can receive the pension.

Disability pension: No benefits are provided.

Survivor pension: No benefits are provided.

Old-Age Benefits

Old-age pension: 300 taka a month is paid. The pension is paid quarterly.

Permanent Disability Benefits

Disability pension: No benefits are provided.

Survivor Benefits

Survivor pension: No benefits are provided.

Administrative Organization

Ministry of Social Welfare (http://www.msw.gov.bd) administers the program.

Local branches of government-run banks pay old-age pensions.

Sickness and Maternity

Regulatory Framework

First law: 1939.

Current law: 2006 (labor law).

Type of program: Social insurance system.

Coverage

Cash sickness benefits: Employees in manufacturing and in firms with five or more workers.

Exclusions: Household workers, family laborers, self-employed persons, and informal-sector workers.

Cash maternity benefits: Employed women.

Medical benefits: All employed persons.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost.

Government: Funds government hospitals.

Qualifying Conditions

Cash sickness benefits: Must be in insured employment.

Cash maternity benefits: Must have at least six months of employment with the same employer on the expected date of childbirth.

Sickness and Maternity Benefits

Sickness benefit: 100% of earnings is paid for up to 14 days a year.

Maternity benefit: A cash benefit, depending on the level of the insured's earnings, is paid for eight weeks before and eight weeks after childbirth for up to two live births. Unpaid leave is provided for the third and subsequent births.

Workers' Medical Benefits

On-site medical facilities are provided for employees of firms with at least 300 workers. A medical allowance of 100 taka a month is paid to workers whose employer does not provide medical facilities.

Administrative Organization

Ministry of Labor and Employment (http://www.mole.gov.bd) administers the program.

Public Health Service administers public health services.

Work Injury

Regulatory Framework

First law: 1923.

Current law: 2006 (labor law).

Type of program: Employer-liability system.

Coverage

Employees of railways, docks, estates, and factories with five or more workers.

Exclusions: Household workers, family laborers, self-employed persons, and informal-sector workers.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost.

Government: None.

Qualifying Conditions

Work injury benefits: There is no minimum qualifying period for permanent disability benefits. Must have at least three years of continuous service for the survivor benefit.

Temporary Disability Benefits

100% of the insured's earnings is paid for the first two months, 66.7% of earnings for the next two months, and 50% of earnings for subsequent months of disability or for up to a year, whichever is shorter. The disability must last at least three days.

Permanent Disability Benefits

Permanent disability benefit: Up to 125,000 taka is paid.

Partial disability: A percentage of the full pension is paid according to the assessed loss of earning capacity.

Survivor Benefits

Survivor benefit: 30 days of the insured's wages for every year of service or a lump sum of up to 125,000 taka, whichever is greater, is paid to surviving dependents in proportions determined by a labor court.

Administrative Organization

Ministry of Labor and Employment (http://www.mole.gov.bd) administers the program.

Commissioner of Workmen's Compensation provides supervision.

Unemployment

Regulatory Framework

No statutory unemployment benefits are provided.

The 2006 labor law requires employers to provide a termination benefit, a retrenchment and layoff benefit, and a benefit for discharge from service for ill health to workers in commerce and industry.

Permanent employees with monthly salaries receive half of the average basic wage for 120 days (plus a lump sum of one month of salary for each year of service); casual workers for 60 days (plus a lump sum of 14 days of wages for each year of service); and temporary workers for 30 days.