Bangladesh

Old Age, Disability, and Survivors

Regulatory Framework

First law: 2001 (disability).

First and current laws: 1971 (old age and survivors) and 2013 (disability).

Type of program: Social assistance system.

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 (means tested): Age 65 (men) or age 62 (women) or older with monthly income up to 10,000 taka. Must not be receiving any other government or non-government allowances. Only one member from each family can receive the pension. A designated committee determines eligibility, giving priority to the most vulnerable. Of those selected, at least half need to be women.

Disability pension (means tested): Aged 6 or older with annual income up to 36,000 taka and assessed with a sensory, mental, speech, or physical disability. Must not be receiving any other government or non-government allowances. A designated committee determines eligibility, giving priority to the most vulnerable.

Survivor allowance (means tested): Paid to widows and women who are divorced or abandoned by their husbands with monthly incomes up to 12,000 taka. Must not be receiving any other government or non-government allowances. A designated committee determines eligibility, giving priority to the most vulnerable.

Old-Age Benefits

Old-age pension (means tested): 500 taka a month is paid.

Permanent Disability Benefits

Disability pension (means tested): 600 taka a month is paid.

Survivor Benefits

Survivor allowance (means tested): 500 taka a month is paid.

Administrative Organization

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

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

Department of Social Services (http://www.dss.gov.bd) pays disability and survivor benefits.

Sickness and Maternity

Regulatory Framework

First law: 1939.

Current law: 2006 (labor law).

Type of program: Employer-liability system.

Coverage

Cash sickness and maternity benefits (employer liability): Employed persons.

Exclusions: Self-employed persons, household workers, family laborers, agricultural workers on small farms, workers in nonprofit organizations, workers in government offices and establishments, and seamen.

Medical benefits (employer liability): Employed persons in firms with at least 300 workers.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost.

Government: Funds government hospitals.

Qualifying Conditions

Cash sickness benefits (employer liability): Must provide a medical certificate from a registered medical practitioner.

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

Sickness and Maternity Benefits

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

Maternity benefit (employer liability): The insured's average wage in the last three months of work before giving notice 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. If the mother dies during childbirth or up to eight weeks after the childbirth, the benefit is paid to the person who cares for the child.

Workers' Medical Benefits

Medical benefits (employer liability): On-site medical facilities are provided for employees of firms with at least 300 workers.

Administrative Organization

Ministry of Labor and Employment (http://www.mole.gov.bd/) supervises 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

Death benefit: Employed persons.

Exclusions: Self-employed persons, household workers, family laborers, agricultural workers on small farms, workers in nonprofit organizations, certain public-sector workers, and seamen.

Work injury benefits and death compensation: Persons employed in non-clerical work in railways, docks, postal services, estates, manufacturing firms with five or more workers, and in certain categories of manual labor or under hazardous working conditions.

Exclusions: Household workers, family laborers, agricultural workers on small farms, and certain public-sector worker.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost.

Government: None.

Qualifying Conditions

Work injury benefits: Must have an incapacity for work for at least three days. For an occupational disease, must have at least six months of continuous service with an employer.

Death benefit: Must have at least two years of continuous service with an employer. Death must have occurred while on duty or at the workplace.

Death compensation: Death must be a result of work injury or occupational disease.

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 each subsequent month of disability, up to two years. The disability must last at least three days.

Permanent Disability Benefits

A lump sum of 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

Death benefit: 30 days of the employee's wages for every year of service is paid with less than ten years of service to a designated beneficiary or surviving dependents; 45 days for every year of service with at least ten years of service

Death compensation: A lump sum of 100,000 taka is paid to a designated beneficiary or surviving dependents.

Administrative Organization

Commissioner of Workmen's Compensation provides supervision.

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

Unemployment

Regulatory Framework

No statutory unemployment benefits are provided.

The 2006 labor law requires employers to provide severance pay to dismissed employees with at least one year of service in case of termination of contract or ill health, and a redundancy pay in case of retrenchment (reduction in workforce). In all cases, the payment is 30 days of wages for every year of service.