UPDATE OF LAWS (LABOR LAW-2006, FACTORY RULES-1979,

FACTORY ACT-1965)
Labor Law Contents

(2nd Chapter) Recruitment & Job Conditions

(3rd Chapter) Recruitment of Child Labor
(4th Chapter) Maternity Benefits
(5th Chapter) Health
(6th Chapter) Safety
(7th Chapter) Health & Safety concerned special rules
(8th Chapter) Welfare system
(9th Chapter) Working Hour & Leave
(10th Chapter) Wages & Its payment
(11th Chapter) Wages Commission
(12th Chapter) Compensation for accident
(13th Chapter) Trade union & industrial relation
(14th Chapter) Solution of Conflict, Labor Court, Labor appeal
tribunal
(15th Chapter) Workers participation on companys profit.
(17th Chapter) Provident fund
(19th Chapter) Crime, punishment & system
(20th Chapter) Administration, observation etc.
(21st Chapter) Miscellaneous

Statutory--------------1. Business/Factory license

2. Factory rules & regulations (Employee hand book/Factory Code of Conduct)
3. Statutory registers (Accident register & Dangerous occurrences, Register of
Advances, Register of fines & unclaimed wages, Deduction for damages,
Maternity benefits.
4. Local official minimum wages notification
5. Registration certificate to employ contract workers
6. Valid license of contractor approved by competent authority
7. Contract agreement between factory & contractor
8. Shift working approval
9. NOC from fire authority
10.Water test report
11.National & festival holidays
12.Pressure vessel inspection reports (Boiler, Compressor)
13.Hoist/lift approval / inspection report. License/certificate for operators.
14.Canteen or eating facilities hygiene certificate, cook kitchen staff health
cerficate.
15.Factory building layout/ approval plan.
16.Environment certificate from DOE
17.Certificate of incorporation

18.Company income tax clearance certificate

19.VAT clearance certificate
20.Trade license
21.Export license
22.Import license
23.EPB (Export Promotion Bureau) Certificate
24.Bond license
25.BGMEA/BKMEA/BTTLMEA membership certificate
26.Waiver certificate/permission for generator from BERC (Bangladesh Energy
Regulatory Commission).
27.Certificate from Ministry of power, Electricity & Mineral Resources for
electricity sub-station.
28.Boiler license
29.Boiler operator competency certificate
30.Group insurance record
31.Labor union agreements/participation committee/ workers welfare committee
Personnel file / Employee documentation--------------------------1. Job application
2. Bio-data
3. National ID
4. Birth Certificate
5. Nationality Certificate
6. School Certificate (If available)
7. Age estimation from company doctor
8. Competency test
9. Appointment letter
10.Orientation regarding legal requirements
11.Orientation on Security requirements
12.Reference check
13.Background check
14.Employment history
15.Extension of probation
16.Confirmation letter
17.ID card photo copy
18.Criminal background check (If an employee of sensitive area)
19.Leave forms
20.Performance appraisal
21. Service book
22.Loan/advance application
Time, Wages and Benefits------------------------1. 12 months time, muster and payroll records for regular / daily / piece rate/
temporary/ contract workers.
2. 12 months department wise production records to verify wages for piece rate
workers
3. Payroll computation for salary / overtime

4. Pay slip in Bengali with workers signature/Bank statement/acknowledgment

from bank if salary is credited directly to workers account.
5. Final settlement records (Gratuity, leave encashment, PF, bonus, wages,
overtime)
6. EL (Earn Leave) allowance/encashment records & leave records.
7. Wages deduction / fines record.
8. Bonus records
9. Unclaimed wage records
10.Provident fund register
11.Policies for deduction (late coming, damage etc), incentives, loan
disbursement etc.
12.Payroll sheets & overtime records
13.Leave documents & register
14.List of newly recruited workers
Health & Safety-------------------------

a). Fire Protection

1.
2.
3.
4.
5.
6.

Fire equipment list

Fire fighter/evacuator/ rescuer list
Fire drill record with register
Fire training of workers
Certified fire fighters
Evacuation board in local language

b). Workers Safety

1.
2.
3.
4.
5.
6.
7.
8.
9.

First aid procedure/training record/certificate of trained first aider

Sickness/Injury record/First aid issue record
MSDS (Material Safety Data Sheet) for chemicals
EHS Environment, Health & Safety Committee Organogram
EHS committee meeting records
PPE (Personal Protective Equipment) training record
Hazardous & Non-hazardous waste training
Aids awareness program records
EHS training records

General Issues---------------Employee grievance policy and disciplinary policy

Wage & working hour policy
Machinery list/certificates/manual
Preventive maintenance schedule/maintenance record
Machine break down record
Waste disposal policy & procedure (air, liquid, solid waste and medical waste)
Broken needle control policy
Broken needle register
Tag gun control policy
Tag gun control register

Sharp tools control policy & register

Duty roaster of security guard.
COMMON TIPS-------------------------------------

Salary = 66% + 25% + 6% + 3% = 100%

OT Rate = Basic 66% / 208 X 2 XOT HOURS
Sick Leave = Basic 66% / 30 =One day basic/2
PF Calculation= 8.33% of Basic Salary 66%
Leave :- CL/SL/EL/FL/ML
Maternity Benefit = Last three months salary/ Last three months working day
X 112
Fire Safety
First Aid
Company providing benefits such as lunch, Gratuity, Stipend, Adult
Education, Annual
Function.
Child Labor Prohibition
Weekly Holiday
Maximum 2 hours overtime per day
Within 7th day of the month salary payment.
Fire Drill
Buyer COC /Standard concerned training.
P.P.E usage concerned training.
Fire training
First aid training.
Chemical training.
EHS training.