Termination benefits of a worker

Employee Termination Benefits

Bangladesh Labour Act 2006 - Benefits of worker on termination by resignation

That as per section 27 of the Act, an employee is entitled to certain benefits when termination of employment is caused by the employee contingent on few conditions. Subsection(4) of section 27 of the Act:


“(4) Where a permanent worker resigns his service under this section, he shall be paid by the employer compensation-


  • At the rate of 14 (fourteen) days wages for his every completed year of service, if he completed 5 (five) years of continuous service or more but less than 10 (ten) years under the employer;


  • At the rate of 30 (thirty) days’ wages for every completed year of service if he completes 10 (ten) years of continuous service or more under the employer;


or gratuity, if payable, whichever is higher, and this compensation shall be in addition to any other benefit payable to such worker under this Act.”