The minimum wage in Bangladesh is 12,500 BDT per month. This rate has gone through significant changes, especially in the garments sector. The Bangladesh Government made these changes mainly to address inflation, living cost, and improve the livelihood of workers. The minimum wage rate differs from sector to sector. This can be due to time work or piece work. Then there is the living wage and average wage that determines the economic condition of the country.
What Is the Current Minimum Wage in Bangladesh?
Currently, in 2025, the monthly minimum wage in Bangladesh is 12,500 BDT. So, in one month, the minimum wage in Bangladesh in dollars is $133 and in GBP, £77 .
Now, what is the minimum wage in Bangladesh per hour? If we assume a standard 26-day work, the daily rate will be 12,500/26= 480 BDT. And if we take 8-hour work days, the hourly rate will be 480/8= 60 BDT.
How Has Bangladesh’s Minimum Wage Changed Over Recent Years?
If we start from 2021, that time the minimum wage of garment workers in Bangladesh was BDT 8,000. In 2023, it increased to 56%, i.e. 12,500 BDT. for garment workers. Since then, the wage has remained unchanged.
Key Minimum Wage Gazettes
Gazette 2023: It refers to the minimum wage in Bangladesh established into a new one on December 1, 2023. That is BDT 12,500 for garment workers.
Gazette 2022: As per the Daily Star, gazette 2022 focused on the sector wise minimum wage in bangladesh. At that time it was BDT 8000 for garment workers only. This also includes a 5% annual increment on the monthly salary of apprentice employees to first-grade workers, i.e. BDT 9950 to BDT 18,800. The first-grade workers of RMG (readymade garments sector) got a specified salary with house rent, food allowance, conveyance, and medical allowance.
Gazette 2018: In August 2018, the government announced Bangladesh minimum wage to be BDT 8,000 for entry-level workers. It was a significant increase of 51%, because after the last announcement in 2015, it was BDT 5300.
The average monthly wage in Bangladesh impacts both the RMG industry and workers. With the minimum wage increase, workers can cope with inflation and improve their living standards. This gives them job satisfaction and motivation to do better. They will stick to their job which will reduce the labor turnover cost in the garments industry. But there is also a debate that increased labor cost can increase a factory’s production expenses.
How Does Bangladesh Determine Sector-Wise Minimum Wage?
In Bangladesh, the wage rates differ according to sectors. Some have time-work and some have piece-work. It means some workers will be paid based on their output and some will be paid based on the time given. There is a minimum wage board in Bangladesh that determines sector-wise minimum wage. It was established in 1959. It operates under ILO conventions to determine fair wages. So, how does the Minimum Wage Board decide sector-specific wages? The board sets wages for different industries based on several factors like, job complexity, skill level, and economic condition.
Sectors | Wage rate |
---|---|
Saw-mills | BDT 17,900 |
Pharmaceuticals | BDT 8,500 |
Tea Packaging | BDT 7,080 |
Bakery | BDT 5,940 |
Automobiles | BDT 5,930 |
Aluminium | BDT 8,700 |
Ready Made Garments (RGM) | BDT 12,500 |
What Is the Average Wage in Bangladesh?
Well, the average monthly wage in Bangladesh is 26,000 BDT, although it ranges from 6580 BDT to 116,000 BDT. In USD, the average salary would be $213. Then the average hourly wage in Bangladesh is (26000/26= 1000), (1000/8)= 125 BDT, and the yearly wage is 3,11,700 BDT, i.e. $2609 USD.
It’s true that Bangladesh has several sectors providing wages. And all of them are not going to be neck to neck. So let’s justify the average monthly wages of key sectors in Bangladesh.
Sectors | Wage rate |
---|---|
Finance | BDT 81,250 |
Healthcare | BDT 45,645 |
Software | BDT 50,000 |
Manufacturing | BDT 25,000 |
Engineering | BDT 30,000 |
Law | BDT 20,000 |
Management Consulting | BDT 70,000 |
Mining | BDT 20,000 |
Automotive | BDT 40,315 |
Minimum wage and average wage are not the same. Minimum wage means the lowest wage that a worker deserves and is permitted by the government in Bangladesh. Meanwhile, average wage is the typical wage that a huge group of workers get.
What Is the Living Wage in Bangladesh?
With a living wage, workers can afford their basic needs, like food, housing, and healthcare. Well, the required estimated living wage for a four-member family is BDT 25,497 a month.
Living wage can help workers to stay out of poverty. So the minimum wage should be set high enough for workers to meet their needs. The gap between minimum wage and average wage shows a difference between the legal mandatory wage and typical workers’ wage. But the gap between minimum wage and living wage reflects how the legal minimum wage fails to cover essential needs.
With government initiatives, collaborations, and organizations, like UN Women the gap between the wages will vanish soon.
How Does a Living Wage Affect Employee Satisfaction and Work-Life Balance in Bangladesh?
A proper living wage in Bangladesh can provide employee satisfaction. Employees can get a better work-life balance and stay away from financial stress. In short, balanced living wages help to create a healthier work culture in Bangladesh.
Final Words
Bangladesh has made strides in adjusting the minimum wage in Bangladesh. But some groups of workers are not satisfied as there reflects a difference in their minimum wage and living wage. Governments and associations, like the Fair Labor Association and RISE (Reimagining Industry to Support Equality) project, are now coming forward to ensure fair wages to workers. This may help workers improve their quality of life resulting in the utmost workforce.