Trade Union Law in Bangladesh 2026: Registration, Bargaining, Strikes and Legal Aid

by Barrister Tahmidur Rahman | Oct 20, 2026 | Employment & Labour, Insights | 0 comments

TRW Insight / Bangladesh

Act No 43 of 2026 replaced the percentage test for union registration with fixed numbers, capped unions at three per establishment and gave the Director General power to order remedies for anti-union conduct. Here is how registration, bargaining, strikes and worker legal aid now work.

Updated 20 October 2026Legal insightBangladesh23 min read

Trade union law Bangladesh: what changed in 2026

The trade union law Bangladesh employers and workers deal with in 2026 is not the law most handbooks still describe. Chapter XIII of the Bangladesh Labour Act 2006 has been rewritten in stages, first by the 2018 amendments, then by the interim government's Labour (Amendment) Ordinance 2025 and finally by the Bangladesh Labour (Amendment) Act 2026, Act No 43 of 2026, which Parliament passed in April 2026. The percentage test for registering a union has gone, unfair labour practice now carries fines measured in tens of thousands of taka, and the Director General of Labour can order an employer to stop anti-union conduct and pay compensation without waiting for a court.

This guide is TRW's deep dive into collective labour law. It covers the right to organise, how to register a trade union with the Department of Labour step by step, collective bargaining agent elections, participation committees, unfair labour practices, strikes and lockouts, the separate regime inside export processing zones, a dated table of every major amendment from 2006 to 2026, and free legal aid for workers in labour disputes. Individual employment rights, compliance audits and Labour Court procedure are covered in our companion guides, linked where relevant, rather than repeated here.

Trade union law Bangladesh — factory workers gathering for a union meeting
Since 2025, 20 workers can start the registration process

Summary: Trade unions in Bangladesh are governed by Chapter XIII of the Bangladesh Labour Act 2006 and Part XIII of the Labour Rules 2015, as amended by Act No 43 of 2026. Since the 2025 Ordinance, at least 20 workers may apply to register a union and the membership required rises in fixed steps from 20 to 400 members according to workforce size; no more than three unions may be registered in one establishment. Registration must be decided within 55 days, with an appeal to the Labour Court within 30 days. Export processing zones remain under the Bangladesh EPZ Labour Act 2019, which allows workers' welfare associations rather than trade unions.

Key point: The old rule that a union needed 20 per cent of the workforce as members is gone. The 2025 Ordinance replaced it with fixed numbers, and Parliament kept the 20-worker formation rule when it enacted Act No 43 of 2026, while cutting the maximum number of unions per establishment back from five to three.[3] [7]

At a glance

01

Threshold

At least 20 workers may apply; required membership runs from 20 members (up to 300 workers) to 400 members (over 3,000 workers).

02

55 days

The Director General must register or reject within 55 days, raising any objection within 12 days of receiving the application.

03

Three unions

No more than three trade unions may be registered at any time in an establishment or group of establishments.

04

Tk 1 lakh fines

Unfair labour practice and anti-union discrimination now attract fines of Tk 50,000 to Tk 1,00,000, imprisonment, or both.

05

Free help

Labour Court filings carry no court fee, and state legal aid cells for workers operate in Dhaka and Chattogram.

Table of Contents

Where trade union law Bangladesh rules come from

Bangladesh has no separate industrial relations act. The Industrial Relations Ordinance 1969, which governed unions for almost four decades, was repealed by section 353 of the Bangladesh Labour Act 2006 and its subject matter folded into the new code.[4] When people search for a "Bangladesh Industrial Relations Act" today, the law they need is Chapter XIII of the 2006 Act, headed "Trade Unions and Industrial Relations" and running from section 175 to section 208, together with Chapter XIV on disputes, conciliation, strikes and the Labour Court.[4]

Four instruments now make up trade union law Bangladesh practitioners apply day to day. The first is the Act itself, in its consolidated Bangla text.[1] The second is the Bangladesh Labour (Amendment) Act 2026, Act No 43 of 2026, dated 10 April 2026, which amends sections 175 to 213 among many others.[2] The third is the Bangladesh Labour Rules 2015, whose Part XIII prescribes the forms, fees and election machinery.[5] The fourth, for factories inside export processing zones, is the Bangladesh EPZ Labour Act 2019.[11]

Key definitions

A trade union is a union of workers or employers formed and registered under Chapter XIII, and the term includes a federation.[4] An industrial dispute is any dispute between employers and workers, or among either group, about appointment, conditions of service or the working environment.[4] A strike is a joint cessation of work or refusal to work by a group of workers; a lock-out is the closing of a workplace, or refusal to allow work, by an employer in connection with a dispute or to compel workers to accept terms.[4] For Chapter XIII, "worker" excludes watch and ward or security staff, fire-fighting staff and confidential assistants.[4]

How this guide fits with TRW's labour coverage

The general framework, the 2026 definition of worker and individual entitlements are set out in our hub guide to labour law in Bangladesh and in our guide to workers rights in Bangladesh. This article goes deeper into the collective side: how unions are formed and recognised, how they bargain and when they may lawfully strike.

The right to form and join a union

Section 176 gives all workers, without distinction, the right to form trade unions to regulate relations with employers and among workers, and to join the union of their choice subject to its constitution. Employers have the mirror right to form employers' unions. Unions may form and join federations and affiliate internationally, and both sides may make their own constitutions, elect representatives freely and organise their own administration.[4] Where women make up 20 per cent or more of the workforce or membership, at least 10 per cent of the executive committee must be women.[4]

Who gained rights in 2025 and 2026

The reforms widened the circle. Domestic workers and seafarers, who sit outside most of the Act, are now covered by the trade union and industrial dispute chapters, and the Ordinance added domestic workers to the list of industries treated as a group of establishments.[3] [9] Persons in administrative, supervisory or managerial roles, who are not "workers", may form separate associations for their own interests.[3] Parliament's 2026 Bill removed employees and officers from the Ordinance's wider definition of worker, so those staff organise through associations rather than workers' unions.[7]

Limits that still apply

A worker may belong to only one trade union at a time in the same establishment.[4] Union activity during working hours requires the employer's permission, except for the chair or general secretary of the collective bargaining agent acting in a committee, negotiation or statutory proceeding after notice to the employer.[4] An unregistered union, or one whose registration has been cancelled, may not function as a trade union, and collecting subscriptions for it, beyond an enrolment fee, is prohibited.[4]

Trade union registration in Bangladesh after the 2026 reforms

Registration is the gateway to every right trade union law Bangladesh confers, and it is what turns an association of workers into a legal person. A registered union is a body corporate with perpetual succession and a common seal; it can contract, hold property and sue in its own name.[4] The registering authority is the Director General of Labour, or an officer authorised by him, at the Department of Labour.[4]

The new membership thresholds

Before 2025, section 179(2) required a union to enrol at least 20 per cent of all workers in the establishment, down from 30 per cent under the original 2006 text.[4] [12] The 2025 Ordinance substituted a new section 179(2): at least 20 workers may combine to apply, and the union must have a minimum number of members fixed by the size of the workforce.[3]

  • 20 to 300 workers: 20 members;
  • 301 to 500 workers: 40 members;
  • 501 to 1,500 workers: 100 members;
  • 1,501 to 3,000 workers: 300 members;
  • 3,001 or more workers: 400 members.

Parliament kept these figures when it passed the 2026 Bill on 9 April 2026.[6] [7] For a group of establishments, the Ordinance replaced the former 30 per cent requirement in section 183(6) with 20 workers.[3] Critics note the cliff edges: an establishment that grows from 300 to 301 workers doubles the membership a new union needs.[9]

Three unions per establishment

Section 179(5) has long capped registrations at three unions per establishment or group of establishments.[4] The 2025 Ordinance raised the cap to five, but the 2026 Act restored the limit of three.[3] [7] Section 93 of the 2026 Act repeals the Ordinance with a savings clause, so the practical question in a crowded factory is how the cap interacts with existing registrations, which is a point to check with the Department of Labour before filing.[2]

What the constitution must contain

Section 179(1) lists the matters every union constitution must cover, including its name and purpose, membership procedure, sources and use of funds, annual audit, dissolution, election of officers and no-confidence procedure.[4] The Ordinance extended the maximum term of union officers from two to three years, left the number of officers to the constitution and required a general meeting at least once a year.[3] [6] Drafting the constitution carefully at the outset avoids the most common objection the registrar raises.

Trade union law Bangladesh — union officers preparing registration forms for the Department of Labour
The Director General must decide a registration within 55 days

Registration procedure with the Department of Labour

The legacy guidance that the Department of Labour must decide within 60 days is out of date. Since 2018 section 182 has required a decision within 55 days of receipt.[4] The full sequence is below.

Step 01

Hold the founding meeting

Adopt a constitution covering every matter in section 179(1), elect officers and pass a resolution authorising the chair and secretary to apply.

Step 02

Check the headcount

Ask management to certify the number of workers, which it must do within ten working days, and confirm the fixed-number membership threshold.

Step 03

Prepare the forms

Complete Form 56(A) with officer and member particulars and attach each member's membership certificate under rule 168.

Step 04

File and prove the date

Submit to the Director General or authorised officer, online where available, and keep proof of the date and method of submission.

Step 05

Answer objections fast

Objections must come within 12 days; reply in writing within 15 days of receiving them.

Step 06

Pay and collect the certificate

On approval, pay the Tk 500 fee by treasury challan and collect the certificate of registration, due within 55 days of the application.

Step 07

Appeal if refused or delayed

Appeal to the Labour Court within 30 days of rejection or of the 55-day period expiring, then to the Tribunal within 30 days.

Step 08

Keep the union compliant

Maintain registers and accounts, file annual returns and notify constitutional or officer changes within 15 days.

The application and forms

The application is signed by the union's chair and secretary and filed with the Director General or authorised officer.[4] Under rule 168 of the Labour Rules 2015, a union applies on Form 56(A), a federation on Form 56(B) and a confederation on Form 56(C), with membership certificates attached and officer and member particulars on the prescribed forms; the rules contemplate the whole process running online, with hard copies preserved.[5] The registration fee is Tk 500 for a union, Tk 1,000 for an industry federation, Tk 3,000 for a national federation and Tk 5,000 for a national confederation, paid by treasury challan.[5]

What changed in 2025 and 2026

Three procedural changes matter. First, any worker may ask management to certify how many workers are employed, and management must supply the certificate within ten working days. Second, members' personal data filed with the registrar may not be disclosed to the employer or any other third party. Third, the registrar may verify the workforce figures from the employer's list or online by a digital method.[3] [6] The Ordinance also removed the rule that an application lapses if the union misses the reply deadline, and created a ministry monitoring committee whose recommendations settle disputed questions of registration procedure.[3]

Objections, decision and appeal

If the application is deficient, the Director General must state objections in writing within 12 days, and the union must reply within 15 days of receiving them. If the objections are met, the union is registered; if not, the application is rejected.[4] Where the Director General rejects an application, or fails to dispose of it within 55 days, the union may appeal to the Labour Court within 30 days of the rejection or the expiry of that period. The Labour Court may direct registration within seven days or dismiss the appeal, and either side may appeal to the Labour Appellate Tribunal within 30 days.[4]

Delays in practice

Statutory deadlines only help if the clock starts. At a stakeholder meeting in August 2026, union leaders reported online applications sitting unprocessed for months and the Department of Labour insisting on employer certification of headcount before formally accepting a file. In one case an application submitted on 25 November 2025 was not formally accepted until 27 February 2026.[10] Keep proof of the date and method of submission, and calendar the 55-day and 30-day periods from the earliest date you can prove.

Changes, returns and cancellation

Every change to the constitution, officers, name or address must be notified to the Director General within 15 days, and the Ordinance requires the change to be registered within 30 days if it complies with the Act.[3] Registration can be cancelled only with the Labour Court's permission, on grounds such as fraud, falling below the required membership or committing an unfair labour practice; cancellation for an unfair labour practice requires an application within three months of the conduct.[4] The Ordinance requires fraud to be proved by objective evidence.[3]

Collective bargaining agent elections

Registration gives a union legal personality; recognition as collective bargaining agent gives it the right to negotiate for everyone. Where an establishment has only one registered union, it is automatically the collective bargaining agent.[4] Where there are two or three, the agent is chosen by secret ballot, a rule the 2026 Act left intact.[7]

How the ballot works

The unions may nominate an election commissioner from among themselves, or the Director General, on application by a union or the employer, holds a secret ballot within 120 days. Unions have up to 15 days to say whether they will contest. If none responds, the applicant union is declared the collective bargaining agent if its members are at least one-third of the workforce.[4] The employer must supply a list of all workers, other than badli and casual workers, employed for at least three months; the list is published for objections and, once settled, becomes the voters' roll.[4] Under the Labour Rules, objections to the list are due within 15 working days of publication.[5]

Polling day and the result

The employer must provide polling facilities but must not interfere with or influence voting, and no one may canvass within 45 metres of a polling station.[4] Votes are counted in front of the contesting unions' representatives, and the union with the most votes is declared the agent, on Form 62 under the Rules.[4] [5] Its term is two years, or three in a group of establishments. Applications for the next ballot are made between 150 and 120 days before the term ends, and the sitting agent continues until a successor is declared. Election disputes go to the Labour Court, whose decision is final.[4]

What the agent can do

The collective bargaining agent bargains with the employer on employment, conditions of work and the working environment, gives notice of and declares strikes under section 211, and nominates worker representatives to welfare bodies, provident funds and the participation fund trustees.[4] [3] The employer must allot it an office room; the Rules require furniture, light and a notice board.[4] [5] Either side may bring in specialists to assist in bargaining.[4]

Check-off and sectoral bargaining

Check-off, the deduction of union dues from wages, used to be a privilege of the collective bargaining agent. The Ordinance extended it to any registered trade union, subject to each worker's written consent.[3] It also inserted section 203A, under which federations or confederations may ask employer organisations to bargain at sector or national level, and employer bodies may do the same; the party receiving a request must reply in writing within ten days.[3] Commentators point out that the law does not yet define which federations are representative or how membership is verified, so the first sectoral agreements will test the framework.[9]

Participation committees

Participation committees are the part of trade union law Bangladesh that operates even where no union exists. Every establishment ordinarily employing at least 50 workers must constitute a participation committee of employer and worker representatives, with at least as many worker representatives as employer representatives.[4] The Labour Rules require it within three months of starting operations and size it between 6 and 30 members according to headcount.[5]

Functions and meetings

The participation committee exists to build mutual trust, secure the application of labour laws, improve safety and working conditions, encourage training and welfare, and raise productivity.[4] It must meet at least once every two months, and the minutes go to the Director General and the Arbitrator within seven days.[4] Worker members cannot be transferred during their term without consent, and the employer may not retaliate against them for acts done in good faith.[4]

Relationship with unions

Where a trade union exists, a participation committee is not mandatory; where none exists, the committee's worker representatives may act for workers' interests until a union is formed.[4] The Ordinance removed the trade union from the duty to implement the committee's recommendations, leaving that duty with the employer alone.[3] Deliberately failing to take measures recommended by the participation committee is itself an unfair labour practice by the employer.[4] The separate safety committee and harassment complaint committee are covered in our labour law compliance guide.

Trade union law Bangladesh — employer and worker representatives at a participation committee meeting
Participation committees must meet at least every two months

Unfair labour practices and anti-union discrimination

The reforms made unfair labour practice the sharpest edge of trade union law Bangladesh now enforces. Section 195 has always prohibited the classic forms of union-busting: contract terms restraining union membership, refusing to employ or dismissing workers for union membership, discriminating in promotion or conditions, inducing workers to quit a union, coercing the collective bargaining agent into a settlement, interfering in the ballot, hiring replacement workers during a lawful strike and transferring union officers in breach of section 187.[4]

What the reforms added

The Ordinance extended the transfer protection to any union officer and added five new prohibited practices: blacklisting a dismissed worker or union member by notice or database; encouraging an employer-controlled workers' organisation; funding or supporting such an organisation; discriminatorily dismissing existing union officers while promoting a rival union; and retaliating against a worker who complains, uses a helpline, joins proceedings or gives evidence in an unfair labour practice inquiry.[3] Parliament retained these protections in the 2026 Act.[6]

The Director General's new power

Section 196A, already in the Act by 2018, treats retaliation during union formation or a pending registration as anti-trade union discrimination.[4] New section 196B lets the Director General order an employer to stop an unfair labour practice or discrimination immediately and, where a worker has suffered loss, to restore it and pay financial compensation, following the Department of Labour's standard operating procedure.[3] [6] For workers, this is a faster route than a criminal complaint. For employers, it means an internal investigation should start the day a complaint reaches the Department.

Practices barred to workers and unions

Unfair practice runs both ways. Section 196 prohibits intimidating workers to join or leave a union, coercing subscriptions, compelling the employer to sign a settlement by gherao, assault or cutting utilities, illegal strikes and go-slows, obstructing transport or destroying property, and interfering in the ballot.[4]

Penalties

Under section 291 as replaced by the Ordinance, an employer or other person who breaches section 195 or 196A faces up to six months' imprisonment, a fine of Tk 50,000 to Tk 1,00,000, or both, against a maximum fine of Tk 10,000 before 2025. Disobeying a section 196B order carries the same penalty. A worker who breaches section 196 faces up to three months or Tk 10,000.[3] [4]

Strikes and lockouts

A lawful strike is the end of a statutory process, not the start of one. Only an employer or a collective bargaining agent can raise an industrial dispute.[4]

Bargaining, conciliation and arbitration first

The party raising a dispute writes to the other side, which must arrange a bargaining meeting within 15 days. If no settlement is reached within a month of the first meeting, either party may report the matter to the conciliator within 15 days. The conciliator must start within ten days, and conciliation fails if there is no settlement within 30 days unless the parties extend it. On failure, the conciliator tries to persuade the parties to arbitrate and otherwise issues a certificate of failure within three days. An agreed arbitrator's award, due within 30 days, is final and lasts up to two years.[4]

Notice and the strike ballot

Within 15 days of the certificate of failure, the party raising the dispute may serve notice of a strike or lock-out, naming a start date between seven and 14 days after the notice, or apply to the Labour Court instead. A collective bargaining agent may not serve strike notice unless 51 per cent of its members consent by secret ballot held under the conciliator's supervision.[4] If the deadlines are missed, the dispute lapses and cannot be raised again for a year.[4]

Government and court powers

The government may prohibit a strike or lock-out lasting more than 30 days, or earlier if it causes serious public hardship or harms the national interest, and may prohibit one at any time in a public utility service; it must then refer the dispute to the Labour Court, which should give its award within 60 days.[4] No strike notice may be served while conciliation or a Labour Court case is pending, and the Labour Court or Tribunal can prohibit a continuing strike.[4]

New and foreign-owned establishments

Section 211(8) bars strikes and lock-outs for a period after production starts in a new establishment or one owned by or established with foreigners. That period was three years; the 2025 Ordinance reduced it to two, and the 2026 Act again amends section 211.[3] [2] Foreign investors should check the current text before relying on the moratorium.

Illegal strikes and the consequences

A strike or lock-out is illegal if declared without proper notice, outside the notice dates, while proceedings are pending, in breach of a prohibition, or while a settlement or award covering the same matter is in force; a lock-out answering an illegal strike, and vice versa, is not illegal.[4]

Under the Ordinance, a worker who takes part in an illegal strike faces up to three months or a fine of Tk 10,000 to Tk 20,000, and an employer who declares an illegal lock-out faces up to six months or Tk 20,000 to Tk 50,000.[3] That imbalance was the very issue that led the President to return the 2023 Bill.[13] While proceedings are pending, the employer may not change conditions to the disadvantage of workers involved or dismiss them, except for unrelated misconduct, without permission.[4]

The individual grievance route, the Labour Court's jurisdiction and its timelines are explained in our guide to the labour court in Bangladesh.

Export processing zones and the EPZ Labour Act 2019

The trade union law Bangladesh applies outside the zones does not reach factories inside them. The Bangladesh EPZ Labour Act 2019, Act No II of 2019, governs industries in zones under the Bangladesh Export Processing Zones Authority and covers more than half a million workers.[11] [9]

Workers' welfare associations

EPZ workers form workers' welfare associations, not trade unions. At least 20 per cent of the permanent workers must apply to the Executive Director (Labour and Industrial Relations), and registration requires 20 per cent of permanent workers as members; at least 30 per cent of executive council posts go to women where women are employed.[11] Refusal or delay in registration can be challenged in the EPZ Labour Court.[11] Strike notice requires the consent of two-thirds of the association's executive council by secret ballot, with 30 days' notice, and strikes are barred for three years in a new enterprise.[11]

Status after the 2026 reforms and Invest Bangladesh

Act No 43 of 2026 amends only the 2006 Act, so the lower union thresholds, section 196B and the new penalties do not by themselves apply inside the zones.[2] As of May 2026 the EPZ Act had not been amended, although amendments are expected under the government's labour roadmap and worker groups argue that welfare associations fall short of ILO Conventions 87 and 98.[9] The Invest Bangladesh Act 2026 merged the economic zones authority, BIDA and the PPP authority into Invest Bangladesh but left BEPZA as a separate agency; see our analysis of the Invest Bangladesh industrial-area framework. Investors in former economic zones should confirm which labour regime the relevant notification applies to their site.

Registration

Department of Labour

The Director General registers unions, runs CBA ballots and can order remedies for unfair labour practice under section 196B.

Disputes

Conciliators and arbitrators

Government-appointed conciliators handle collective disputes before any strike notice; agreed arbitrators give final awards.

Adjudication

Labour Courts

Hear registration appeals, CBA election disputes, strike references and enforcement applications without court fees.

Appeals

Labour Appellate Tribunal

Hears appeals from Labour Court registration decisions and cancellation orders, usually within 30 days.

Export zones

BEPZA and the EPZ Labour Court

Register workers' welfare associations and resolve disputes in export processing zones under the 2019 Act.

Legal aid

Labour legal aid cells

State-run cells in Dhaka and Chattogram give free advice, representation and mediation to eligible workers.

Bangladesh labour law amendments, 2006 to 2026

The labour code has been amended many times, and several widely shared summaries describe versions that never took effect. The table sets out the changes that matter for unions and industrial relations; the narrative below explains the turning points.

Bangladesh labour law amendments affecting trade unions, 2006 to 2026
DateInstrumentKey change for unions and industrial relationsStatus
11 October 2006Bangladesh Labour Act 2006 (Act No XLII of 2006)Consolidates labour law and repeals the Industrial Relations Ordinance 1969; Chapter XIII governs unionsIn force, as amended
July 2013Bangladesh Labour (Amendment) Act 2013Union leaders' names no longer given to employers; outside experts in bargaining; safety committees at 50 workersIn force
September 2015Bangladesh Labour Rules 2015Forms 55 to 63, registration fees, CBA ballot and participation committee procedureIn force, as amended
2018Bangladesh Labour (Amendment) Act 2018Membership threshold 20 per cent; 55-day registration; 51 per cent strike ballotSuperseded on thresholds
September 2022Labour Rules amendment99 rules amended, 2 repealed; 60-day limit on misconduct inquiriesIn force
2 and 20 November 2023Labour (Amendment) Bill 2023Passed by Parliament, returned by the President under article 80(3)Never enacted
17 November 2025Labour (Amendment) Ordinance 2025 (No 65 of 2025)Fixed-number thresholds from 20 members; up to five unions; blacklisting banned; section 196B remediesRepealed and replaced
10 April 2026Labour (Amendment) Act 2026 (Act No 43 of 2026)Enacts the Ordinance with changes; union cap back to three; thresholds keptIn force; rules awaited

2013: after Rana Plaza

The Bangladesh Labour (Amendment) Act 2013 was adopted in July 2013, three months after the Rana Plaza collapse. It removed the requirement to give employers the names of union leaders when a union applied for registration, allowed outside experts in bargaining and required safety committees in factories with 50 or more workers, but left the 30 per cent membership rule in place.[12]

2015 Rules and the 2022 amendment

The Bangladesh Labour Rules 2015 supplied the forms, fees and election procedures for unions and participation committees.[5] Their first overhaul, in September 2022, amended 99 rules and repealed two, giving the collective bargaining agent and participation committee a role in nominating a worker's representative in misconduct inquiries and setting a 60-day limit for those inquiries.[8] Rules implementing the 2026 Act are still awaited, which matters most for the new ADR Authority and the harassment provisions.[9]

2018: the 20 per cent rule

The 2018 amendments cut the membership threshold to 20 per cent. By the end of 2018 the Act also fixed registration at 55 days, set the 51 per cent strike ballot, required standard operating procedures for registration and unfair labour practice inquiries, and defined anti-trade union discrimination in section 196A.[4]

2023: the Bill that never became law

Parliament passed a Bangladesh Labour (Amendment) Bill on 2 November 2023, but the President returned it on 20 November under article 80(3) of the Constitution, citing a provision that could create confusion over the penalties for illegal strikes and lockouts and an incorrect cross-reference.[13] Searches for the "Bangladesh labour law updates 2023" usually lead to this Bill. It lapsed with the eleventh Parliament.

2025 and 2026: the Ordinance and the Act

The interim government promulgated the Bangladesh Labour (Amendment) Ordinance 2025, Ordinance No 65 of 2025, in the Gazette on 17 November 2025.[3] After the February 2026 elections, Parliament passed the Bill converting it into law by voice vote on 9 April 2026, with amendments, and Act No 43 of 2026 is dated 10 April 2026.[6] [2] The Bangladesh Institute of Labour Studies criticised the government for accepting employers' objections while ignoring workers', and garment employers said remaining ambiguities should be resolved through the rules.[7]

Practical impact for employers

Employers should assume that union formation is now realistic in establishments of any size above 20 workers. Review HR practices that could look like blacklisting, train supervisors on anti-union discrimination, refresh participation committee elections and minutes, and prepare a protocol for responding to a headcount certification request within ten working days. Our compliance guide covers the wider audit; benefit changes are covered in our guides to employee benefits and social security law in Bangladesh.

Trade union law Bangladesh — workers and lawyer reviewing labour law amendments
Five amending instruments since 2013 have reshaped collective labour law

Rights under trade union law Bangladesh are only as good as workers' ability to enforce them, and many assume they cannot afford to. In fact, the system offers several free or low-cost routes.

Access to justice built into the Labour Act

The Labour Act does not contain a dedicated legal aid scheme, but it removes the main cost barrier: no court fee is payable for filing or exhibiting any document in a Labour Court.[4] A party may appear in person, through a representative authorised in writing, such as a union official, or through a lawyer.[4] The 2025 Ordinance also allowed any trade union, not only a collective bargaining agent, to apply to the Labour Court to enforce rights under the Act.[3] Complaints of unfair labour practice can be made to the Department of Labour, which investigates them without charge under section 196B.[3]

The state legal aid organisation, NLASO, operates labour legal aid cells in Dhaka and Chattogram specifically for workers. Between 2009 and December 2025 they assisted 29,829 workers: 21,971 received legal advice, 4,449 cases were filed, of which 820 had been disposed of, and 3,309 disputes went to alternative dispute resolution, with 1,920 settled.[14] The service is for financially insolvent and disadvantaged justice seekers under the Legal Aid Services Act.[14] The Legal Aid Services (Amendment) Act 2026 is converting NLASO into a Legal Aid Directorate; eligibility, application and the national helpline are explained in our guide to legal aid in Bangladesh.

How a worker should apply

A worker in Dhaka or Chattogram should go to the labour legal aid cell; elsewhere, to the district legal aid office at the district court. Bring the appointment letter, identity card, payslips, any show-cause or termination letter and a copy of the section 33 grievance if one has been served. Do not let the 30-day limits for a grievance or a Labour Court case run while waiting for a legal aid decision.

Central Fund and other welfare support

The Central Fund for the 100 per cent export-oriented sector is sometimes described as a source of legal help. It is not. Under the Act, half of the fund is used in lieu of group insurance and half for workers' welfare.[4] Unions, federations and NGOs such as BLAST can also help with representation.

When to use a private lawyer

Industrial relations work rewards early advice. Employers need counsel when a registration application is filed, a ballot is called, a strike notice arrives or a section 196B complaint is lodged. Unions need it when registration stalls, when officers are disciplined during proceedings or when cancellation is sought. TRW's collective labour relations practice acts for both sides, and our employment litigation team appears in the Labour Court and Tribunal.

Mistakes to avoid under trade union law Bangladesh

  • Relying on percentages: the 20 per cent rule has gone; check the fixed-number threshold for the actual headcount.
  • Missing the 55-day and 30-day clocks: a union that does not appeal within 30 days of rejection or deemed refusal must start again.
  • Ignoring a certification request: management must certify the headcount within ten working days.
  • Disciplining union officers mid-dispute: during proceedings an officer can be punished only with the Labour Court's prior permission.[4]
  • Striking without the ballot: a strike without the 51 per cent secret ballot and valid notice is illegal and exposes participants to penalties.
  • Assuming EPZ rules match: factories inside BEPZA zones follow the 2019 Act, not Chapter XIII.

What to watch in late 2026 and 2027

Four developments will shape trade union law Bangladesh enforces over the next year. First, the implementing rules for Act No 43 of 2026, including the standard operating procedures for registration and section 196B. Second, the Alternative Dispute Resolution Authority under section 348C and the National Social Dialogue Forum under section 348B, both created on paper by the reforms.[3] [9] Third, the first sectoral bargaining requests under section 203A. Fourth, any amendment to the EPZ Labour Act. Each will change how unions organise and how employers respond, and each deserves attention before it becomes a dispute.

If you are facing a registration application, a ballot, a strike notice or a complaint to the Department of Labour, contact TRW for a clear view of your position.

Frequently asked questions

How many workers are needed to form a trade union in Bangladesh?

At least 20 workers may apply. The union must then have 20 members if the establishment has up to 300 workers, 40 for 301 to 500, 100 for 501 to 1,500, 300 for 1,501 to 3,000 and 400 above 3,000.[3] [6]

How long does trade union registration take?

The Director General must decide within 55 days of receiving the application, raising any objection within 12 days; the union has 15 days to reply.[4]

Can a refusal to register a union be challenged?

Yes. The union may appeal to the Labour Court within 30 days of rejection or of the 55-day period expiring, and then to the Labour Appellate Tribunal within 30 days.[4]

How many trade unions can exist in one factory?

No more than three may be registered at any time. The 2025 Ordinance allowed five, but the 2026 Act restored the limit of three.[7]

How is the collective bargaining agent chosen?

A sole union is the agent automatically. With more than one union, a secret ballot is held, by the unions' own election commissioner or by the Director General within 120 days of application, and the union with most votes wins a two-year term.[4]

Is a participation committee compulsory?

It is required in establishments ordinarily employing 50 or more workers, but not where a trade union exists. It must meet at least every two months.[4]

When is a strike legal in Bangladesh?

Only after failed bargaining and conciliation, with notice served within 15 days of the certificate of failure and approval by 51 per cent of the collective bargaining agent's members in a secret ballot.[4]

What is the penalty for unfair labour practice?

Up to six months' imprisonment, a fine of Tk 50,000 to Tk 1,00,000, or both, and the Director General may also order the conduct to stop and compensation to be paid.[3]

Can EPZ workers join a trade union?

No. Under the Bangladesh EPZ Labour Act 2019 they form workers' welfare associations, which need 20 per cent of permanent workers as members.[11]

Is free legal aid available for labour disputes?

Yes. Labour Court filings carry no court fee, and eligible workers can use the state labour legal aid cells in Dhaka and Chattogram or district legal aid offices.[4] [14]

Source register

Primary legal and regulatory sources

Materials checked on 20 October 2026. Confirm the current official text before relying on any provision.

  1. Bangladesh Labour Act 2006 (Act No 42 of 2006), consolidated Bangla text — Laws of Bangladesh
  2. Bangladesh Labour (Amendment) Act 2026 (Act No 43 of 2026), 10 April 2026 — Laws of Bangladesh
  3. Bangladesh Labour (Amendment) Ordinance 2025 (Ordinance No 65 of 2025), Bangladesh Gazette Extraordinary, 17 November 2025
  4. Bangladesh Labour Act 2006, English text as amended up to 2018 (Chapters XIII and XIV)
  5. Bangladesh Labour Rules 2015 (SRO No 291-Law/2015), unofficial English translation, Part XIII
  6. UNB, 9 April 2026 — Parliament passes labour bill: layoff compensation and trade union rights
  7. Prothom Alo, 13 April 2026 — Three, not five, unions per factory under the amended labour law (Bangla)
  8. Dhaka Tribune, 11 September 2022 — Labour Rules of Bangladesh get much-needed upgrade
  9. Asian Labour Review, May 2026 — A game changer? Evaluating Bangladesh's labour reform
  10. The Financial Express, 31 August 2026 — Trade unions face procedural and practical barriers at various stages
  11. Bangladesh EPZ Labour Act 2019 (Act No II of 2019), authentic English text (SRO No 257-Law/2021)
  12. ILO, 22 July 2013 — Statement on reform of Bangladesh labour law
  13. Prothom Alo English, November 2023 — President returns labour amendment bill
  14. BSS, 2 March 2026 — Workers receive legal aid at government expense

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