Parliament has approved the Universal Pension Management Act 2023, which creates a lifetime retirement pension benefit for Bangladesh citizens working in the private sector who choose to participate and meet the eligibility conditions. Previously, only public-sector workers had access to a state pension arrangement.
Though employers have no direct role in funding or administering the new program, they should be aware of its existence as a future source of retirement income for their employees. Almost all of the employers surveyed by WTW offer provident funds, as companies are required to offer a fund if at least three-quarters of their workforce request it in writing. All companies in designated Export Processing Zones must have provident funds for their employees.