Bangladesh to offer 30% gratuity on retirement to private sector workers

The decision has been made under the government’s social safety net programmes in the new budget

The government has decided to offer 30 percent of total accumulated funds as a gratuity upon retirement to private sector workers enrolled in the universal pension scheme.

The finance minister’s budget speech noted that this decision has been made under the government’s social safety net programmes.

For the 2026-27 fiscal year, the minister proposed an allocation of Tk 1.44 trillion for the social safety net sector, up from Tk 1.26 trillion in the revised budget of the previous 2025-26 fiscal year.

The pension scheme, which was launched with great fanfare during the tenure of the ousted Awami League government, has seen a total of 377,930 people register across its four distinct packages until May 30.

The total accumulated deposits in this fund currently stand close to Tk 2.6 billion, while the total amount invested from the fund so far has reached Tk 2.86 billion.