The Minimum Wage Board has proposed a new minimum monthly wage of Tk 12,600 for workers in the iron foundry and engineering workshop sector, marking the first wage revision in over 15 years since the last adjustment in 2010.
Under the new proposal, workers would also receive a 5 per cent annual wage increment, along with a risk allowance for those directly engaged in the sector, sources said.
The Ministry of Labour and Employment (MoLE) issued a gazette notification on December 25, 2025, announcing the proposal and inviting objections or recommendations within 14 days of publication.
According to the draft proposal, a Grade Four worker will receive a minimum monthly wage of Tk 12,600, with Tk 7,000 as the basic pay. For workers living in divisional cities, a 50 per cent house rent allowance on the basic pay will be provided, while workers in other cities will receive 40 per cent. In addition, Grade Four workers will be entitled to Tk 1,000 as a medical allowance, Tk 800 for transportation, and Tk 1,000 as a risk allowance.
According to the gazette, a Grade Four worker living in divisional cities will receive a total of Tk 13,300 per month, while workers in other cities will receive Tk 12,600.
For apprentice workers, the proposed minimum wage is Tk 10,000 per month.
The proposal also includes higher wages for workers in higher grades. Grade Three workers will receive Tk 17,320 in divisional cities and Tk 16,352 in other cities, with Tk 9,680 as the basic pay.
Grade Two workers will have a proposed minimum wage of Tk 22,975 for divisional cities and Tk 21,630 for other cities, with Tk 13,450 as basic pay.
Grade One workers will see the highest proposed minimum wage of Tk 31,045 in divisional cities and Tk 29,162 in other areas, with Tk 18,830 as basic pay.
The gazette also proposes a monthly wage of Tk 13,905 for Grade Three employees in divisional cities and Tk 13,098 for those in other areas. For Grade Two employees, the proposed monthly wage is Tk 17,940 in divisional cities and Tk 16,864 in other areas.
Grade One employees are proposed to receive Tk 26,010 (divisional cities) and Tk 24,396 (other areas) as minimum monthly wages.
The last minimum wage for the sector, set in 2010, was Tk 4,220.
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