Bahrain: 100% Tamkeen wage support urged to boost employment

Zawya

28-04-2025

Bahrain - A proposal to bolster Bahrain's National Employment Programme by increasing wage support to 100 per cent and introducing new mechanisms to ensure job stability has sparked debate among legislators.
The proposal by Parliament's financial and economic affairs committee vice-chairman Mohammed Al Marafi, submitted formally to Parliament yesterday, calls on the government to develop the current programme administered by the Labour Fund (Tamkeen) by fully covering employees' salaries during the support period, and ensuring workers' long-term retention after the support ends.
In his explanatory memorandum, Mr Al Marafi highlighted the importance of Tamkeen's wage support initiative, describing it as one of the most significant efforts to promote employment and reduce unemployment among Bahrainis.
'Tamkeen's wage support programme is a key driver in helping Bahraini talent start their careers in the private sector and in encouraging institutions committed to employing national cadres,' said Mr Al Marafi.
'However, it is necessary to develop the programme to meet the current demands of the labour market.'
Under the current system, Tamkeen offers several options:
* Three-year programme: 70pc wage support in the first year, 50pc in the second, and 30pc in the third.
* Alternative three-year programme: 50pc wage support consistently over three years.
* Five-year programme: 30pc wage support throughout.
* Special provisions: 40pc wage support for engineers over five years, and an additional 10pc support for candidates with disabilities across all categories.
Mr Al Marafi argued that increasing the wage support to 100pc would alleviate the financial burden on companies and incentivise them to hire Bahraini jobseekers.
'This proposal will encourage companies to recruit jobseekers by reducing their financial responsibilities, making them more willing to absorb national manpower,' he said.
'It would also create a more stable employment environment, with companies committing to keeping employees for at least three years.'
He suggested penalties for companies that terminate employees prematurely.
'We must establish mechanisms ensuring that if an employee continues to work after completing the probationary period under the 2012 Private Sector Employment Law, it is considered a sign of satisfaction with their performance,' Mr Al Marafi explained.
'Companies that dismiss employees after the probationary period, but before completing the three-year term should face penalties to reinforce the commitment to labour stability.'
Parliament Speaker Ahmed Al Musallam referred the proposal to the services committee for review in co-ordination with relevant authorities.
However, the proposal drew a cautious response from some legislators, including the vice-chairman of the services committee, Mohammed Al Olaiwi, who defended the current partial support structure.
'I am not saying the proposal is wrong, but it encourages dependence rather than empowerment,' he said.
'100pc wage support means someone is just getting employed to do work for a business with the government paying all as if it were the employer.'
Mr Al Olaiwi argued that the existing system, which requires employers to share the wage burden, better prepares companies to sustainably retain workers once the government support ends.
'The current mechanism is more realistic,' he said.
'Employers must take responsibility for paying wages. Otherwise, when the government support ends, companies may simply terminate workers instead of retaining them.'
The services committee is expected to issue a report with its recommendations after completing its review of the proposal.
[e-mail]