Companies may be forced to pay mandatory transport allowances to all employees if plans to amend an employment law receive the go-ahead.
Private sector workers would receive no less than BD15 under a new legislative push by MP Jalal Kadhem Al Mahfoodh to help offset cost-of-living increases.
He has submitted a draft amendment to the 2012 Employment in The Private Sector Law yesterday that would make a payment compulsory, unless transport is already provided by the company.
The move, he said, was motivated by ‘growing financial pressures’, especially in light of the rising costs and the fact that many private sector workers have not seen significant wage increases in years.
“We must acknowledge the reality that salaries in the private sector have remained stagnant for a very long time,” Mr Al Mahfoodh told the GDN.
“Meanwhile, the cost of living, particularly transportation, has continued to rise. Families are struggling to keep up and workers’ income is stretched thin. Introducing a transport allowance is one way of giving them some relief.”
Fuel prices have not increased since 2018 and businesses would have to dip into profits and investment funds to cover the increases for around 560,000 locals and expats working in the private sector.
Currently, employees in government jobs receive a minimum monthly transport allowance of BD20, while private sector staff are left without any such guaranteed benefit unless their employers provide it voluntarily.
This disparity, Mr Al Mahfoodh argued, has created a sense of inequality in the labour market.
“It is simply unfair that one group of workers enjoys consistent allowances while another, equally hardworking group, does not,” he explained.
“By mandating a BD15 allowance in the private sector, we will narrow the gap between the two sectors and reinforce the principle of social justice.”
He pointed out that the private sector plays a crucial role in Bahrain’s economy, employing tens of thousands of citizens and expatriates.
Yet, in his view, it has not always been made attractive enough to retain Bahraini workers.
“If we truly want Bahrainis to see the private sector as a viable long-term career choice, we must improve its competitiveness,” he said. “Providing allowances and fair benefits is part of that. Otherwise, we risk losing talent to the public sector or even to opportunities abroad.”
The current Article 10 of the Labour Law obliges employers to provide suitable transport to their workers only in designated areas identified by the Labour Minister.
In practice, this provision has limited application, leaving the majority of private sector workers to cover the cost of commuting themselves.
Mr Al Mahfoodh’s proposal seeks to expand that provision.
Under the draft amendment, Article 10 would be revised to include a requirement that:
“The employer shall pay a monthly transport allowance to employees of no less than BD15, except for employees for whom the employer provides transport from and to the workplace. The employer shall also continue to provide suitable transport in work areas specified by a ministerial decision.”
This dual requirement, he stressed, would ensure that no worker is left without support for commuting costs, whether in cash or in kind.
The MP underlined the importance of the measure in easing household financial burdens.
“Transportation is not a luxury; it is a necessity,” he said.
“Many employees spend a significant portion of their salaries just to get to work. This is money that could otherwise go to food, housing, healthcare, or children’s education. By providing a transport allowance, we are essentially putting money back into workers’ pockets.”
He added that in some cases, workers have to rely on shared transport or make long daily commutes from outside Manama, which can eat up a sizeable amount of their modest salaries.
“Workers tell me directly about the challenges they face,” he revealed.
“Some spend BD30 or BD40 a month just to travel back and forth to their jobs. For someone earning a low or average wage, that is a major burden. My proposal sets BD15 as the minimum, but I hope many employers will go beyond that.”
Mr Al Mahfoodh also framed the proposal within a wider vision of social protection and labour market reform.
“The government has made it clear that the private sector must be the engine of growth in our economy,” he said. “But if the private sector is to fulfil that role, it must be equipped with a fair and attractive work environment. Protecting workers and providing them with proper benefits is a fundamental part of this process.”
He highlighted that workers in the private sector contribute heavily to Bahrain’s economic progress, often in industries that require long hours and physical effort, yet, he claims, they frequently feel ‘overlooked’ compared with government employees.
“This amendment is not just about financial compensation,” he explained. “It is about respect, fairness and recognition. It will make the private sector more competitive, more equal, and more aligned with current economic and social realities.”
The proposal has been forwarded by Parliament Speaker Ahmed Al Musallam to the services committee for review.
mohammed@gdnmedia.bh
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