A draft law on extending social insurance protection to Bahrainis working in other GCC countries is set to be discussed by the Shura Council.
The legislation approving amendments to the GCC Unified System governing cross-border social insurance coverage has been backed by the services committee, chaired by Dr Jameela Al Salman.
The panel asserted that the bill would boost social stability and workers’ rights.
Dr Al Salman said the amendments represent ‘a qualitative shift in the development of the social insurance system in the GCC, ensuring broader and more effective protection for citizens working in fellow member states’.
“This legislation strengthens the safety net for Bahraini citizens employed across the Gulf, particularly by activating unemployment insurance within the cross-border protection system,” she said. “It guarantees temporary income support for workers who lose their jobs, helping them maintain a decent standard of living and protecting them from sudden social and economic hardship.”
The committee reviewed the bill over three meetings, examining the draft law, explanatory memoranda, and opinions from the Shura Council’s legislative and legal affairs committee, the financial and economic affairs committee, the Foreign Ministry, and labour federations.
One of the key changes is the addition of unemployment insurance under the unified system. This means Bahrainis working in other GCC countries will contribute one per cent of their insured wage to the unemployment insurance scheme, with employers paying the same percentage, in line with Bahrain’s existing unemployment insurance law.
According to the financial and economic affairs committee, these contributions will provide additional cash inflows to the unemployment insurance fund without creating any direct positive or negative impact on the state budget.
Dr Al Salman said the committee was reassured that the amendments strike a careful balance between protecting workers’ rights and maintaining the sustainability of pension and social insurance funds.
“The bill improves mechanisms for collecting contributions, exchanging data between insurance authorities and ensuring the regular registration of insured persons,” she explained. “This supports the financial soundness of social insurance systems while preserving all existing rights and benefits of national workers.”
Representatives Social Insurance Organisation (SIO) told the committee that the amendments are part of a broader effort to modernise procedures and enhance technical channels for collecting contributions. They outlined a registration process whereby the Gulf employer submits documents to the insurance authority in the host country, which then co-ordinates with the worker’s home-country authority before deductions and transfers begin.
The Foreign Ministry, in its written submission, said the system reflects the GCC’s goals of co-ordination and integration, allowing citizens to enjoy the same retirement and insurance benefits as if they were working in their home countries, while encouraging labour mobility and strengthening social stability.
Both the General Federation of Bahrain Trade Unions and the Free Federation of Bahrain Trade Unions voiced support for the bill, describing it as a positive step towards protecting workers and stabilising employment conditions.
Dr Al Salman stressed that paying end-of-service benefits or other labour compensations will not affect employees’ social insurance entitlements under the unified system.
“This clarification removes any ambiguity between labour rights and insurance rights,” she said. “Each system operates independently, ensuring that no worker loses any of their legally guaranteed protections.”
The bill consists of two articles: the first approving the amended unified system, and the second providing for its implementation.
Dr Al Salman said the committee believes the draft law ‘reflects a balanced and forward-looking legislative approach that takes into account social, organisational and financial dimensions, and reinforces the principle that Gulf citizens deserve comprehensive protection wherever they choose to work within the region’.
mohammed@gdnmedia.bh
&uuid=(email))