MANAMA: The first phase of the Wage Protection System (WPS) for workers in the private sector came into effect yesterday as Bahrain marked International Labour Day.
The move, which follows the Cabinet’s decision, aims to ensure regular and timely transfer of workers’ wages directly to their bank accounts, and enhance transparency.
This will include Bahraini and expatriate workforce.
The Labour Market Regulatory Authority (LMRA) said that 92 per cent of targeted employers have responded positively to the programme, while co-ordination is underway to ensure readiness of the remaining bosses.
“The first of three phases applies to private sector companies employing 500 or more,” said LMRA chief executive Jamal Abdulaziz Al Alawi.
He praised employers who have joined the scheme, adding that the authority co-ordinates with them directly to ensure their commitment to disburse their workers’ salaries.
Mr Al Alawi had earlier said the workers’ wages have to be transferred to their bank accounts through any of the payment methods facilitated by entities licensed by the Central Bank of Bahrain.
He added that the first phase also covers domestic workers, though it will not be obligatory for employers to commit to the WPS.
“Employers can voluntarily transfer the wages of their domestic workers in accordance with the system,” he said.
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