A proposal seeking to introduce higher work permit fees for expatriate employees in businesses failing to meet Bahrainisation targets has been approved by MPs.

The motion, spearheaded by MP Muneer Suroor, was passed narrowly by 18 to 17 votes yesterday.

The move aims to incentivise local businesses to create more job opportunities for Bahrainis by imposing progressively higher fees on expatriate work permits over three years.

The proposal suggests that businesses falling short of a 70 per cent Bahrainisation quota for roles deemed ‘appealing’ to citizens would face significant fee hikes.

Under the plan, expatriate work permit fees would increase by 20pc in the first year, 35pc in the second year, and 50pc in the third year.

The fee would return to the normal rate if businesses achieve the stipulated quota.

Currently, the Labour Market Regulatory Authority (LMRA) charges an annual fee of BD100 per expatriate worker.

Should the proposal be implemented, non-compliant businesses could see these fees rise to BD120 in the first year, BD135 in the second and BD150 in the third year for each expatriate employee.

Mr Suroor believes that expats could be ‘easily made redundant’ in accounting and banking positions and administrative jobs amongst a list of 27 other professions he has compiled.

“The initiative aligns with Bahrain’s ongoing efforts to enhance Bahrainisation, a policy designed to increase the participation of Bahraini nationals in the private sector workforce,” said Mr Suroor. “By financially motivating companies to meet hiring quotas for Bahrainis, the proposal seeks to address the challenges posed by an over-reliance on expatriate labour in certain industries and commercial entities,” he added.

“Businesses need to take serious steps to prioritise hiring Bahrainis for jobs that they are qualified in and willing to perform.

“This proposal ensures that companies share responsibility for supporting the national workforce.”

LMRA chief executive Nibras Talib backed the proposal. However, he called for the imposition of higher fees on all expat work permits.

“The higher fees should be imposed in general on such permits as the government prioritises Bahrainis out of a national commitment, but the amount needs to be studied by us,” he argued.

Parliament’s financial and economic affairs committee chairman MP Ahmed Al Salloom warned the proposal could lead to an increase in prices for goods and services since it would be an additional expensive if no suitable Bahrainis were found to fill the posts.

“It is either a price hike to meet the additional fees, or a huge damage to operations, should no Bahrainis be found in time,” he said.

“Bahrainisation is a priority to local businesses but there is no real list of what jobs are considered ‘appealing’ and what are not in this proposal.”

MP Abdulwahed Qarata claimed that 90pc of the private sector was filled by expatriate workers, which means that the fee increase would have to be met by a majority of businesses.

“Leave managing business to businessmen, they already employ Bahrainis, and are co-ordinating with those concerned to attract more,” he said.

Reducing the expatriate workforce in the private sector which should be addressed through a more ‘thorough plan’ than the proposal, he suggested.

The Bahrain Chamber asked for a comprehensive study, saying such a move could have ‘huge repercussions’ on the economy.

Parliament’s services committee recommended the proposal be given the go ahead.

Meanwhile, Parliament unanimously approved a proposal by five MPs, led by services committee chairwoman Jalila Al Sayed, who have called for more jobs in private schools for university graduates in Arabic language, and Islamic and Social Studies.

Parliament first deputy speaker said the subjects should be taught by Bahrainis and not by other Arab nationals.

“These are compulsory requirement subjects at all schools, and who better to teach them than Bahrainis?” he asked.

The Education Ministry has backed the proposal.

A proposal by five MPs led by Mohsin Al Asbool to have new medical recruits in the private sector receive training in government hospitals was unanimously approved during the session too.

The Health Ministry, Tamkeen and the Private Hospitals Association have backed the plan. Tamkeen pointed that the proposal could also be modified to enable maximum benefits for Bahraini medics in the private sector.

Mr Al Asbool has also called for cancellation of the mandatory one-year-training in Bahrain for medical graduates who have completed their education abroad under another unanimously approved proposal.

The Health Ministry, the National Health Regulatory Authority and BDF Hospital said the one-year training was necessary for medics to acquire a local licence.

All proposals will now be reviewed by the Cabinet.

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