Economy Policy
Bahrain proposes BD15 monthly transport allowance for private-sector workers

Workers whose companies already provide transportation to and from the workplace would be excluded from the payment.
A proposal to amend Bahrain's labour law could require private-sector employers to provide workers with a minimum monthly transport allowance of BD15 if transportation is not already offered by the company.
The amendment, put forward by Member of Parliament Jalal Kadhem, seeks to revise Article 10 of Bahrain's Labour Law for the Private Sector under Law No. 38 of 2012.
Under the proposal, employers would be required to pay a transport allowance of at least BD15 per month to eligible employees. Workers whose companies already provide transportation to and from the workplace would be excluded from the payment.
Kadhem said the proposed amendment is intended to address the financial strain created by rising fuel prices and increasing commuting costs, particularly for employees whose wages have remained largely unchanged in recent years.
According to the proposal, the measure would also help narrow the gap between benefits offered in the public and private sectors. Government employees in Bahrain currently receive a transport allowance of at least BD20.
Kadhem argued that transportation expenses are consuming an increasing share of household budgets and reducing workers' disposable income. Introducing a dedicated allowance, he said, would help employees retain more of their salaries while improving the attractiveness of private-sector employment.
The current legislation requires employers to provide suitable transportation for employees in specific locations identified through ministerial decisions.
The proposed amendment would maintain that requirement while extending additional support to workers who do not receive company-provided transport.
The proposal also aligns with broader efforts to strengthen employment conditions and encourage more Bahrainis to consider careers in the private sector.
Kadhem said improving employee benefits and establishing fairer employment terms could help attract local talent to private companies while providing greater protection against rising living costs.
If approved, the amendment would represent another step toward enhancing worker welfare and aligning private-sector benefits more closely with those available to government employees.
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