Bahrain Government Salary Dates: When Do Employees Get Paid?

In Bahrain, the minimum wage for public sector employees is determined by their educational qualifications. The National Employment and Training Scheme sets the minimum wage for government employees as follows: BD 300 per month for a high school diploma, BD 380 per month for a diploma, and BD 450 per month for a university degree. Monthly salaried employees in the public sector are typically paid at the end of each month.

Minimum wage for government employees

In Bahrain, there is no universal minimum wage that applies to all private sector employees. However, a minimum wage exists specifically for Bahraini citizens employed in the public sector. This minimum wage is determined by their educational attainment under the National Employment and Training Scheme.

• High School Diploma: BD 300 (approximately $797 USD) per month
• Diploma: BD 380 (approximately $1013 USD) per month
• University Degree: BD 450 (approximately $1200 USD) per month

It is important to note that Bahrain does not have a mandated minimum wage for private sector employees, regardless of their nationality. Additionally, expatriate workers in any profession are not covered by minimum wage regulations.

Payment frequency

According to Bahrain's Labour Law, the minimum frequency for salary payments depends on the type of employee. Monthly salaried employees are paid at least once a month, typically at the end of the month. Project-based employees, for projects lasting at least two weeks, should receive an advance payment within the first week and the remaining balance upon project completion. Hourly employees, or those paid by the hour, are entitled to receive their wages at least once a week.

These are the minimum requirements. Companies can pay their employees more frequently, but they cannot fall below the mandated schedule.

The payroll cycle in Bahrain is usually monthly, with employees being paid by the end of the month.

The standard workweek in Bahrain is 48 hours, typically distributed over six days (Sunday to Thursday). Friday and Saturday are considered the weekend, with Friday being the designated weekly rest day. During Ramadan, working hours are reduced to 36 hours per week to accommodate fasting employees.

In Bahrain, workers can do overtime of up to two hours per day, with compensation of at least 25% extra for daytime hours and 50% for nighttime hours. Overtime pay is separate from the annual salary specified in the contract, and senior managers are not eligible for it.

Bonuses and allowances

In Bahrain, there are no laws requiring employers to provide bonuses to their employees. However, many private-sector employers offer performance-based or annual bonuses as part of their compensation packages. These bonuses are designed to incentivize employees and enhance their productivity and contribution to the company's success. It is important to outline the terms and conditions of any bonus schemes in the employment contract.

Bahrain offers a comprehensive compensation package to employees, which includes both mandated benefits and additional perks. One such mandated benefit is the Leaving Indemnity, which employees are entitled to upon termination of their employment. The calculation of the Leaving Indemnity excludes allowances, except for a social allowance. Additionally, if the employer terminates the contract without fault of the employee, they must pay an additional bonus equivalent to half of the Leaving Indemnity amount.

Various allowances are also common in Bahrain, assisting employees in covering different types of expenses. These can include:

• Housing Allowance: This allowance helps employees offset their housing costs, and the amount may vary depending on the company and the employee's position.
• Transportation Allowance: Some companies provide this allowance to cover commuting expenses, especially if public transportation is not readily available.
• Phone Allowance: Some employers provide an allowance to help with mobile phone expenses.
• Shift Allowance: This allowance is for employees working non-standard hours.
• Nature of Work Allowance: Certain jobs with inherent risks or difficulties may qualify for this allowance.
• Supervision Allowance: Employees with supervisory roles may receive this allowance.

It is important to note that the total value of all allowances cannot exceed 100% of the employee's base salary in Bahrain.

While not mandated by law, performance-based bonuses are common in Bahrain. Companies use these bonuses to incentivize productivity and reward employees for achieving their goals. The structure and frequency of these bonuses may vary depending on the company and the specific role.

Payroll taxes and social security

While there is no personal income tax in Bahrain, residents are required to pay social security contributions. For local employees, this is at a rate of 19% (7% from the employee and 12% from the employer). For non-resident employees, the rate is 4% (1% from the employee and 3% from the employer).

In addition, employers must make monthly contributions to the Social Insurance Organisation (SIO) for their Bahraini employees. The current rate of contributions to the SIO is 23% for local employees (15% employer, 8% employee) and 4% for expatriate employees (3% employer, 1% employee). These contributions are withheld by the employer and remitted to the SIO each month.

Maternity and family leave rights

Female employees in Bahrain are entitled to 60 days of paid maternity leave, which can be taken before and after childbirth. This is provided that they submit a medical certificate from a government health centre or a clinic approved by the employer, indicating the expected delivery date. This is in accordance with Article 32 of the Bahrain Labour Law, which also states that female workers are entitled to the same provisions as male workers in similar situations.

In addition to the paid maternity leave, female employees can obtain a further 15 days of unpaid maternity leave. They are also entitled to two one-hour periods for breastfeeding until their child reaches six months of age, followed by two 30-minute periods until the child turns one. These care periods are considered part of the working day and do not result in any wage deduction.

Female employees cannot be employed during the 40 days following childbirth, and employers are prohibited from terminating their contract due to marriage or during maternity leave.

Female employees are also entitled to three periods of unpaid leave to care for their child, up to a maximum of six months each time, and this can be used three times throughout their period of service.

Fathers are entitled to one day of paid leave upon the birth of their child.

Frequently asked questions