Bahrain's employment framework is governed primarily by Legislative Decree No. 36 of 2012 promulgating the Bahraini Labour Law. The law regulates employment contracts, employee rights, trade unions, discrimination, maternity and family leave, business transfers, termination of employment, restrictive covenants, employee data protection and workplace-related matters. The article also discusses the growing importance of artificial intelligence and the potential need for future regulation in the labour market.
The Bahraini Labour Law applies to employees regardless of whether they are part-time, full-time, local or expatriate employees.
Employment contracts must be in writing in Arabic and recorded in duplicate.
The law provides protections relating to discrimination, maternity leave, family leave rights and termination of employment.
Trade unions are recognised and regulated under the Law of Labour Unions.
Employees may be entitled to notice periods, annual leave payments, end of service indemnities and other statutory entitlements upon termination.
Non-competition restrictions may be enforceable subject to specific legal conditions.
Employee data protection obligations apply to employment records and cross-border data transfers.
The article identifies the increasing role of artificial intelligence as a significant future labour market development.
The main source of employment law in Bahrain is Legislative Decree No. 36 of 2012 promulgating the Bahraini Labour Law.
The law provides protections to employees and regulates the employment relationship, including employment contracts, working conditions, employee rights, trade unions, discrimination protections, leave entitlements, business transfers, termination procedures, post-employment restrictions and employee privacy.
The Bahraini Labour Law applies to all employees, including part-time, full-time, local and expatriate employees.
Employment contracts must be in writing in Arabic and recorded in duplicate, with one copy retained by each party. If a contract is prepared in another language, it must be accompanied by an Arabic version.
The law establishes minimum employment rights, including annual leave and sick leave entitlements.
Trade unions are governed by Legislative Decree No. 33 of 2003 promulgating the Law of Labour Unions.
Trade unions may attend member employees' investigations and may organise industrial strikes subject to statutory requirements, including approval procedures and advance notice requirements.
Employees are not required to establish works councils and are not entitled to board-level representation.
Employers are prohibited from discriminating between workers based on sex, ethnicity, language, religion or belief.
The law also addresses discrimination in wages based on gender.
The article further discusses provisions relating to sexual harassment and the penalties that may apply.
Female employees are entitled to maternity leave on full pay for 60 days.
Female employees may also be entitled to unpaid leave for childcare purposes and breastfeeding or childcare periods during working hours under the conditions set out in the law.
Fathers are entitled to one day of leave with full pay upon the birth of a child.
Employees automatically transfer to a buyer in the event of a business sale.
The buyer and seller remain jointly liable for employee entitlements, and collective agreements continue to bind the buyer.
The article discusses notice periods, leave entitlements, travel tickets, end of service indemnities and end of service certificates.
It also outlines circumstances in which an employer may terminate employment without notice or compensation, compensation rules for termination without cause, and termination for business-related reasons such as reorganisation, downsizing or closure.
Non-competition restrictions are recognised under Bahraini law.
Such restrictions are subject to limitations relating to duration, place and type of work and must be aimed at protecting the employer's legitimate interests.
Employers are required to maintain employee files containing employment-related information.
The article states that employee data may not be transferred freely to other countries unless the employee provides explicit consent or the transfer is necessary for the performance of the employment contract.
The article identifies the increasing use of artificial intelligence in the workplace as a significant labour market development.
It notes the potential need for regulatory frameworks that balance technological advancement with the protection of workers' rights and fair labour practices.
Employers should ensure that employment contracts, workplace policies and employment practices comply with the requirements of the Bahraini Labour Law.
Businesses should be aware of employee rights relating to discrimination, leave entitlements, termination procedures, trade unions, employee data protection and post-employment restrictions.
The article also highlights the growing importance of considering the implications of artificial intelligence in the workplace.
Review employment contracts to ensure compliance with the Bahraini Labour Law.
Assess workplace policies relating to employee rights, discrimination, leave entitlements and termination procedures.
Consider employee data protection obligations and future developments relating to artificial intelligence in the workplace.
The article provides an overview of Bahrain's employment and labour law framework, including employee rights, employer obligations, termination rules, discrimination protections, leave entitlements, trade unions, employee data protection and workplace developments relating to artificial intelligence.
The article discusses provisions applicable to employers and employees in Bahrain, including local and expatriate employees, trade unions and businesses operating in the Kingdom of Bahrain.
Businesses should review their employment practices, contracts and policies to ensure compliance with the requirements discussed in the Bahraini Labour Law and related legislation referenced in the article.
The main source of employment law in Bahrain is Legislative Decree No. 36 of 2012 promulgating the Bahraini Labour Law.
Yes. Employment contracts must be in writing in Arabic and recorded in duplicate. If a contract is prepared in another language, it must be accompanied by an Arabic version.
The Bahraini Labour Law provides minimum employee rights, including annual leave and sick leave entitlements. The article notes that employees are entitled to 30 days of annual leave and 55 days of sick leave allowance under the conditions specified by law.
Yes. Employers are prohibited from discriminating between workers based on sex, ethnicity, language, religion and belief. The law also prohibits discrimination in wages based on gender.
A female employee is entitled to maternity leave on full pay for 60 days, provided that the legal requirements set out in the law are satisfied.
Yes. Fathers are entitled to one day of leave with full pay upon the birth of a child.
The notice period must not be less than 30 days. A longer notice period may apply if agreed in the employment contract.
Depending on the circumstances, employees may be entitled to accrued leave payments, notice period compensation, travel tickets, end of service indemnity and an end of service certificate.
The article explains that expatriate employees who do not benefit from social insurance may be entitled to an end of service indemnity calculated in accordance with Article 116 of the Bahraini Labour Law.
Yes. The Bahraini Labour Law allows termination for reasons including reorganisation, scaling down of business, or partial or total closure of an establishment, subject to the legal requirements described in the article.
Yes. Non-competition restrictions are recognised under Bahraini law, provided that the legal conditions relating to age, duration, place and type of work are satisfied.
According to the article, employee data may not be transferred freely to other countries unless the employee provides explicit consent or the transfer is necessary for the performance of the employment contract.
The article notes that one of the most significant future labour market developments is the increasing need to regulate the use of artificial intelligence in the labour field as AI becomes more integrated into workplaces.
This publication has been prepared by Hassan Radhi & Associates for general informational purposes only and does not constitute legal advice, legal opinion, or a recommendation in relation to any specific matter.
This publication provides a summary of the key legal developments discussed above. For a comprehensive analysis, practical considerations and detailed commentary, please access the full article below.
Read the Full Article →Hassan Radhi & Associates is one of Bahrain's leading full-service law firms and the exclusive Lex Mundi member firm in Bahrain. Established in 1974, the Firm advises local, regional and international clients across corporate and commercial law, banking and finance, dispute resolution, arbitration, construction, employment, real estate, regulatory matters and other areas of Bahraini law.
Authors: Al Sayed Jaffer Mohamed, Mohamed Ali Shaban and Mohamed Altraif – Hassan Radhi & Associates.
Login
