Bahrain's bid to end sponsorship faces opposition from MPs
by This email address is being protected from spam bots, you need Javascript enabled to view it on Wednesday, 27 May 2009
Bahrain’s recent decision to end the sponsorship system for expatriates is in danger of being hijacked by MPs who are calling for a revision of the law before it is implemented on Aug 1.
Earlier this month, Bahrain’s Labour Minister, Majeed Al Alawi, announced that the kingdom was ending the sponsorship system to allow foreign workers to change jobs without the consent of their employers.
However, on Tuesday, the 40-member lower house voted in favour of adding a clause to say that employees must work for at least one year before being allowed to change jobs.
The clause was needed to protect business from allowing workers they brought into the country and helped train to leave jobs and move to work for the competition, according to a report in UAE daily Gulf News.
Al Alawi has rejected the vote, which has the support of the business community, saying that the law can not be amended before it has been implemented.
"We have had a series of consultations over the scrapping of sponsorship system and we agreed to review the decision after its application to assess its weaknesses and strengths, so it does not make sense to start amending it before implementing it," he told parliament.
"I reject this argument put forward by the business community. Suppose the employees were Bahrainis, could the employer restrict his or her movements?” he said.
Al Alawi went on to remind MPs that they had been the ones pushing for an end to the sponsorship system as part of reforms to the local labour market.
"You have repeatedly called for increasing the wages and salaries of Bahrainis working in the private sector. However, you are well aware that the presence of low-paid and free-visa labourers would always keep salaries down,” he said.
“You have called for decreasing the number of foreigners in the country, but this simply cannot be done without giving them their freedom so that they can move out easily," Al Alawi pointed out.
READERS' COMMENTS
Posted by amaar, Manamah, Bahrain on Thursday 11 June 2009 at 09:44 UAE time
this is something that highlights the need for more training for bahraini nationals . Expatriate workers are supposed to be skilled and not in need of training as they are specifially hired for their skills.
Training has been to ther fore in bahrain for many years and this will help with inceasing the basic skills of the workforce here in bahrain , the restriction on visa transfers will only be an extension of the present system. Noting the term "free visa " amazing that the comment comes from such a high profile person as visas are issued to bona fide sponsors and not for sale to expatriate workers ! amazed that i am on recognising that these now offically exist , what about getting rid of them offically ?
Posted by Peter Peter, dubai, UAE on Friday 29 May 2009 at 10:43 UAE time
Just because there has been a wrong perpetrated for a long time - and I mean the virtual slavery of employees by some unscrupulous employers - it does not mean that you should commit a second wrong to put it right.
If the workers have rights - and they must be respected - the employers have rights too !!
Let employers hire people only after the candidates have arrived in the Kingdom by paying for the visa themselves ! It would be patently unfair to expect medium and small businesses to first source talent, then train them and then loose them to some one who will pay a few BD more. After all there is a limit, based on economics , to how much an enterprise can pay its staff.
I would also urge the lawmakers to FREE the employers from the need to pay local sponsors or give them 51% mandatory shareholding in their companies.
If the whole move is to FREE the labor market then let the locals also compete with their own businesses in the market and see how successful they are.
The fact is that in most of the GCC the local economy has prospered on the genius and hard work of the expat entrepreneurs. Lets not punish the majority of good employers for the sins of a few.
Posted by marijke, Bahrain on Thursday 28 May 2009 at 14:48 UAE time
The lower house seems to be missing a very important point: That this law is not just for expats but to push employers to hire locals. Locals need to be motivated to build a career. Government is already investing a lot in training, but it's up to the workforce, especially young people, to take responsibility for their career. In addition to that, employers are forced to take better care of their expat work force, the sponsorship system has been abused too much.
Click here to post a comment
MORE FROM ARABIANBUSINESS.COM
TOP IN MIDDLE EAST POLITICS & ECONOMICS
TOP MIDDLE EAST BUSINESS STORIES
ALSO IN MIDDLE EAST POLITICS & ECONOMICS
LATEST MIDDLE EAST BUSINESS NEWS
- Sport: Lee Westwood wins Race to Dubai
- Construction & Industry: Qatar signs $22.79bn rail deal with Deutsche Bahn
- Media & Marketing: Dubai developers see negative press reports decline
- Transportation: Kuwait to allocate Iran port to boost trade
- Retail: Sunseeker ME announces regional expansion plans
SHARE PRICE CHECK
RELATED STORIES
Ministry of Labour and Social Affairs - Bahrain
- 50 Bahrain firms fined for flouting midday ban
9 Jul '09 | News - Call for agency for Bahrain housemaids
7 Jul '09 | News - Expat residency cap as early as 2010 - Minister
7 Jul '09 | News




