Staff and visas in Bahrain

The Labour Law sets the terms of private-sector employment. A foreign employee needs a work permit sponsored by the employer. The Labour Market Regulatory Authority (LMRA) sets a minimum share of Bahraini staff for each activity and size of employer.
Last checked 13 November 2026

Key facts

Working time
Maximum 48 hours a week and 8 a day. The business weekend is Friday and Saturday
Annual leave
At least 30 days of paid leave after one year
Notice after probation
30 days in writing from either side
End-of-service payment
Half a month's wage per year for years 1 to 3, one month's wage per year after that. Foreign staff and Bahrainis earning above BHD 4,000 a month
Social insurance, Bahraini staff
Employer 18% and employee 8% in 2026, on wage up to BHD 4,000 a month
Social insurance, foreign staff
Employer 3% and employee 1%. No old-age pension
Work permit, 12 months
BHD 195 in 2026 (BHD 105 work permit plus BHD 90 medical insurance), plus a monthly fee per foreign worker. In 2026 the monthly fee is BHD 7.5 per worker for the first 5 foreign workers and BHD 12.5 per worker from the 6th
Bahrainisation
The LMRA sets a Bahraini share of staff by activity and size in its 2026 table. A Bahrainisation certificate is required in a government tender bid

01Contracts

Employment contracts are in writing, in Arabic and in two copies. A contract in another language has an Arabic copy attached.

  • Labour Law 36 of 2012 covers the private sector.
  • The Labour Market Regulation Law 19 of 2006 covers work permits.
  • Foreign workers need an employer-sponsored work permit.
  • A contract is fixed term, open ended or for a specific job.
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Al Tamimi, Doing business in Bahrain: employment · MEED, Private sector labour law in Bahrain

02Probation, notice and termination

Probation applies only if the contract states it. After probation, either side gives 30 days' notice in writing.

  • Probation: up to 3 months, or 6 months for occupations the Minister lists. Either side gives one day of notice. Probation applies once per employer.
  • Notice: 30 days in writing from either side after probation. Pay in lieu applies if notice is skipped.
  • Unfair dismissal: for an open-ended contract ended without valid reason after probation, compensation is two days' wage per month of service. The minimum is one month's wage and the maximum is 12 months. An extra half applies for unfair dismissal unless the contract gives more.
  • Return ticket: foreign workers are owed an air ticket home from the last employer.
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Al Tamimi, Doing business in Bahrain: employment · MEED, Private sector labour law in Bahrain

03Working time and weekend

Working time is a maximum of 48 hours a week and 8 hours a day, and never above 10 actual hours. The business weekend is Friday and Saturday.

  • Ramadan: Muslim workers work at most 6 hours a day or 36 hours a week.
  • Weekly rest: at least 24 hours.
  • Government offices: Sunday to Thursday.
  • Overtime: normal wage plus at least 25% by day and 50% by night (7 pm to 7 am). Work on a rest day is paid at normal wage plus 150% or replaced with a day off.
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Al Tamimi, Doing business in Bahrain: employment · MEED, Private sector labour law in Bahrain · Legal 500, Bahrain: Investing In

04Leave and public holidays

Annual leave is at least 30 days of paid leave after one year. Islamic holiday dates follow the moon sighting.

LeaveEntitlement
Annual leaveAt least 30 days of paid leave after one year
Sick leaveAfter three months: 15 days at full pay, 20 days at half pay and 20 days unpaid
Maternity leave60 days at full pay plus 15 days unpaid
Hajj leave14 paid working days, once, after five continuous years of service

Public holidays 2026

HolidayDate
New Year1 January
Eid Al Fitr20 to 22 March
Labour Day1 May
Arafat Day and Eid Al Adha26 to 29 May, and 31 May for government
Hijri New Year16 June
Ashoora25 and 26 June
Prophet's Birthday25 August
National Day16 and 17 December

Public holidays 2027

HolidayDate
New Year1 January
Eid Al Fitr9 to 11 March
Labour Day1 May
Arafat Day and Eid Al Adha15 to 18 May
Day of Pledge and Loyalty1 June
Hijri New Year6 June
Ashoora14 and 15 June
Prophet's Birthday15 August
National Day16 and 17 December
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Al Tamimi, Doing business in Bahrain: employment · Office Holidays, Bahrain 2026 · Office Holidays, Bahrain 2027

05End-of-service payment

The end-of-service payment under Article 116 applies to foreign workers and to Bahrainis earning above BHD 4,000 a month. It is half a month's wage per year for the first three years and one month's wage per year after that.

  • Partial years are paid pro rata.
  • Workers inside the pension of the Social Insurance Law are outside Article 116.
  • Since 1 March 2024 (Edict 109 of 2023), private employers pay it for non-Bahraini, non-GCC employees through monthly contributions to the Social Insurance Organisation (SIO). The contribution is 4.2% of monthly wage in years 1 to 3 and 8.4% after that.
  • The employee claims the payment from the SIO on leaving.
  • Bahraini and GCC workers stay under the direct employer-paid system.
  • Entitlements built up before March 2024 are still paid by the employer.
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Mercans, Changes in social security rate and EOSB, January 2026 · EY, Bahrain implements new end-of-service benefit system from 1 March 2024 · Al Tamimi, Doing business in Bahrain: employment

06Wages, unions and strikes

Wages are paid in BHD through banks under the LMRA Wage Protection System. Workers have the right to strike under Article 8.

  • Dismissal for union membership or activity is unfair under Article 104.
  • Collective bargaining runs at company, sector and national level under Articles 137 and 138.
  • A collective contract binds all workers where the union has at least half of them as members.
Sources LMRA, Labour Law (unofficial English translation, Arabic prevails) · Mercans, Bahrain payroll dossier · Al Tamimi, Doing business in Bahrain: employment

07Social insurance

Bahrain has no personal income tax. Social insurance is charged through the SIO on basic wage and fixed allowances up to BHD 4,000 a month.

WorkerEmployerEmployeeWhat it covers
Bahraini18% in 20268%Pension, unemployment and work injury. The employee share is 7% pension and 1% unemployment
Expatriate3%1%Work injury (employer) and unemployment (employee). No old-age pension
  • Law: Social Insurance Law 24 of 1976, as amended by Law 14 of 2022.
  • Employer rate path for Bahrainis: 14% from May 2022, then 1 point more each January from 2023 to 2028. The rate is 18% in 2026 and reaches 20% in 2028.
  • Remittance: monthly by the 15th of the following month. The employer deducts the employee share.
  • Women's retirement age: it rose from 55 to 60 under Law 14 of 2022.
  • Decree-Law 44 of 2026: issued on 5 October 2026 and published in Official Gazette 3909 on 8 October 2026. It takes effect the day after publication, which is 9 October 2026. It adds Article 19 bis to the Social Insurance Law. For persons insured for old-age, disability and non-occupational death insurance, contributions for all branches of insurance are calculated on a minimum wage set by Cabinet decision. Article 19 bis applies to each insured person whose registration conditions are first met after the law takes effect.
  • Bahrainis working abroad: Decree-Law 44 of 2026 lets Bahrainis working abroad, or in Bahrain for an employer outside the Social Insurance Law, choose between Law 31 of 2005 with the minimum contribution basis and a special insurance system to be set by Cabinet decision. Those already benefiting under Law 31 of 2005 are excluded.
Sources PwC Tax Summaries, Bahrain: Other taxes (individual), reviewed 26 July 2026 · Lockton, Bahrain introduces social insurance pension reforms · Mercans, Bahrain payroll dossier · Mercans, Changes in social security rate and EOSB, January 2026 · News of Bahrain, Bahrain to gradually raise employer insurance contributions, 30 August 2025 · Deloitte, Bahrain Highlights 2026, updated February 2026 · Paul Hastings, Bahrain, 2 February 2026 · Legislation and Legal Opinion Commission, Decree-Law 44 of 2026 · Legislation and Legal Opinion Commission, amendments to the Social Insurance Law

08Work permit fees and monthly fee

A 12-month work permit costs BHD 195 in 2026. The employer also pays a monthly fee per foreign worker.

The LMRA commercial services fee page, last updated on 30 October 2026, sets the 2026 permit fees. Each total is the work permit fee plus medical insurance.

Permit fees in 2026, in BHD

PermitWork permitMedical insuranceTotal
6 months52.590142.5
12 months10590195
24 months210180390

Monthly fee per foreign worker, in BHD

Foreign workers employed2026202720282029
First 5 workers7.5102030
From the 6th worker12.5152030
  • Edict 79 of 2025 takes effect on 1 January 2026. It sets the monthly fees above for 2026 to 2029.
  • Edict 79 of 2025 sets an annual issuance or renewal fee of BHD 111 from 1 January 2027, BHD 118 from 1 January 2028 and BHD 125 from 1 January 2029. The fee is collected in proportion to the duration of the permit.
  • Domestic workers are excluded from the monthly fee.
Sources LMRA, Commercial Services Fees, last updated 30 October 2026 · Prime Minister's Office, Edict 79 of 2025 · EY, Bahrain hikes visa issuance fees, health care fees and monthly contributions for work permits, 15 January 2026 · Envoy Global, Bahrain expands foreign worker usage rules, 14 October 2026

09Bahrainisation

The LMRA sets a minimum share of Bahraini staff for each approved activity and for five size bands. A Bahrainisation certificate is required in a government tender bid.

The LMRA 2026 table is titled "Bahrainization target rate and minimum and maximum number of foreign workers by economic activity and size of economic unit". The size bands are 6 to 9, 10 to 19, 20 to 99, 100 to 499 and 500 or more workers. The table below gives examples from it.

ActivityTarget share of Bahraini staff
Banks and insurers50% in every band for most activity codes
Legal activities and accounting, audit and tax advisory firms40% in every band for most activity codes
Holding companies40% in every band
Management consultancy35% in every band for most activity codes
Head offices35% in every band
Computer programming0% for 6 to 9 workers and 35% from 10 workers
Wholesale of machinery,
equipment and supplies
0% for 6 to 9 workers and 30% from 10 workers
Architectural and engineering
consultancy
25% in every band for most activity codes
Pharmaceutical
manufacturing
0% for 6 to 9 workers and 25% from 10 workers for most activity codes
Warehousing and storage25% in every band for most activity codes
Higher education35% in every band
Hotels15% in every band for most activity codes
Construction of buildings0% for 6 to 9 workers and 5% from 10 workers for most activity codes
  • Many activity codes carry 0% in the 6 to 9 band.
  • Compliance is checked electronically on each permit transaction.
  • Parallel fee: the LMRA lists an optional parallel fee for a permit issued beyond the required Bahrainisation ratio. It is BHD 500 for a two-year permit, BHD 250 for a one-year permit and BHD 125 for a six-month permit. It is charged on top of the permit and medical fees. It applies to new permits, renewals and transfers.
  • LMRA collected BHD 7.88 million from 2,200 companies through the parallel fee in the first ten months of 2025.
Sources LMRA, Bahrainization target rate by economic activity and size of economic unit, 2026 table, linked from the LMRA FAQ page updated 25 October 2026 · LMRA, Commercial Services Fees, last updated 30 October 2026 · LMRA, General Inquiries about Parallel Bahrainization System, page updated 10 August 2026 · News of Bahrain, BD500 fee for firms missing Bahrainisation targets, 7 March 2026 · News of Bahrain, Bahrain reaffirms mandatory nationalisation across all sectors, 16 May 2026 · News of Bahrain, LMRA collects BD 7.88m from parallel Bahrainisation system in 2025 · Tender Board, Guideline for Suppliers and Contractors, November 2025

10Visas and work permits

Work and residence permits tie to the sponsoring employer and are issued by the LMRA. The employer applies to the LMRA for a named worker.

  • The permit cannot be moved to another party.
  • Secondment: LMRA Resolution 2 of 2026 lets an employer assign an authorised foreign worker to an affiliate or to another employer for up to three months. The worker must consent and both employers and the LMRA approve. The receiving entity must meet Bahrainisation rules. The rule took effect on 25 September 2026.
  • Dependants: since 1 September 2026 new dependent visa applications need private medical insurance valid for at least two years.
Sources EY, Bahrain introduces electronic secondment process, 1 October 2026 · EY, Mandatory private medical insurance for dependent visa applications · Al Tamimi, Doing business in Bahrain: employment

11Golden Residency

The Golden Residency is a permanent residency. The Nationality, Passports and Residence Affairs (NPRA) administers it under the Ministry of Interior.

The NPRA lists five routes.

RouteCondition
Employees5 years of work in Bahrain with an average salary of at least BHD 2,000 over the past 5 years
Property ownersBahraini property with a total value of at least BHD 130,000 at the time of purchase, shown on the ownership title deed
Retirees after Bahraini service15 years of work in the Bahraini government or private sector and an average pension above BHD 2,000 over the last five years of residence
Retirees not residing in BahrainA pension of at least BHD 4,000, shown on a pension certificate
Talented individualsPeople nominated by a government agency in certain fields
  • Term and fees: the application fee is BHD 5 per person and is not refundable. The issuance fee is BHD 300 per person every 10 years.
  • Health insurance: the applicant holds valid health insurance in Bahrain when the residency is issued.
  • Processing time: 5 working days for the employee, property owner and non-resident retiree services.
  • Documents: a passport valid for more than 6 months, a medical insurance certificate issued in Bahrain, a 6-month bank statement and the route document. The route document is a salary certificate for employees, the ownership title deed for property owners and a pension certificate for retirees.
  • Property threshold: the NPRA announced the cut from BHD 200,000 to BHD 130,000 in November 2025.
Sources NPRA, Golden Residency routes · NPRA, Golden Residency for foreigners owning real estate in Bahrain · NPRA, Golden Residency for foreign residents in Bahrain (employees and retirees) · NPRA, Golden Residency for retired nonresident foreigners · Gulf News, Bahrain makes Golden Visa more affordable, slashes investment threshold, 30 November 2025

What changed

  • 9 October 2026Decree-Law 44 of 2026 took effect the day after its publication in Official Gazette 3909 of 8 October 2026. It adds Article 19 bis to the Social Insurance Law. Contributions for persons insured for old-age, disability and non-occupational death insurance are calculated on a minimum wage set by Cabinet decision.
  • 25 September 2026LMRA Resolution 2 of 2026 on secondment and affiliate assignments took effect.
  • 1 September 2026Private medical insurance became mandatory for new dependent visa applications.
  • 1 January 2026The work permit fee schedule to 2029 began. Employer social insurance for Bahrainis rose to 18%.
  • 29 December 2025Edict 79 of 2025 on work permit fees and monthly fees to 2029 was announced.
  • November 2025The NPRA lowered the Golden Residency property threshold from BHD 200,000 to BHD 130,000.
  • 1 January 2025Employer social insurance for Bahrainis stood at 17%.

This page is general information, not legal or tax advice.

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