Wage protection system to be rolled out from May

MANAMA: The Wage Protection System (WPS) for workers in the private sector will be rolled out in three phases from May, Labour and Social Development Minister Jameel Humaidan has said.

The announcement follows the Cabinet’s decision to approve the timeline for the implementation of the system.

The decision aims to ensure regular and timely transfer of workers’ wages directly to their bank accounts, and enhance transparency. It will also support the judicial authority in settling wage-related disputes, and play a key role in mitigating adverse effects on the labour market, most notably irregular work.

The WPS will allow employers to maintain a professional and stable work environment by mitigating labour disputes, which will facilitate greater productivity and ensure continuity of business growth.

Mr Humaidan, who is also chairman of the Labour Market Regulatory Authority, said that the decision is testament to Bahrain’s commitment to protecting the rights of workers, in line with its legislations that stem from international labour standards.

“It focuses particularly on protecting workers’ financial rights which are governed by their contracts,” he said.

The system will be rolled out in three phases: The first phase, which begin on May 1, will include employers who employ 500 workers or more.

The second phase, which will start from September 1, includes employers who employ 50 to 499 workers, while the third phase, scheduled to begin on January 1, 2022, includes employers who employ up to 49 workers.

A grace period of six months will be extended to employers who must implement the provisions of the decision, which will commence at the start of each phase. The WPS will be applied on a voluntary basis for employers of domestic workers at the current stage.

“The Cabinet’s decision strengthens concerted efforts to combat trafficking in persons and forced labour by pre-emptively identifying suspicious cases,” the minister said, warning that failure to pay monthly salaries on time will result in penalties and legal procedures against violators.

He underlined that the phased implementation reflects the flexible nature of government policies pertaining to employers, which will ensure sustainable economic growth and enhance productivity.

Source: https://www.gdnonline.com/Details/940326/Wage-protection-system-to-be-rolled-out-from-May