TaxSavvyBH

Is parallel Bahrainisation optional

Do we have to use parallel Bahrainisation?

The situation

No. It is optional. Employers can meet the ratio by hiring Bahrainis or pay the extra fee for permits above the ratio.

The law

  • Cabinet Resolution No. 27 of 2016 as amended by Resolution No. 2 of 2019 (Parallel Bahrainisation): Employers below their Bahrainisation target can still get permits by paying BHD 500 (two years) or BHD 250 (one year) extra per permit

What it means for you

Paying is quicker if you need staff now; hiring Bahrainis lowers fees over time. Compare the cost: BHD 500 per two year permit versus salary and SIO for a Bahraini hire.

What to do

  1. Check shortfall.
  2. Cost both options.
  3. Decide.
  4. Record the decision.

We can do this for youBahrainisation target check and parallel Bahrainisation planning: BHD 200

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