27 Sep 2026

Bahrain Chamber Welcomes Decision to Enhance Labour Market Flexibility

Chairman of the Bahrain Chamber, Nabeel Kanoo, welcomed the Labour Market Regulatory Authority’s (LMRA) decision amending certain provisions of Resolution No. (76) of 2008, allowing employers to utilise foreign workers authorised to work at another establishment owned by the same employer or affiliated with the same group, or to work for another employer for a period of three months, subject to applicable legal requirements.

Kanoo stated that the decision represents a positive step towards developing the labour market regulatory framework in line with the needs of the private sector and evolving economic activities. He noted that the added flexibility will enhance labour market efficiency and enable businesses to respond to operational requirements more effectively.

 

He explained that the new mechanism provides employers with practical options to manage their workforce and make better use of available talent and labour within the Kingdom. It can also reduce the need for new recruitment procedures where workforce requirements can be met through workers already available in Bahrain.

 

Kanoo further noted that the mechanism will support business continuity and enable establishments to respond more effectively to changes in demand and operational needs. It will also contribute to more efficient workforce allocation, supporting business productivity and competitiveness.

 

He emphasised that clear legal safeguards are essential to balancing labour market flexibility with the protection of workers’ and employers’ rights. Requirements including the worker’s consent, clearly defined employer responsibilities, compliance with Bahrainisation ratios, and other regulatory conditions provide a clear and transparent framework for implementing the decision.

 

Kanoo affirmed that the decision reflects the authorities’ responsiveness to private sector needs and their efforts to enhance the efficiency of the business environment while maintaining the regulatory objectives of the labour market and protecting the rights of all parties.

 

Kanoo commended the LMRA’s efforts to develop its services and mechanisms in line with economic developments and employers’ needs. He stressed the importance of continued consultation and coordination between government authorities, Bahrain Chamber, and private sector institutions to develop practical and flexible solutions that support private sector growth and enhance the competitiveness of the national economy.

 

He added that continued labour market development and engagement with employers will contribute to strengthening Bahrain’s business environment, supporting private sector growth and expansion, and creating further economic opportunities in line with the Kingdom’s economic development objectives.

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