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Parliament Agrees to Increase Unemployment Allowance to 200 for Undergraduates, 150 for Others

2018-04-11 - 9:01 p

Bahrain Mirror: The House of Representatives agreed in its session yesterday (April 10, 2018) to increase unemployment benefits for undergraduates from 1500 to 200 BD monthly. It also agreed to increase the unemployment benefits for non-academics to 150 BD.

In the same context, the Council agreed to amend Article 11 of the unemployment insurance act. The new article stipulates that "the monthly compensation is given at a rate of 70% of wage of the insured on the average monthly wages during the 12 months prior to unemployment, not exceeding 1000 BD. If the unemployment period includes part of the month, the due compensation with respect to daily basis is calculated by dividing the monthly compensation amount by 30."

However, the current law stipulates in its 11th article that the monthly compensation is given each month at 60% rate of the insured's wage, based on the average monthly wage during the past 12 months prior to unemployment. The compensation shall not exceed 500 BD.

Mohammed Al-Ansari, the Ministry's Assistant Undersecretary for Labour Affairs, said that the unemployment insurance system has been developed based on an actuarial study that identified sources of funding for this system and the rights of the beneficiaries. Thus, the proposed amendment to increase the amount of the unemployment compensation as stated in the bill cannot be passed except after an actuarial study that shows the ability of the unemployment insurance fund to meet this proposed increase while keeping the funding sources unmodified.

Arabic Version



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