Lawmakers in Bahrain continue to push for an unemployment support boost, despite strong opposition from the government. A new proposal aims to raise monthly unemployment benefits by BD100 for Bahraini citizens actively seeking work, signaling a major change in national support for job seekers.
Under the proposed unemployment support boost, university graduates would receive BD300 instead of BD200, while non-degree holders would get BD250 rather than BD150. MPs supporting the boost argue that current benefit levels no longer reflect the rising cost of living in Bahrain.
The government rejects the plan, but MPs remain determined to bring it to a vote in the next parliamentary session. If a majority supports the amendment, the proposal will move to the Shura Council for final review.
Government officials strongly oppose the unemployment support boost. Representatives from the Social Insurance Organization (SIO) argue that higher benefits could lower the motivation for some jobseekers to find work. The Labor Ministry also criticized the plan and urged MPs to reconsider the financial consequences.
The proposal specifically targets Article 18 of the 2006 decree-law on unemployment insurance. Government officials point out that current legislation allows ministers to adjust unemployment benefits every three years. They believe the unemployment support boost would place additional strain on the unemployment fund.
Still, MPs argue that the boost is necessary. They say rising prices and the impact of VAT have made daily life harder for many Bahrainis. The parliamentary Services Committee also supports the proposal, stating that current benefits fall short of covering basic living expenses.
The Labor Ministry provided updated figures to support its concerns. Over 17,000 Bahrainis are registered as jobseekers. Among them, 15,000 have little to no work experience, and more than 9,000 hold university degrees. Women make up about three-fourths of those seeking jobs. These statistics, according to MPs, further justify the need for an unemployment support boost.
The unemployment insurance fund currently holds around BD502 million. Last year, it paid out BD36 million in benefits. Although the fund earns an average 6% return on investments, officials worry that increasing payouts under the unemployment support boost could reduce the fund’s reserves more quickly.
Despite these concerns, MPs remain firm in their belief that Bahrainis deserve stronger financial assistance. They argue that the proposed increase in jobseeker aid would help thousands of families struggling with economic challenges.
If the Shura Council approves the amendment, the unemployment support boost could soon become a reality—bringing meaningful changes to the way Bahrain assists its unemployed citizens.
