Bahrain could start levying BD200 ($531) every two years for work permits.

The package, which may be implemented by mid-2008, was suggested yesterday as Prime Minister Shaikh Khalifa bin Salman Al Khalifa chaired a meeting with Bahrain Chamber of Commerce and Industry board members.

Under the scheme, employers could also start paying a monthly BD10 on each work permit.

The members of a reconciliatory committee set up on the instructions of the Premier also attended the meeting.

An initial government proposal tabled by the Labour Market Regulatory Authority suggested levying BD200 on each work permit every two years in addition to a monthly BD20, starting January next year.

While approving the BD200 fees, the BCCI tabled a counter-proposal pushing for a monthly BD5 fee and requesting the scheme to be implemented in January 2009.

The Premier then tabled the conciliatory proposal, bridging the gap between the BCCI and the LMRA.

'The conciliatory formula aims at continuing the labour market reforms, without compromising the private sector interests or destabilising prices for consumers,' the Premier said.

Following a BCCI proposal, he also announced that the government would study compensation for companies through the Labour Fund, should they suffer losses during the first year.

The Premier also approved a BCCI request to issue work permits on the basis of professions rather than names.

The BCCI also requested public holidays not to exceed three days, to spare businesses potential losses and ensure people's interests.

The BCCI suggested awarding employees an extra day on their annual leave, in compensation for each holiday which falls on Friday or Saturday. The Premier approved the proposal and directed the Civil Service Bureau to study its potential economic and social impact. - TradeArabia News Service