Parliament approves BD100 rise in jobless benefits

TDT | Manama

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A BD100 rise in unemployment benefits has been approved by Parliament, despite warnings from the government that the move could place extra strain on the national insurance fund.

The Minister of Labour, in a formal letter, apologised for not attending yesterday’s session to address Parliament’s concerns.

The new law raises monthly support from BD200 to BD300 for Bahrainis out of work with a university degree and from D150 to BD250 for those without.

MPs who backed the proposal, along with the Services Committee, argued that the previous amounts no longer covered basic expenses, particularly with prices climbing and VAT in effect.

The amendment, submitted in revised form by Parliament, targets Article 18 of the 2006 decree-law on unemployment insurance.

Supporters described it as a needed step to ease the burden on those between jobs, especially younger Bahrainis preparing to marry or build a household. But not all MPs were content to leave the matter there.

MP Jalal Kadhem described the move as a short-term fix. He said the fund ought to be channelled into national projects that could absorb Bahraini talent and offer steady jobs.

“This is a patchwork solution,” he said, adding that some allowances had grown into a drain on public money.