4pc training levy on Bahrain private sector scrapped

The training levy required to be paid by Bahrain’s private sector institutions employing over 50 workers has been cancelled following the transfer of the responsibilities of the High Council for Vocational Training to Tamkeen.

The levy amounted to 4 per cent of the total salaries of foreign workers employed by a company, a Tamkeen statement said.

With the cancellation of the levy paid to the Ministry of Labour, Tamkeen will be the leading entity for delivering training to private sector employees, it said.

Tamkeen is a semi-government organisation established in 2006 as part of the country’s national reform initiatives, with the task of making the private sector the key driver of sustainable economic development.

Under a Royal Decree issued by His Majesty King Hamad bin Isa Al Khalifa the responsibilities of the council were transferred to Tamkeen in order to control expenditure, boost the national economy’s sustainability and enhance private sector’s growth.

“Stemming from its commitment to provide support to Bahraini enterprises and individuals, Tamkeen pledges to work closely with the Ministry of Labour and concerned organisations and entities in devising an integrated action plan to ensure smooth implementation and transfer of duties. Over the coming period, Tamkeen will also work with the private sector to identify its training needs and provide the relevant training solutions for those needs,” the Tamkeen statement said.

“This plan will lay out solid foundations that will assist in boosting competitiveness and sustainable economic development in the short and long terms. This will in turn, help Bahraini citizens, companies as well as institutions operating in the kingdom to fully realise their ambitions and goals,” it added.

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Utilising its extensive experience in upskilling Bahrainis and preparing them for the labour market, Tamkeen will assume new responsibilities that include drafting of vocational training policies and formulating relevant plans. These will be added to the other current responsibilities of Tamkeen.

These include investment in vocational training, research to identify training needs, revision and assessment of training programmes, and matching training providers with relevant businesses and institutions.

By: Tamkeen

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