Employer of Record Bahrain (EOR Bahrain)

Our Employer of Record Bahrain service enables clients to hire employees in Bahrain without the need to operate a local legal entity there.

About EOR Bahrain

It makes a big difference to develop a new market with your own personnel on the ground. Particularly for functions related to sales & marketing, business development, distributor management, and service & maintenance, our customers are very satisfied using our Bahrain Employer of Record Service.

Our customers and their local teams can be free of the distractions of administrative tasks and complex local requirements. So you can fully focus on the development of your core business.

If your local business grows large enough, you can easily transfer the employees to your own subsidiary. It also provides a quick exit strategy if necessary. In addition Bahrain, we offer Employer of Record services in several other countries.

Get in Touch with Us

Peter J. Heidinger

Chairman

Employer of Record Bahrain - FMC Group's Approach

We offer:
Quick, flexible, and easy entry into Bahrain in compliance with local employment laws
Complete control over business development with your own team
Good option for building up, managing, and supporting your distributors and key accounts by directly observing local developments and adjusting the strategy whenever necessary
Using our comprehensive recruitment experience for international clients, we can form a local team that fits your corporate culture.
Focusing on your core business instead of dealing with the time-consuming and complex local administrative tasks
Allowing for easy market exit if necessary
Integrating your employees into our team through motivational events and special meetings

EOR Bahrain Management & Reporting Flow

Hiring an Employee

Hiring in Bahrain offers a dynamic workforce with a range of skilled professionals. The country’s business-friendly environment, combined with its strategic location in the Gulf, makes it an attractive destination for companies looking to hire talent. While there is no personal income tax, employers must ensure compliance with regulations, including social insurance contributions for employees. Bahrain’s diverse labor market caters to various sectors, providing employers with a broad pool of qualified candidates.

Employment Contract – indefinite vs. fixed term

In Bahrain, it is legally mandatory to establish a clear, written employment contract in the local language that outlines the terms of the employee’s compensation, benefits, and termination conditions. Employers are required to prepare two copies of the contract, ensuring both parties have a signed copy. Both the offer letter and the employment contract should specify the salary and any compensation amounts in Bahraini dinar, rather than in any other currency.

Probation Period

Work Week, Overtime & Maximum Working Hours

Income Tax

Typical Benefits

Visa for the Employees

Employment Visa/Regular Work Permit: This is the most common type of permit issued for a specific position with a Bahraini company. The validity typically ranges from one to two years, with the possibility of renewal upon meeting the necessary requirements.
Dependent’s Work Permit: Spouses or dependents of individuals holding a regular work permit may apply for a dependent’s work permit, which allows them to work in Bahrain. However, there are restrictions on the types of jobs they can hold.

Time off Policies

Public Holidays

Bahrain observes eight public holidays throughout the year:
New Year’s Day
Labor Day
Eid Al-Fitr
Eid Al-Adha
Hijri New Year
Ashoora
Prophet’s Birthday
National Day

Annual Leave

In Bahrain, employees are generally entitled to 30 days of paid annual leave, which is granted after completing one year of service with an employer. Prior to reaching this milestone, employees accrue vacation leave at a rate of 2.5 days per month. Additionally, after five years of employment, Muslim employees are entitled to a one-time 14-day paid leave for a pilgrimage to Mecca.

Sick Leave

In Bahrain, employees are typically entitled to a total of 35 days of paid sick leave per year. The first 15 days are compensated at full salary, while the subsequent 20 days are paid at 50% of the regular wage. Employees may also take an additional 20 days of sick leave, though these days are unpaid

Other Leave Types

Terminating an Employee

The standard notice period for termination is usually 30 days or more.

In Bahrain, employees with indefinite-term contracts who have been employed for at least three months are entitled to a severance payment upon dismissal. The amount of severance is typically calculated as two days’ salary for each month of service. For fixed-term contracts, if an employee is dismissed before the contract’s completion, the employer is generally required to compensate for the remaining duration of the contract.