In an innovative move, Bahraini authorities plan to introduce what is being termed as flexible working permits of two years for qualified foreign workers. In effect, the plan would grant expatriates the opportunity to be associated with more than a single employer at a time, by assuming part-time jobs.

This is a novelty not just within the Gulf but the broader region. The scheme is meant to make expatriates their own bosses, as officials like to put it, though at a price. Holders of flexible working permits should pay the associated costs with working in Bahrain.

The fees are $529 and $380 for work issuance and health care fees, respectively, for two years. Additionally, there is a $79 monthly social insurance fee. Also, a deposit is required to cover the cost of airfare to the worker’s homeland.

Not surprisingly, the business community has not reacted with anger to the new design. Business owners need only to pay wages of holders of flexible working permits in return for rendered services.

The plan is scheduled to go into effect in the second quarter of 2017, thus using the transitional period to explain details to the expatriate community in different languages. The scheme is optional and only those interested can apply through the Labor Market Regulatory Authority or LMRA.

Among other things, it is hoped the new regime would help overcome the challenge of illegal workers, those overstaying on their visas and working permits. Illegal workers before September 20 but not afterwards can apply to rectify their statuses via the flexible programme. Also, the design would not cover jobs requiring special permits like medics.

The new measure comes on top of an earlier development granting foreign workers the right to change sponsors. Conditions for changing sponsors include end-of-contract, thus allowing workers the right to remain in the country with a different sponsorship. Experience shows that expatriate workers with sought-after skills have a tendency of changing sponsors, where possible, for higher pay and better working environment. The steady enhancement of rules governing foreign workers should enhance the status and reputation of Bahrain among expatriates, local and foreign businesses at large.

Already, Bahrain is a popular destination for foreign workers notwithstanding its small size. Latest statistics by LMRA suggest that foreign workers make up a majority of the workforce in Bahrain.

Expatriates made up 79 per cent of total workforce as of the second quarter. What’s more, foreign workers increased by an annual 7.8 per cent compared to the same quarter in 2015. The local workforce grew a mere 0.8 per cent.

The presence of foreign workers with flexibility on what they do puts them in direct competition with locals for certain professions. Official sources put the jobless rate as low as 4 per cent. However, a report by the World Economic Forum looking into employment of youths in Arab countries places the unemployment at 7.4 per cent.

The latest amendments further confirm that Bahrain’s economy is notably open to foreign competition in the way of doing business. The new scheme neatly fits the current governmental drive of limiting expenses and generating fresh sources of revenues.

The saving comes in the form of ending the pursuit of illegal workers. Other GCC states might emulate the model.

The writer is a Member of Parliament in Bahrain.