Manama: A controversial retirement bill that had created tension among members of the two chambers of the bicameral parliament was suspended on Thursday by King Hamad Bin Eisa Al Khalifa.
Amendments made to the 2008 pension laws by the government were sent to the Council of Representatives, the elected lower chamber last month, but they were rejected on June 5 by a top judicial court as “unconstitutional.”
The amendments gave the government greater control over the pensions by determining the percentage of contributions, the calculation of the average salary on which the pension is settled, the determination of the annual increase in the pension or its discontinuation, as well as the determination of the eligibility period for the pension.
The amendments excluded the combination of accrued pensions as well as the combination of the pension and the salary or the monthly remuneration.
The amendments which were approved by the Shura Council, the upper chamber, on June 14, caused a rare division within the parliament.
Opponents to the amendment said the new rules could affect the financial pensions of retirees.
On Thursday, King Hamad called for reviewing of the bill and holding consultations between the government and the two chambers of the parliament.
The king directed the government to reconsider the two bills of pension and retirement laws in cooperation with the parliament, taking into consideration all views and remarks expressed during discussions at the Shura and Representatives Councils as well as views expressed by citizens, columnists and journalists across various media platforms,” a statement from the royal court said.
King Hamad emphasised the importance of benefiting from the values of Bahrain’s democratic experience based on consultations on various national issues, and called for cooperation between the legislative and executive branches, allowing more opportunities to complete the consultations on the laws without haste.
The re-assessment of the situation should result in agreements among Bahrain’s authorities and respective institutions to introduce the necessary amendments to the currently applicable laws to ensure that the pension and insurance funds continue to fulfil their obligations vis-a-vis future generations, the statement added.
