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LMRA launches enhanced Wages Protection System

SDGs Bahrain News
LMRA launches enhanced Wages Protection System
21/10/2025
The Labour Market Regulatory Authority (LMRA) has launched the enhanced version of the Wages Protection System (WPS), aimed at safeguarding the rights of all work parties and documenting the commitment to paying workers’ wages on time, thereby supporting contractual stability in the private sector.

Nibras Talib, Chief Executive Officer of LMRA and Chairman of the National Committee for Combatting Trafficking in Persons, affirmed that the Authority, in cooperation with the Central Bank of Bahrain, the Bahrain Electronic Network for Financial Transactions (Benefit), and several private sector partners, has developed the WPS to meet the labour market’s needs and to enable private sector establishments to facilitate and document wage payments electronically without the need to invest in separate financial systems.

He explained that the enhanced version of the system places the protection of national employees’ rights and their stability in a fair and safe work environment at the forefront of its priorities. It also supports national companies in managing their financial and administrative operations, contributing to improved human resource management efficiency, reducing operating burdens, and promoting the sustainability of private sector establishments.

The LMRA Chief Executive expressed pride in the partnership with Benefit in providing financial facilities and solutions that enable the private sector to pay wages electronically through approved bank accounts, reinforcing the Kingdom’s position as a leading work environment based on transparency and efficiency.

Nibras Talib noted that the Wages Protection System is among the strategic priorities for safeguarding the rights of all work parties, adding that its development reflects the Authority’s commitment to strengthening Bahrain’s reputation as a stable and attractive environment for investment and capital.

He added that the system also supports employers, particularly in small and micro establishments, by helping to build stable work relations and enhance business reputation, while reducing wage-related disputes and expediting their resolution, thereby enhancing job security. He called on employers to begin using the system for electronic wage payments to benefit from its advantages and urged workers to activate their bank accounts.

In this context, Nibras Talib commended the constructive cooperation of banks and financial institutions that participated in the system’s pilot phase, praising their continued support in ensuring successful technical alignment and system integration, which contributed to the readiness of the banking system before the official launch. He emphasised that this cooperation reflects the effective partnership between the public and private sectors in developing the digital infrastructure of the labour sector.

For his part, Abdulwahed AlJanahi, Chief Executive of Benefit, expressed the company’s pride in its role as a strategic partner to the LMRA in developing the Wages Protection System, describing it as an important step in strengthening labour market stability, safeguarding the rights of all concerned parties, and enabling the private sector to adopt secure and efficient payment systems.

He explained that this partnership reflects Benefit’s firm commitment to developing innovative financial solutions in cooperation with government and regulatory entities, in line with national efforts to consolidate Bahrain’s position as a leading regional centre for labour rights protection and the adoption of advanced electronic payment technologies.

He added, "We are confident that the enhanced version of the Wages Protection System will play a vital role in facilitating the electronic payment of wages through bank accounts without imposing additional burdens on employers or requiring special systems. At Benefit, we look to the future with confidence and optimism regarding the long-term outcomes of this enhanced system, which ensures regular and transparent wage payments, reinforces a culture of responsibility and professionalism in the work environment, and positions Bahrain as a distinguished model in electronic payment systems, benefitting the national economy and boosting investor confidence."

The WPS enables employers in the private sector to pay wages through banks and financial institutions approved by the Central Bank of Bahrain. The Authority has developed the system electronically to ensure transparency, accountability, and compliance with labour regulations. It has also completed trial procedures to align the systems of several banks and financial institutions with the WPS to verify service quality and efficiency, while remaining institutions are being integrated ahead of full implementation in the first quarter of 2026.

The Authority has also begun organising monthly training and orientation workshops in Arabic and English targeting employers and human resources personnel in the private sector. Those wishing to participate can view details and schedules on the Authority’s website.

More information is available at www.lmra.gov.bh or the LMRA Call Centre on 17506055.