The number of active work permits for foreign workers in Bahrain has increased to 631,763 by the end of the second quarter of 2024, showing a 3.8% annual growth compared to the previous year. This growth indicates the continued reliance on foreign labor to support the Kingdom’s economy. However, the number of new employment work permits issued by the Labour Market Regulatory Authority (LMRA) decreased by 5% year-on-year, with 33,740 permits issued during the same period.
Despite the decrease in new hiring, 54% of the new employment work permits were issued to organizations employing less than 10 workers, highlighting the significant role that small businesses play in the Bahraini economy and their dependence on foreign labor. The data also shows a 10.2% increase in work permit renewals, reaching 99,279, suggesting that existing foreign workers are staying in Bahrain and contributing to the workforce. Additionally, the number of work permit terminations decreased by 13.6%, reaching 23,778.
The construction sector remains the largest employer of foreign workers, accounting for 23% of all new employment work permits issued. This is followed by the wholesale and retail trade sector at 20%, and the accommodation and food service activities sector at 14%. These numbers indicate the sectors where foreign workers are most in demand, reflecting the continued importance of foreign labor in various industries in Bahrain.
It is clear that despite a slowdown in new hiring, the demand for foreign workers in Bahrain remains strong, with existing workers renewing their permits and staying in the country. Small businesses continue to rely on foreign labor for their operations, highlighting the crucial role that foreign workers play in the Bahraini economy. The data from LMRA underscores the importance of foreign labor in various sectors, with construction, wholesale and retail trade, and accommodation and food service activities being the top industries for foreign workers.
Overall, the statistics point to a consistent reliance on foreign labor in Bahrain, with the continued issuance of work permits and the renewal of existing permits. While there has been a decrease in new employment work permits issued, the overall number of active work permits continues to rise, indicating the ongoing need for foreign workers to support the Kingdom’s economy. Foreign workers play a vital role in various sectors, contributing to the growth and development of Bahrain’s economy.
