India backs down on minimum wage in Bahrain

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Attempt to reduce exploitation

March 19, 2008

The Indian Government, with a view to reduce exploitation, had proposed a compulsory 100 Bahraini-dinar ($265) per month for Indian unskilled workers. However, there were widespread protests from contractors and the minimum wage proposal was scrapped. The proposal, if implemented, would have banned Indian workers from migrating to Bahrain without contracts that met minimum wage requirements.

The minimum wage proposal which was to be implemented from March 1 had resulted in a string of protests by Indian workers who also wanted salary increases in line with the new minimum wage. However, companies which already had valid contracts were not willing to increase the salaries. Bahrain's Labor Ministry is reported to have said that Bahrain's employers are not bound to honor minimum wage law of the Indian government.

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