INDEMNITY PAY

PH_BH2020 · 2025-09-02T13:26:02+02:00

Understand how indemnity pay is calculated in Bahrain as you prepare to leave your job, and clarify salary impacts with real examples.

PH_BH2020 Active member

Member since 22 August 2020

PH_BH2020Active member02 September 2025 11:26:02

I was told that I shall not apply for indemnity pay in SIO when I leave my current company. The reason given is that when I leave Bahrain permanently, my indemnity will be calculated based on my most recent salary with my last employer鈥攅ven if part of that indemnity covers time spent with a previous employer.

For example:

Employer 1: March 2024 鈥� August 2025, Basic Salary: BD 400

Employer 2: September 2025 鈥� September 2027, Basic Salary: BD 600

In this case, the indemnity for the entire period (including time with Employer 1) would be calculated based on the BD 600 salary.

Is this correct?

logicalindian Bahrain Expert

Member since 01 May 2013

logicalindianBahrain Expert02 September 2025 15:54:31

3476

Check this link; if I鈥檓 correct, there will be two calculations for the period you worked. For employer 1, the basic would be 400, and for employer 2, it would be 600.

T&R