By SOMAN BABY

A CRACKDOWN on companies which failed to pay labour fees is paying off, say officials. Around 6,000 firms had failed to pay fees to the Labour Market Regulatory Authority over the last six months, it emerged yesterday.

But many are now beginning to pay, to avoid cumulative fines and the threat of being forced to send home their foreign workers.

Out of 43,000 to 44,000 companies which receive monthly invoices from LMRA, about 15 per cent have not yet paid.

But once the LMRA introduced fines of BD2 per worker per month, those companies have started making payments, said LMRA chief executive Ali Radhi.

Fines were introduced from January 1 for companies that continue to ignore the new fees.

“The six-month grace period is over. We are now implementing the Cabinet order, which imposes a BD2 penalty per worker for every month’s delay, up to BD6,” said Mr Radhi.

“If they fail to pay for three months consecutively, the work permits will be cancelled and the employer will bear the cost of repatriating the workers.

“They will also not be granted visas to hire additional foreign workers.”

All dues have to be paid with retrospective effect, said Mr Radhi.

Payments can be made through the online payment gateway on LMRA’s website www.lmra.bh, or through one of Ahli United Bank branches.

“Out of an estimated 6,000 companies which were not paying, many have started paying now,” said Mr Radhi.

“The details of others who have not even responded to our calls have been transferred to our inspection department for necessary action.”

Companies should have been paying BD200 for each two-year work visa they obtain for a foreigner, plus BD10 every month for each expat worker on their books, since the LMRA took charge of issuing visas in July.

Eighty per cent of the money collected from the fees goes to Tamkeen (the Labour Fund) to pay for the training of Bahrainis.

“The delay in payment affects the projects designed by Tamkeen to train Bahrainis in different vocations,” said Mr Radhi.

“We therefore appeal to all companies to co-operate with us in the best interests of Bahrain.”