Do we deduct GOSI for the indemnity payment of an expatriate employee?

This is Hawra from Abdulwahab Attorneys & Legal Consultants.

For non-Bahraini employees, keep in mind that the percentage of GOSI contribution is 4% (3% paid by the employer; 1% paid by the employee).

This is calculated based on the employee's salary and shall be paid to the Social Insurance Organization on a monthly basis. This contribution has nothing to do with the indemnity.

On the other hand, for indemnity, as a non-Bahraini employee, you are entitled to the same upon termination/resignation.

The same is calculated as half a month's wage for the first three years of your service, and one month's wage for each of the following years (Article 116 of the Bahrain Labour Law no. 36 of 2012).