Question

Explain the characteristics of the labor market in Bahrain and explain the concept of tight and loose labor market. Keeping in consideration Covid 19- explain the trend of labor market. How does it differ from the countries that this business is already operating in? Highlight the concept of hiring locals and the government initiatives to promote the same.

•​Explain how it differs from other countries in terms of the workforce demographics

•​Hiring of expatriates as well as local talent.

•​Public and private sector preferences of the workforce

•​System of hiring expats: Kafala System/workers mobility.

•​Rate of unemployment in these countries.

•highlight the government initiatives in these countries in terms of E.g. Bahrainisation and its implications on recruitment.

•​Highlight any employment trends in these countries specifically Bahrain

Answer 1

Segmented labour market is the most prominent feature of Bahrain's labour market. It is the segmentation between national and expatriate workers. National accounted for 90% of the public sector work force 2000, while two third of workers in the private sector were non-nationals. The increase in the overall numbers of Bahraini workers in the public and private sectors by 0.3% to 1,57,261 in the second quater. The notion that the labour market is tight (loose) when there is an imblance between labour demand and labour supply, which will exert upward (downward) pressure on real unit labour costs or equivalently on the labour share. The Covid-19 has affected the entire world and has brought a great impact for the employess both in private and public sector .The hiring of locals and the government initiatives to promote the business is a good idea where they give their full effort in doing the business and also act effeciently to have a more exposure.

The countries in the term of workforce demographicsis totally different because they have their own rules and regulation that has to be made in account . They dedicate them self for the work that they are allotted to them.The preference of the private and public sector is based on theri working skills and how efficiently they work together with a proper coordination with other people. The rate of unemployment in the country is at a very poor level and has to develope those status of the nation to avoid the countries drawback.