PRIME MINISTERIAL EDICT NO. 17/1998 WITH RESPECT TO INCREASING CERTAIN BENEFITS PAYABLE UNDER THE SOCIAL INSURANCE LAW PROMULGATED BY DECREE-LAW NO. 24 FOR 1976

The Acting Prime Minister:

In pursuance of the Social Insurance Law promulgated by Decree-Law No. 24 for 1976, as amended:

Paragraph 2 of Article 16 of the Social Insurance Law promulgated by Decree-Law No. 24 for 1976, as amended by Law No. 1 for 1985.

Decree-Law No. 5 for 1987 in respect of Amendments to Certain Provisions of the Social Insurance Law promulgated by Decree-Law No. 24 for 1976

Prime Ministerial Edict No. 15 for 1983 with respect to Determining an Increase in the Pensions of Beneficiaries & Shares of Their Eligible Heirs Under the Social Insurance Law promulgated by Decree-Law No. 24 for 1976.

Prime Ministerial Edict No. 11 for 1989 with respect to Increasing Certain Social Insurance Benefits Payable Under the Social Insurance Law promulgated by Decree-Law No. 24 for 1976; Prime Ministerial Edict No. 6 for 1993 with respect to Extending the Validity of Adding The Hypothetical Contribution Period to the Contributory Period of the Insured Persons in Calculating the Old-age Pension.

Prime Ministerial Edict No. 9 for 1993 with respect to Increasing the Minimum Pensions Payable to the Persons Covered by the Social Insurance Law promulgated by Decree-Law No. 24 for 1976. In accordance with the recommendation submitted by the Minister of Labour & Social Affairs and with the approval of the Board of Directors of the General Organisation for Social Insurance;. and with the consent of the Cabinet, hereby orders as follows:

Article 1

The pensions payable at the effective date of this Edict by the General Organisation for Social Insurance under the provisions of the Social Insurance Law promulgated by Decree-Law No. 24 for 1976, shall be risen by a simple increase of 3% for each year as of 1st January 1984 or of the date of eligibility for pension, whichever is the latter. In calculating the period for which this increase in payable, a fraction of the year equivalent to six months or more, shall be considered a full year. Any period less than six months will be disregarded. A fraction of the Fils shall be rounded to one hundred Fils provided the total amount payable monthly to the pensioner and his beneficiaries during his lifetime or thereafter, shall not exceed the Average or the Wage on the basis of which the pension has been calculated. The increase herein shall be part of the pension and be subject to the terms and conditions thereof.

Article 2

The minimum pension provided for in the first and second paragraphs of Article 135 of the Social Insurance Law, shall be increased to either one hundred and thirty five Bahraini Dinars a month per pensioner or to the total Wage on the basis of which the pension has been calculated, whichever is the lower, and to twenty five Bahraini Dinars per month per each eligible beneficiary, provided that the total amount payable to the pensioner and his eligible beneficiaries whether during his lifetime or thereafter, shall not exceed the Average or the Wage on the basis of which the pension has been calculated.

The supplemented difference in benefit between the pension to which the pensioner is eligible and the minimum referred to in the preceding paragraph, whether in the case of the pensioner or of his eligible beneficiaries, shall be treated as a Family Grant under the Social Insurance Law promulgated by Decree-Law No. 24 for 1976;

Article 3

The hypothetical contributory period prescribed in Article 1 of Prime Ministerial Edict No. 6 for 1993 with respect to Extending the Validity of Adding the Hypothetical Contributory Period to the Contributory Period of the Insured Persons in Calculating the Old-age Pension is hereby extended permanently as of 1st December 1997. In calculating the old-age pension, there shall be added, on a one off basis, to the contributory period of a male insured person at the age of 60 years or more and a female insured person at the age of 55 years or more a hypothetical contributory period of five years in the event that the insured male or female has completed the contributory period referred to in both Clause (2) and Clause (3) of Article 34 of the Social Insurance Law.

It is provided always that the combined contributory and hypothetical period of a male or female insured person shall not exceed thirty years. If such a combined period is in excess of thirty years, the extra shall be deducted from the hypothetical period. It is further provided that prior to adding the hypothetical period referred to in the first paragraph of this Article, the contributory period or periods for which a lump sum compensation had been paid to the insured person under Article 38 of the Social Insurance Law, shall be added to the subsequent period or periods. This is to determine the eligibility of the male or female insured person to the hypothetical period or any part thereof within the aforesaid 30-year limit.

Article 4
The pensions paid by the General Organisation for Social Insurance shall be adjusted with effect from 1st July 1998 to conform to the provisions of this Edict. No difference shall be payable for any preceding period.

Article 5

The Minister of Labour & Social Affairs shall implement this Edict which shall be published in the Official Gazette.

Khalifa bin Sulman Al Khalifa Prime Minister

Issued on: 15th Rabi-l 1419 A.H. 8th August 1998

Published in the Official Gazette No. 2333 dated 12th August 1998.