Strike over pay silences Bahrain newspaper for a day



MANAMA // A one-day staff strike at Bahrain's second-leading independent Arabic daily Al Waqt last week brought attention to the crisis facing the country's newspaper industry as it struggles to keep readers in the age of the internet. Al Waqt is expected to pay a month's salary today, but according to the staff, who have not been paid for two months, it is not clear whether the newspaper will be able to honour its promises.

The staff in recent weeks had presented to the management two separate petitions, one signed by 75 journalists and production crew, and another signed by 62 Bengali newspaper delivery men, demanding payment before last week's talks failed. "It wasn't an action we wished to take but we have families and responsibilities that need to be attended to. We are still hoping that this could be resolved in-house," one staff member from Al Waqt said of the strike.

"If the management fails to honour its promises we will consider other options, including that of legal action and reinstating the open strike," he said. It is believed that 60 of the newspaper's investors are expected to meet on May 2 to discuss the future of the paper and whether they should inject more cash into its operations or shut it down. The attention the strike has received stems from the fact that the widely respected paper had served as an outlet for moderates and liberals, giving a voice to demands for wider freedoms of speech, better accountability of public officials and greater transparency in government activities.

"The financial problem will be resolved, and like every other newspaper we have been affected by the drop in number of advertisers, but the board takes the interests of the staff seriously," the paper's managing editor, Fareed Ahmad Hassan, said last week. He added that despite the newspaper's failing to hit the stands for a day last week, the response from the public has been encouraging. "People were concerned and they missed the paper, and to us it shows how much we are valued by the public," he said.

Recognising, however, that the printed versions of most newspapers are struggling, Mansoor al Jamri, the editor-in-chief of the independent Al Wasat, said that traditional media must learn to adapt to include the new technologies. Al Wasat updates its website regularly throughout the day, posts to Twitter and sends text messages to mobile phones - which they charge for - to disseminate the news. Many of Bahrain's newspapers lag behind in the use of emerging technologies, and fail to take notice of the changing market demographics as the number of internet and mobile-device users increase.

"It is challenging, but we have to utilise all the multimedia technologies available to us for the widest possible reach, especially since we have age groups that are communicating mainly through these technologies today," Mr al Jamri said. "Unlike the US and the West, in the Arab world and the Gulf we are still in the early stage and this is still a very new market and the full potential of the new media has not been reached yet."

Mr al Jamri criticised the lack of support from the ministry of culture and information and its obstruction of the use of new technologies. "The ministry is still in the mindset of the '50s and '60s mentality. They are still paper-based and afraid of television and radio, let alone multimedia and the internet. Unless this mentality changes, Bahrain will be lacking behind other countries," he said.

As for the welfare of Al Waqt staff, Mr Hassan, the managing editor, said: "They had expressed their opinion in a peaceful manner and within their given rights. We respect that right and their message has been delivered to the board." According to one newspaper staff member, they are considering taking part in an annual Labor Day demonstration on May 1, when unionised workers march on the streets of the capital to highlight their demands.

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Commission caps

For life insurance products with a savings component, Peter Hodgins of Clyde & Co said different caps apply to the saving and protection elements:

• For the saving component, a cap of 4.5 per cent of the annualised premium per year (which may not exceed 90 per cent of the annualised premium over the policy term). 

• On the protection component, there is a cap  of 10 per cent of the annualised premium per year (which may not exceed 160 per cent of the annualised premium over the policy term).

• Indemnity commission, the amount of commission that can be advanced to a product salesperson, can be 50 per cent of the annualised premium for the first year or 50 per cent of the total commissions on the policy calculated. 

• The remaining commission after deduction of the indemnity commission is paid equally over the premium payment term.

• For pure protection products, which only offer a life insurance component, the maximum commission will be 10 per cent of the annualised premium multiplied by the length of the policy in years.

Disclosure

Customers must now be provided with a full illustration of the product they are buying to ensure they understand the potential returns on savings products as well as the effects of any charges. There is also a “free-look” period of 30 days, where insurers must provide a full refund if the buyer wishes to cancel the policy.

“The illustration should provide for at least two scenarios to illustrate the performance of the product,” said Mr Hodgins. “All illustrations are required to be signed by the customer.”

Another illustration must outline surrender charges to ensure they understand the costs of exiting a fixed-term product early.

Illustrations must also be kept updatedand insurers must provide information on the top five investment funds available annually, including at least five years' performance data.

“This may be segregated based on the risk appetite of the customer (in which case, the top five funds for each segment must be provided),” said Mr Hodgins.

Product providers must also disclose the ratio of protection benefit to savings benefits. If a protection benefit ratio is less than 10 per cent "the product must carry a warning stating that it has limited or no protection benefit" Mr Hodgins added.

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Name: Hassan Mohsen Elhais

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Russia's Muslim Heartlands

Dominic Rubin, Oxford

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The rice porridge is poured into a 500ml plastic box

350 plastic tubs are placed in one container trolley

Each aluminium container trolley weighing 300kg is unloaded by a small crane fitted on a truck

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Sector: Sustainability
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Company: Bidzi

● Started: 2024

● Founders: Akshay Dosaj and Asif Rashid

● Based: Dubai, UAE

● Industry: M&A

● Funding size: Bootstrapped

● No of employees: Nine

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Favourite pet: cats. She has two: Eva and Bito

Favourite city: Cape Town, South Africa

Hobby: Running. "I like to think I’m artsy but I’m not".

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  • 2014: A series of bombings and shootings across Kenya sees scores of civilians killed.
  • 2015: Four gunmen attack Garissa University College in northeastern Kenya and take over 700 students hostage, killing those who identified as Christian; 148 die and 79 more are injured.
  • 2016: An attack on a Kenyan military base in El Adde Somalia kills 180 soldiers.
  • 2017: A suicide truck bombing outside the Safari Hotel in Mogadishu kills 587 people and destroys several city blocks, making it the deadliest attack by the group and the worst in Somalia’s history.
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Starring: Joaquin Phoenix, Lady Gaga, Brendan Gleeson

Director: Todd Phillips 

Rating: 2/5