The Ultimate Expat Guide for Kuwait Labor Law

Looking to blaze a career path in Kuwait? Look no further, because in this post I’ll be sharing with you just about everything you need to know regarding the labor laws of the country famous for its hot sand dunes! To begin with, you need to understand two things: first, there are three legal codes that govern Kuwait’s labor laws; second, labor laws for government employees regulate the employment conditions of civil servants.

Read on to find out how the system works!

Private-sector labor law

As far as the private sector is concerned, the MSAL (The Ministry of Social Affairs and Labour) is responsible for enforcing labor regulations. Aside from domestic workers, individuals on temporary contracts, and employees who have spent less than six months working, this applies to everyone in the private sector. However, the private sector labor laws don’t apply to employees working at companies with a head office located outside of Kuwait; that is, unless there’s a branch office located within the country. As for immigrants working in Kuwait, the private sector law of the country where their head office is located will be the governing factor.

Signing your employment contract

You also ought to have a signed employment contract handy when accepting a job offer in Kuwait. In fact, make that “you need to have”; it is critical. It should constitute employee terms of service, a concise job description, and compensation (including base salary, bonuses, and other benefits).

Note: A second copy of your contract may be provided in another language; however, only the Arabic version is considered authentic. Oh, and you’ll be needing the Arabic one if it ever comes to you having a legal showdown with your employer in court.

Period of probation

Probation periods last for 100 days at a maximum and can be applied only once to each employee. If you find yourself under a probation period, you should be aware that getting fired without prior notice is a possibility. That said, your hours on the job will not be left uncompensated.

Remunerations and deductions

Your salary will include your base pay, bonuses, commissions, tips, and other benefits (e.g., a housing allowance), but not, however, allowances that are expense or profit shares-based. However, you’re still eligible for bonus payment (if that’s included in either your contract or the company’s bylaws). Remuneration is also used to calculate your terminal compensation or indemnity, which is why it’s important for the case where you may have gotten injured on the job. Payment will vary based on the type of payment you receive from your employer; for example, if your payment is on an hourly basis, you’ll be paid according to your most recent salary payable.

The private sector labor law lists no minimum wage. And unless you perform piecework, in which case you’d be paid every two weeks, you should expect to receive a monthly salary as per usual.

As for deductions, you cannot be legally strongarmed into buying products of your own making. Don’t let anyone – employer or not – tell you otherwise. And in the unfortunate case that your employer files for bankruptcy, they’re expected to pay you both salary and benefits before settling with creditors.

Working hours

As per usual, the working hours in Kuwait amount to eight hours per day and 48 hours per week. After five hours on the job, you’re usually permitted one hour to take a break (which is not included in your labor hours). However, keep in mind that MSAL can change the number of standard work hours depending on each individual’s case.

Holidays

On a more positive note, Kuwaiti employees (i.e., employees working in Kuwait, not employees with Kuwaiti citizenship; do I have to explain?) have the privilege of eight paid days during holidays where they actually don’t have to go to work. That’s right, you’re paid as if you commuted to work and spent eight hours every day on the job – for eight days! Cool, right?

If you’re curious, the holidays are Hijri New Year's Day, Ascension Day, Eid Al Fitr, Eid Al Adha, Prophet Mohammed’s Birthday, and National DAY. Most of them are one day off, where two of them – namely the Eids, Al Fitr, and Al Adha – amount to two days off each.

Note: While Liberation Day is technically a time of ubiquitous celebration, businesses do not, unfortunately, consider it a holiday.

Annual leave

For each year of employment, you get 14 days of leave on a year-by-year basis. After five years of employment, those 14 days become 21. Sick days and holidays are not included in the days of leave, though. Also, note that employers have the ability to schedule an employee’s leave. If you happen to be on the receiving end of termination of employment (let’s call it that, why don’t we?) you’re entitled to compensation that’s worth your accumulated leave.

Sick leave

If you’re sick, you’re allowed to take sick leave, but only in the case that you have a medical record that supports your coming down with your illness. In total, you’re allowed 40 days of sick leave, but receive pay only for the first ten; afterward, your salary is reduced gradually. From days 11 to 20, you get 75% of the usual pay; days 21 to 30, 50%; and 25% for the last 10. If your 40 days are all used up, you may receive an additional 30 days of unpaid leave – courtesy of your employer, of course.

Overtime

Overtime work can be a requirement in the job description, but that’s the thing; it needs to be put into writing. Rates are 1.25 times your salary and 1.5 if you’re called upon on your off days. Holidays, however, are the granddaddy when it comes to earning more than your usual salary; if you go to work when the rest of the country is taking a day off at home, you earn double your salary.

Oh, and one last thing on overtime hours (not that I spent that much time talking about the topic): You can’t spend more than two hours on any workday, or more than six hours on any workweek, or more than 180 hours on any… uh, workyear.

Minor and female employees

No children under the age of 15 are allowed employment.

Women receive the same amount as men for the same amount of work and hours logged on the job but are not allowed to work a night shift (8 pm to 7 am) unless they work at a hotel, clinic, or pharmacy. Nevertheless, they’re allowed to work till the small hours (midnight) if they work at any of the following: offices, banks, restaurants, beauty salons or public utilities offices.

Thinking of working remotely instead? Hey, second-guessing happens to the best of us. Look no further than here.

Maternity leave

Women who are expecting a baby are allowed a total of 70 days of paid leave, though their delivery date must be scheduled within those 70. Mothers – new mothers, I might add – may choose to take up to four months of unpaid leave. Employers can’t terminate the employment of women who are on maternity leave, and once the mothers have returned, they’re provided a two-hour break every workday so they can nurse their babies.

Employers who have 50 female employees or 200 male employees onsite are also required to provide daycare facilities for children up to the age of four.

Termination

I’ve alluded to this somewhere in the previous paragraphs, but there’s no going around the topic of getting fired from work. Anything can go wrong at any time, so it will behoove you to know your rights well if you ever find yourself suddenly jobless. You and your employer both have the right to terminate your employment contract. An employer can terminate your contract without notice under specific circumstances:

  • You’re responsible for a large company loss
  • You’ve become employed using fraudulent documents (e.g., you didn’t go to law school and yet you manage to get hired at a law firm)
  • You disclose confidential information that may incur financial damage to the company

Whether it’s you or your employer, whichever of you decides to make the company one employee less than before must compensate their counterpart for money lost within the notice period, e.g., if you decide to jump ship, there’s a good possibility you could be legally responsible for paying the company what they would have earned had you stayed for the entire contract.

Your health and safety

An employer must protect their employees from all physical dangers and all work-related illnesses. The workplace must be clean and ventilated thoroughly, with first aid kits always within reach of all employees. Drinking water and other supplies should also be prepared at hand, in case employees are working in remote areas. Also, if you can’t commute to your workplace via public transportation, your employer should be the one to provide you with an alternative.

Compensation

At the end of each contract, employees get to receive a payout according to the Labour Law. This is equivalent to 10 days of pay for the first five years of employment and 15 for those employed six years or longer. You’re also entitled to full indemnity if you get fired or your employer doesn’t renew your contract.

Workers who also resign get partial compensation; those who have worked for a company between 3-5 years can expect to receive half of one month’s salary, while those who work between 5-10 years receive 75%, and those employed for more than 10 years receive a full month’s salary as compensation for their service.

Injuries at the workplace

On the off chance that you get injured at work, the police and the MSAL must both be notified of the event. You also have the right to receive medical treatment, paid fully by your employer, at any hospital or medical clinic they so choose. You also get compensation for any injuries that occur because of your work, and your family can request further compensation if said injuries lead to a disability of 25% or more. The amount of compensation will depend upon the extent of your injuries.

Dispute resolutions

If you’re in a deadlock with your employer, it’s for the best that you first attempt reaching a settlement between yourselves before ascending the matter to be handled by the law. If no agreement is reached, you have 7 days to register a dispute resolution with MSAL. If the MSAL is also unable to break the deadlock after 15 days, the problem will be handled in court before the Labour Dispute Arbitration Committee where a final decision will be made on the committee’s end.

Now that you’ve gathered the topmost important info when it comes to working in Kuwait, it is your opinion that you begin to implement what you’ve learned immediately. That is, if you’ve already decided to move to Kuwait as a working expat – then your first step to finding your job awaits here.

Whether you make a decision today or a few months from now, you can always come back to this article and see how compatible the Kuwait labor laws are with your values. It’s as simple as reading through this piece a few times and seeing if there’s a good fit. That’s it.

Mohamad Osman
  • Posted by Mohamad Osman - ‏16/10/2021
  • Last updated: 03/04/2023
  • Posted by Mohamad Osman - ‏16/10/2021
  • Last updated: 03/04/2023
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