ARTICLES & UPDATES

The State of Kuwait has enacted Law № 6 of 2010 regarding labor in the private sector (the “Labor Law”), which governs the legal relationship between employers and employees in the private sector, including Kuwaiti and non-Kuwaiti workers. The Labor Law aims to regulate the relationship between employers and employees, provide fair and just working conditions, and protect the rights of both parties.

This article provides a comprehensive overview of the Kuwaiti Labor laws in the Private Sector.

Employment Visas:

A foreign national is not permitted to reside or work in Kuwait without an employment visa. The employment visas can be obtained by an employer (an individual or a company) or government. However, a foreign national working in Kuwait with a valid visa can sponsor his immediate family members like spouse, parents, or children on fulfilling the conditions attached to the issuance of family visa.

Moreover, an employer or Kuwaiti company is not permitted to hire foreign staff without registration at, and authorization from Public Authority for Manpower.

Employment Contract:

All employment contracts must be written in Arabic and in a second language upon the request of an employee and must include certain details, such as the job description, salary, working hours, and duration of the contract. The employment contract must be drawn in 3 copies and signed by both the employer and the employee, a copy must be provided to the employee, and a copy must be registered with Public Authority for Manpower.

It’s pertinent to note that in case of a dispute, the Arabic version prevails over an employment contract in any other language.

An employment contract can be for either a definite or an indefinite duration. A definite-term employment contract should not exceed five years and should not be for less than one year. A definite-term employment contract may be renewed after the end of the initial fixed period by agreement of both parties. But if both the parties continue performance following the expiry date, the contract is considered to be renewed automatically on the same terms, except that the period is indefinite.

In contrast, An Indefinite term contract has no predetermined end date; it continues until either party decides to terminate it according to the terms specified in the contract or as per the provisions of the Labor Law.

Deductions and Remunerations:

The Labor Law states that the employer can only make deductions from an employee’s salary if authorized by law, such as for social security contributions, housing allowances, and other benefits.

Employees are entitled to receive their salaries and benefits on time and in accordance with the employment contract. The employer must pay the employee’s salary at least once a month. If the employment contract specifies a different payment schedule, then the employer must comply with the terms of the contract.

Employers must also pay their employees for any overtime work in accordance with the provisions of the Labor Law.

Employers are prohibited from making unauthorized deductions from an employee’s salary except that which is authorized by law. The employer may deduct the cost of any advances or loans made to the employee and may also deduct any damages or losses caused by the employee’s negligence or misconduct, by written intimation to the employee and in accordance with the provisions of the Labor Law.

Moreover, the employer shall not deduct more 10% of an employee’s wage for settlement of any debts or loans which are due to the employer and the employer shall not receive any interests on such entitlements.

Employers are required to keep accurate records of the hours worked by each employee and the amount of salary paid to each employee. These records must be made available to the Public Authority for Manpower upon request.

Working Hours, Holidays, Annual Leave, Sick Leave, Overtime:

The Kuwait Labor Law No. 6 of 2010 regulates the working conditions of employees in the private sector, including working hours, holidays, annual leave, sick leave, and overtime.

• Working hours are set at 8 hours per day or 48 hours per week. Employers must provide a rest period of at least one hour after every 5 hours of work and a weekly rest period of at least 24 consecutive hours.

Employees are entitled to at least one day off per week, which cannot be less than 24 consecutive hours.

• Annual leaves: The employees have the right to paid annual leave of 30 days, however, an employee to avail leave for the first year of his employment shall complete at least 9 months in service of his employer. Official holidays and sick leave days are not included in the annual leave. Furthermore, the employees have the right to take leave for the fractional portions of the year, and the duration of the leave should be pre proportional to the number of days worked by the employee.
• Sick leave apart from annual leaves the employees are granted in the following manner

— 15 days — with full wage.

— Next 10 days — with three quarter wage.

— Next 10 days — with half wage.

— Next 10 days — with quarter wage.

— Next 30 days — without wage.

• Public Holidays are granted to employees apart from Annual Leaves and Sick Leaves. The Kuwait’s public holidays are as follows:

— One day for Islamic New Year

— One day for Al-Isra wal Meiraj (Ascension of the Prophet Mohamed)

— Three days for Eid al-Fitr (End of Ramadan Feast)

— One day for Yaum al-Arafat (Standing Day)

— One day for Eid al-Adha (Feast of the Sacrifice)

— One day for Prophet Mohamed’s Birthday

— One day for National Day

— One day for Liberation Day

— One day for New Year’s Day

• Overtime pay an employee may be required to work overtime if there is some urgent necessity or emergency, or by agreement in other cases. Overtime hours are restricted to a maximum of 2 hours a day and not more than 3 days a week. Total overtime hours must not exceed more than 180 hours annually, or more than 90 days each year.

The pay for overtime is set at 1.25 times the standard hourly rate is obligatory for overtime on business days. In case of overtime on a day off, the overtime pay is set at 1.50 times the standard hourly pay for all overtime hours worked on the day off and for hours worked on public holidays, pay is double the standard hourly rate.

Female Employees and Minors:

Under the Kuwait Labor Law, female employees are entitled to equal pay for equal work as their male counterparts. However, there are certain restrictions on the types of jobs that women can perform, such as working a late shift (10 pm to 7 am) unless they are employed in a hotel, clinic, pharmacy or establishments in respect of which a resolution is passed by the ministry.

Regarding maternity leave, pregnant women have the right to a maximum of 40 days of leave following delivery and 30 days of leave prior to the due date. A pregnant women may also request for an additional unpaid leave for a period not exceeding 4 months. Moreover, The mother employee, once she has returned to work, is also required to be provided with a 2 hour nursing break every working day.

Additionally, 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.

The Kuwaiti Labor Law states that “No child under the age of fifteen years shall be employed. Juvenile employment who are between the age if 15 and 18 years may be made by the permission of the Ministry and such juvenile shall not be employed in any activity of hazardous & harmful to health.

The maximum working hours shall be 6 hours per day, with the constraint that they should not be allowed to work for more than 4 hours continuously and should be followed by at least 1 hour of rest.

Further, The Juveniles are not permitted to work ‘over time’ or additional working hours or during weekly off days, holidays or between 7:00 PM to 6:00 AM.

Safety, Injuries, Compensation:

Under the Kuwait Labor Law, employers are responsible for ensuring the safety and health of their employees in the workplace. The law requires employers to take all necessary measures to protect the safety and health of their employees, including providing protective equipment, training, and education on safety and health matters. Employers must also provide first aid kits, fire extinguishers, and other safety equipment, as well as ensure the workplace is free from hazards that could cause injuries or illnesses.

If an employee sustains an injury at work, the employer is required to report the injury to the Public Authority for Manpower and the police. The employee is entitled to receive medical treatment, paid fully by your employer, at any hospital or medical clinic they so choose. The family of the employee can request for further compensation for any injuries that lead to a disability of 25% or more. The amount of compensation is determined upon the extent of the injuries.

Termination of employment & Termination Indemnity:

The rules for terminating definite-term employment contracts and indefinite-term employment contracts differ slightly.

For definite-term employment contracts, termination occurs upon the expiration of the specified term. Termination for cause is possible by either the employer or the employee. However, if such termination lacks legal justification, the party responsible for termination must compensate the other party for any resulting damages. The compensation amount is capped at the remaining salary for the contract’s duration.

In the case of indefinite-term employment contracts, either party can terminate the contract by providing written notice to the other party. The notice period must be at least three months for monthly-paid employees and at least one month for all other employees. If the employee has been employed for less than five years, the termination indemnity is calculated proportionally.

Employees are entitled to an end-of-service payment upon termination or expiration of the employment contract. An employee who is paid on a daily, weekly or per-project basis is entitled to an end-of-service payment equal to 10 days’ wages (salary plus cash value of all benefits) for each of the first five years of service, prorated for any partial year, and 15 days’ wages for any following years, also prorated, but in any case not exceeding one year’s wages.

For an employee paid on a monthly basis, the end-of-service payment is 15 days’ wages for each of the first five years of service, prorated for any partial year, and one month’s wages for any following years, also prorated. The total payment is limited to 1.5 years’ wages.

An employee on an indefinite-term contract who terminates his contract by giving the required notice is entitled to half of his end-of-service payment if employed for more than three years but less than five years. If employed for more than five years but less than 10 years, he is entitled to two thirds of the end-of-service payment, and for more than 10 years’ service, he is entitled to the full payment.

A Kuwaiti employee’s entitlement to the end-of-service payment is contingent upon the employer’s ability to deduct the contributed amount towards the employee’s pension entitlement, as outlined in accordance with the provisions of the Social Insurance Law.

Disputes, Trade Union, and Public Authority for Manpower:

Disputes between employers and employees in the private sector can be resolved through Public Authority for Manpower. Public Authority for Manpower provides a variety of services, including mediation, arbitration, and legal assistance, to help resolve disputes between employers and employees. Employees who believe that their rights have been violated may file a complaint with Public Authority for Manpower, which will investigate the complaint and take appropriate action.

Kuwait’s Constitution provides a general right to Kuwaiti employees to form trade unions. Under the Labour Law, only Kuwaiti national employees are entitled to form unions after fulfillment of several conditions.

Case Study: A worker in Kuwait who has not received his/her salary for three months. The worker is worried about his financial situation and is unsure of what steps he/she should take.

• Speak with the Employer: The worker should start by attempting to communicate with his/her employer and resolve the issue amicably. He/She should document all interactions with the employer, including any promises made or agreements reached.
• Contact the Public Authority for Manpower: The worker can file a complaint with the Public Authority for Manpower, which is the official labor department in Kuwait responsible for enforcing labor laws and protecting the rights of foreign workers. The complaint should include details of the dispute, such as the amount owed, the duration of the non-payment, and any attempts made to resolve the issue with the employer.
• Seek Legal Assistance: If the Public Authority for Manpower is unable to resolve the dispute, the worker can seek legal assistance from a lawyer or law firm specializing in labor law in Kuwait. A lawyer can help the worker understand his/her legal rights and options, negotiate with the employer, and represent him/her in any legal proceedings.
• File a Lawsuit: If the dispute remains unresolved, the worker can file a lawsuit with the Court of First Instance. The lawsuit should include all relevant documents, such as the employment contract, evidence of non-payment, and any correspondence with the employer or Public Authority for Manpower.

  The required documents to file a case in Kuwait include:

  • A copy of the employment contract
  • A copy of the ID or passport of the employee and the employer
  • A power of attorney if the employee is represented by a lawyer
  • Evidence of non-payment, such as bank statements or pay slips
  • Any correspondence with the employer or Public Authority of Manpower

• Appeal: If the worker is not satisfied with the decision of the Court of First Instance, he/she can appeal the decision to the Court of Appeal. The appeal should be filed within one month of the date of the decision.
• File a Case with the Court of Cassation: If the worker is not satisfied with the decision of the Court of Appeal, he/she can file a case with the Court of Cassation. The Court of Cassation is the highest court in Kuwait and has the power to review the decision of the lower courts. The limitation period to file a case with the Court of Cassation is one month from the date of the decision.

Throughout this process, the worker should keep detailed records of all interactions with the employer, Public Authority for Manpower, and legal professionals. The employee should also be aware of any deadlines or limitation periods that may affect his/her case. With the right legal guidance and support, the worker can take the necessary steps to protect his/her rights and seek a resolution to his/her dispute.

Disclaimer: This article is for informational purposes only and does not constitute legal advice. It is not a substitute for professional consultation. Readers should consult with a qualified attorney for advice specific to their situation. No attorney-client relationship is formed by accessing this information. The author and publisher disclaim any liability for actions taken or not taken based on the content of this article.

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