New Labor Law 2010

On the 21st of February 2010, a new hope was given to the emigrants working in Kuwait.
The new Kuwait Labor Law was already published in Kuwait’s official gazette.

The published labor law contains the updated provisions and amendments that are proven beneficial and appropriate for employees and their employers. Salary, public holidays, paid leave, sick leave and end of service payments are some of the amended provisions that was approved by the National Assembly last 2009 and was then sent to Kuwait Cabinet. After Kuwait Cabinet’s approval, it was then sent to His Highness the Amir for endorsement. Unfortunately, domestic workers in Kuwait will not come under this rule.

On Salary:

The new labor law mandates that before the 7th of each month, the salaries of all employees should be sent to the banks. All employees are also entitled to paid leave on all official holidays, a day off every week, and an annual leave of up to 30 days even during the first year of work. Article 17 grants 21 days paid Hajj pilgrimage leave to employees who have spent two consecutive years in service under the same employer and have never previously performed the Hajj pilgrimage. Employees are also granted leave on all the 13 days of public holidays. If workers are asked to work during these public holidays, a bonus of half-a-day’s salary must be given in addition to a full day’s pay.

On Compensations:

Based on Article 51 of the labor law, a worker will get complete end of service compensation at the end of the contract period. This payment is equivalent to 10 days pay for the first five years. It will then increase to 15 days pay from the sixth year. The employee is entitled to full indemnity if the contract is terminated by the employer, or the employment contract ends without being renewed. A female employee can get full indemnity if she terminates the contract from her side due to marriage within a year from her marriage date.
Based on Article 53 of the labor law, an employee who resigns from his work still deserves part of his compensation. Half month’s salary for every year of service is given as compensation for those who worked for more than three years but less than five years. Seventy-five percent of the monthly salary for every year is given to employees who worked for more than five years but less than 10 years of service. Lastly all employees who served for more than 10 years are entitled to get a full month’s salary as compensation for every year of service.

On Working Hours

With regards to working hours, the new labor law specifies that women are not allowed to work beyond 10:00 pm and before 7:00 am with an exception for those who worked in treatment homes or institutions. Women are also prohibited to work on hazardous jobs. The labor law also stipulates that employees are only allowed to work for 8 hours a day which includes a long break of up to one hour. Workers should work for six days per week and if they work on Friday, they are granted a day and half’s pay and a day off during the following week not including the following Friday.

On Leave:

Regarding employee leave benefits, a worker is entitled to a sick leave for 40 days. This includes full pay for the first 10 days, 75 percent pay for the next 10 days, 50 percent pay for the following 10 days and 25 percent pay for the last 10 days. If an employee has already consumed his 40 days sick leave, he or she is still entitled up to 30 days of unpaid sick leave.

On Women and Children

Under the new labor law, employment of a minor or an individual below 15 years of age is prohibited. The labor law also states that women who are pregnant are now allowed to take a paid leave. This paid leave can last until 70 days provided that they will give birth within that period. New mothers can also request for an unpaid leave of up to four months. The law prohibits employers from terminating female workers contracts during this period or if they are sick due to giving birth. When women go back to work after giving birth, the law states that she is granted 2 hours break from the normal working hours to nurse her baby. Employers who have 50 women or 200 men working in their establishments are required to set up a day care center for children below four years of age.

On Health Benefits

Accidents are very common in work places tht is why the new labor law includes some health benefits like granting full salaries for the whole recovering period of an employee who meet with accidents while working, on their way to work and from work provided that the period of recovery is certified by a physician. If the recovery period will take more than six months, the employer will have to pay only half of the salary until the employee recuperates from his injuries, dies or his/her handicap is confirmed.

On Termination

When it comes to termination of contract, the new labor law declares that a three month notice must be given with proper reason stated by the employer before breaking an employee’s contract. An employer is not allowed to terminate workers that are currently on leave. For employees, the law declares that also a three-month notice should be given before a worker resigns from his current position.

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