Kuwait

• New Year’s Day
• The Prophet’s Ascension
• National Day
• Liberation Day
• Eid al-Fitr Holidays
• Eid Al-Adha Holidays
• Hijiri New Year
• Birthday of Prophet Muhammad

Working Hours

Employees can work up to eight hours a day, or 48 hours per week. During Ramadan, working hours are reduced to six hours per day.

Minimum Wage

The current minimum wage is KWD 75 per month. In general, Kuwait maintains a sector-specific approach and the range of salaries vary according to the job role of the employee and the industry they are working in.

Employee Tax

Tax rate	0%
Social security contribution	8%

Bonuses

There are no statutory bonus schemes in Kuwait.

Both indefinite and fixed-term contracts are permitted in Kuwait.

Salaries must be stated in Kuwaiti dinars (KWD) in employment contracts.

Regular employment contracts for Kuwaiti and Gulf Cooperation Council nationals must include the following:

• Job title and responsibilities
• Performance standards
• Salary and leave entitlement
• Contract length (if applicable)
• Termination conditions

Unlike Kuwaiti employees, non-Kuwaiti nationals must sign a government employment contract to obtain a work permit and residence visa.

Fixed-term contracts:

Where an employment contract is for a fixed period, it terminates automatically at the end of the period, but if both parties then continue to implement it, it is deemed to be renewed indefinitely under the same terms and conditions.

If the contract is terminated prematurely without justifiable cause, then aside from the end-of-service gratuity described below, the employee will also be entitled to compensation for the months remaining in their contract. The amount of compensation is not prescribed by the Labour Law but is usually set at three months to six months’ salary by Kuwaiti courts.

A fixed-term contract should not exceed 5 years in cumulative duration, and it should also not be less than 1 year.

Annual Leave

Employees are entitled to 30 days of paid annual leave, provided they have worked for six (6) months for the employer.

For employees who have not worked a full year, their leave is calculated in proportion to the actual time worked.

Hajj leave:

An employee who has worked for two (2) continuous years with the same employer is entitled to 21 paid leave days to perform Hajj, provided they had not performed hajj before.

Sick Leave

Employees are entitled to sick leave during the year as follows:

Sick period	Pay rate
First 15 days	Full pay
Next 10 days	3/4 (75%) pay
Next 10 days	1/2 (50%) pay
Next 10 days	1/4  (25%) pay
Next 30 days	Unpaid

Parental Leave

• Maternity leave: Female employees are entitled to at least 70 days' paid leave.

After the end of the maternity leave, the employee may upon her request take unpaid leave for not more than four (4) months to care for her child.

Upon resumption to work, the employee is entitled to two (2) hours nursing break per day.

• Paternity leave: none.

Termination Process

Employers in Kuwait can terminate a contract, provided they give notice in line with legal requirements.

Other grounds for termination include:

• Wrongful acts resulting in serious loss for the employer
• Repeated disobedience
• Disobedience concerning safety protocols
• Seven days’ absence without leave
• Immoral behaviour in the workplace
• Other misconduct

Employees can also terminate the contract by giving notice in line with legal requirements.

Severance Pay

Employees with at least five years of service are entitled to a lump sum payment called termination indemnity. This is equal to 15 days’ salary for each complete year of service up to five years, rising to 30 days per year thereafter. The total indemnity is limited to 1.5 year’s pay.

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