The private sector has two types of contracts: Contract for unlimited time and contract for limited time which cannot exceed five years. It is mandatory that all contracts have to be written in Arabic, but they can be translated if the employee does not speak Arabic.
The national minimum wage is KWD 75 (approx. USD 245) per month for private-sector workers (and KWD 60 for domestic workers), as regulated by the Public Authority for Manpower (PAM).
Average Wage
The average annual wage in Kuwait is about 17,020 KWD (approx. 55,500 USD yearly, or 4,625 monthly).
Social Contributions
Social Security Contributions Paid By Employers: 11.5% of salaries. For the foreign labor, there is no obligation of employer contribution.
Social Security Contributions Paid By Employees: 10.5% of the gross wage for Kuwaiti workers.
Social Partners
Employer Associations
KCCI - Kuwait Chamber of Commerce and Industry KIU - Kuwait Industries Union
Social Dialogue and Involvement of Social Partners
Creation of syndicates (unions) is limited. All syndicates (about 15) are regrouped under the Kuwaiti Federation of Syndicates. Foreign domestic workers, who represent one third of the active population, do not have the right to be affiliated to a syndicate.
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