Kuwait to nationalise 20% of employment in private sector

Kuwait’s Cabinet on Monday assigned the Kuwait Public Authority for Manpower (PAM) to update the work permit system for expatriate workers. The update stipulated raising the fees of expatriate workers’ work permit.

The Cabinet assigned the PAM to update the work permit system for expatriate workers, raise work permit fees, and review all fee strategies collected by the authority from its services with the intention of raising them.

This comes amid Kuwait’s efforts to address labor market imbalances in the private sector in parallel with raising the level of the state’s treasury tributaries of non-oil revenues.

The update also included the necessity of setting a plan to implement the increase on services’ fees provided by the PAM during the second and third quarters of 2022, including expatriate workers’ visas.

The Kuwaiti Cabinet stressed the need to develop a plan for the fees that will be modified and imposed on the private sector after the completion of raising its value.

The percentage of national employment in the private sector will start from 5% at the beginning of 2022, to reach 20% until the end of 2025. This decision aims to eliminate workers who do not provide value to the local economy, and to raise the efficiency of the national workforce in the private labor market.


Saudi Gazette

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