Early Retirement Law Contains Negative Points And Legal Errors
Category: Kuwait
early-retirement-law-contains-negative-points-and-legal-errors_kuwait
Immigrate to Canada or Australia
Study In Abroad

Professor of Actuarial Sciences and Insurance at the Faculty of Administrative Sciences of the Kuwait University, Dr Mahmoud Behbehani, said “the early retirement law contains some positive points and a lot of negatives and legal errors,” reports Al-Rai daily.

He pointed out that “defining a particular social history and category in any law is a great constitutional violation that invalidates the law.” Speaking at the symposium on early retirement between the amendment and the approval at the Diwan of Dr Sulaiman Al-Khodari in Rumaithiya yesterday evening which was attended by a large crowd, Behbehani explained that “the law identified a specific category of between 6,000 and 7,000 Kuwaitis who can retire before the adoption of the law, and this is a constitutional violation.

The loan, which is included in the law, contradicts the rules of the Central Bank of Kuwait, since it is not permissible for a person to borrow and 50 percent of his income is deducted. There is almost no non-borrower in Kuwait and the resultant deduction of 40 percent income set by the Central Bank.” He cited a study he prepared in 2001 confirming that “83 percent of Kuwaitis have taken loans over the years.”

“The 5 percent rate that is deducted for those who retire before reaching the age is catastrophic for workers in the country,” he said. “In some cases, he may deduct more than 75 percent of his pension if he wishes to retire after 15 years of work.” He added that “the previous retirement law of 1976 was better and penalties for early retirement was the least and was the welfare of the citizen”.

Behbehani said that “the law in its current form, which came out of the National Assembly, shows from my point of view that the drafting of the law has been accelerated and its formulation is undisciplined and has not been revised.” For his part, organizer of the seminar, Dr Sulaiman Al-Khodari said that ‘the early retirement law in its current form needs a lot of amendments, especially with regard to the rate of deduction of salary for each year before retirement.”

 

SOURCE : ARABTIMES

21 Dec, 2018 497
Posted Comments
FEEDBACK
@ www.kuwaitlocal.com All Rights Reserved
@ www.kuwaitlocal.com All Rights Reserved