I have completed 18 years with my current employer and am signing a new contract. I want to know what will be my total indemnity based on my KD 500 basic salary.
Answer: The following is the calculation of your indemnity:
Salary: KD 500
Service: 18 years For the first five years 15 days for each year = 75 days but these days must first be divided by 26 (working days in a month) = 75 / 26 = 2.88 months salary For the rest of the service, one month’s pay for each year = 13 months pay
Total indemnity = 2.88 + 13 = 15.88 months pay = 15.88 x KD 500 = KD 7,940.