Kuwait Moves To Protect Expat Workers' Rights With New Enforcement

Under the directives of First Deputy Prime Minister and Minister of Interior Sheikh Fahad Yousef Saud Al-Sabah, the Public Authority for Manpower (PAM) has taken decisive action to uphold the Cabinet’s mandate on timely salary payments. Several companies and private businesses have had their files suspended due to failure in regularly depositing workers’ salaries into local bank accounts.

Protecting Workers’ Rights Through Enforcement

The authority clarified that while these suspensions serve as a stern warning, they do not affect the workers' ability to renew their files or transfer to another compliant employer. This move aligns with Article 57 of Law No. 6/2010, which mandates that companies employing five or more workers must transfer wages to local financial institutions and submit bank statements to PAM.

The first wave of file suspensions focused on businesses that failed to comply with salary deposit regulations through PAM’s automated monitoring systems. This step is both preventive and corrective, prompting employers to meet their legal obligations without delay.

Emphasis on Human Rights and Legal Action

The PAM emphasized that the reputation of Kuwait in the global human rights space, especially concerning expatriate labor rights, must be protected. As such, companies that continue to neglect wage obligations will face immediate legal repercussions.

A senior PAM source reiterated that this enforcement is not just administrative but stems from a firm commitment to safeguard workers. The minister has issued clear instructions to take strict measures against those compromising wage rights.

How Suspensions Affect Employers and Workers

Suspended files will not hinder existing workers from renewing their residency or transferring sponsorship. This ensures that workers are not penalized for the employer’s non-compliance and that they remain within the legal framework of Kuwait’s residency laws.

However, affected companies will face limitations, including:

• Prohibition on adding new workers
• Inability to process manpower needs assessments

Employers are required to resolve violations by:

• Ensuring full salary transfers
• Submitting justifications for any delays through PAM’s “Ashal” system

Minister's Warning and Future Action

In October 2024, Minister Sheikh Fahad Al-Yousef had already warned all employers of strict action against salary violations. This recent implementation demonstrates that PAM is moving from warnings to enforcement to ensure private sector compliance.

Conclusion

By suspending non-compliant companies, PAM underscores Kuwait's firm stance on labor law enforcement and protecting the rights of workers, especially expatriates. These efforts are part of a broader commitment to improving workplace fairness, legal compliance, and human dignity.

Once compliance is achieved, the suspension will be automatically lifted, restoring the company’s legal status without requiring further intervention.