Over-60 Expats Eagerly Await New Fee Regulations In Kuwait

The issue of high fees for renewing the work permit of the so-called non-graduate workers over the age of sixty has been the source of widespread controversy. Government agencies have imposed these fees, leading to concerns about their impact on the labor market and the investment climate.

According to sources, the decision is expected to be reconsidered for the benefit of these workers. Continuing to impose these fees deprives the labor market of real expertise and competent people, sending a negative message to potential investors and leading to a decline in investments, say sources.

The 250 dinars this category of workers has to pay to renew the work permit, in addition to obtaining a health insurance policy from a private hospital or insurance company, are part of policies aimed at reducing the large foreign workforce and promoting citizen employment in various sectors.

Following the implementation of this decision informed sources told the daily that there is an expectation that the decision may be reviewed to offer some ‘relief’ to this category of workers, especially considering the upcoming projects and the potential for attracting capital and investors.

Many workers over sixty are highly experienced and competent in their respective fields. Continuing to impose these fees risks losing this valuable expertise, which negatively affects the quality of work in vital sectors. The high fees also increase operating costs for companies, especially SMEs (small and medium enterprises), potentially leading to reduced employment or even company closures. This, in turn, negatively impacts the overall economy and increases the prices of services or salaries for these workers.

One of the key factors attracting foreign investments is encouraging the business environment. To address this, there may be a need to increase exceptions for some vital sectors that rely heavily on foreign expertise.

This would help maintain the quality of services provided in these areas. Dual policies can be adopted to stimulate the employment of Kuwaitis while attracting necessary foreign talent. Such policies could include training and qualification programs for citizens and creating a stimulating work environment for all, say sources.

The issue of over 60 workers requires a careful balance between improving the labor market and protecting the economy from negative influences. By reconsidering policies and adopting measures that support investments, Kuwait can ensure a balanced and attractive work environment for talent and investors, enhancing its economic stability and growth.

Fahd Al-Arbash, head of the Restaurant Owners Union, emphasized that excluding workers over sixty from the labor market, despite their vast experience, negatively affects productivity and the economy. He said the developed countries do not impose strict age restrictions but regulate working age by the constitution and law. Experience and creativity are crucial for professional workers who continue to innovate past sixty.

Al-Arbash highlighted that the departure of workers without the employer’s permission causes irreparable damage and exposes the employer to risks. Al-Arbash called for amending the law to better regulate employment in the private sector, similar to the government sector. He noted that human resources managers have sensitive powers, such as accessing electronic systems and approving transfers, which, if misused, could lead to legal accountability.

Therefore, these powers must be clearly defined and responsibly managed. Al-Arbash urged the amendment of Articles (44 and 64) of the Labor Law in the Private Sector. He proposed that Article (44) should allow for the termination of an indefinite-term employment contract for a legitimate reason with written notice to the other party 30 days before terminating the contract, with a one-week notice for other workers.

By Fares Al-Abdan

Al-Seyassah/Arab Times Staff

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