Staff end-of-service on closing in Kuwait
What do we owe expatriate staff when we close our Kuwait company?
The situation
Expatriate employees receive a terminal indemnity from the employer under Labour Law 6 of 2010, since they are outside social security.
The law
- Private Sector Labour Law No. 6 of 2010: end-of-service indemnity: Expatriate employees receive a terminal indemnity from the employer instead of social security
What it means for you
Compute indemnity per contract and service, plus final salary and leave. Fund it before closure, since it is a priority cost. Cancel work permits and residence links with the authorities.
What to do
- Compute indemnity per employee.
- Pay final dues.
- Cancel permits and residence links.
- Keep signed settlements.
Confirm the indemnity formula in the Labour Law.
We can do this for youLiquidation, tax clearance, retention release and deregistration: KWD 1,800