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News Kuwait > Business > Kuwait Manpower Authority Details Termination Notices and Severance Entitlements
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Kuwait Manpower Authority Details Termination Notices and Severance Entitlements

NewsDesk
Last updated: August 17, 2026 11:38 am
NewsDesk
2 days ago
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The Public Authority for Manpower released an advisory titled “Know Your Rights: End of Service & Notice Period” on August 17 to inform employers and employees of their respective obligations. According to the authority, employers seeking to terminate an indefinite-term contract must give three months’ notice to workers paid monthly and one month to all others as set out in Article 44 of the Labour Law. The advisory added that either party failing to respect the notice period owes compensation equivalent to its duration. Workers subject to termination may take one paid day off per week, or eight hours, during the notice period to seek alternative employment, PAM stated in the document.

PAM’s advisory underlined that end of service does not equate to the end of rights, with the Labour Law structured to promote fairness between the parties. The authority directed those with questions to contact PAM directly or seek guidance from qualified legal advisers for individual circumstances. A review of the Labour Law confirms these provisions apply to the private sector, where most expatriate employment occurs.

Article 51 of the Labour Law governs end-of-service benefits, entitling eligible workers to payments scaled to their length of service and pay structure, the advisory explained. For monthly-remunerated employees, the calculation provides 15 days’ wages for each of the first five years and one month’s wages for each year thereafter, subject to a cap of one and a half years’ remuneration, according to Labour Law documentation. Employees paid daily, weekly, hourly or by piecework receive 10 days’ remuneration for each of the first five years and 15 days thereafter, with total benefits not exceeding one full year’s pay.

Public Authority for Civil Information data places Kuwait’s expatriate workforce at approximately 2.8 million as of June 2026, the vast majority employed in the private sector. The same PACI figures show the total labour force excluding domestic workers stood at 2.418 million at that time, with non-Kuwaitis comprising 96.4 percent of private sector staff. PAM’s clarification therefore addresses procedures relevant to the bulk of the country’s employed population.

The advisory noted that workers may resign without notice if the employer fails to meet contract terms or legal requirements, or in instances of physical assault or provocation by the employer or representative, per the Labour Law. Mutual agreement between employer and employee can also modify or eliminate the standard notice obligation, the authority indicated. PAM reiterated that all parties should verify details through official government portals to ensure full compliance with current regulations.

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ByNewsDesk
News Kuwait NewsDesk is the desk responsible for News Kuwait's daily news coverage, monitoring and reporting developments across the Gulf from official sources, including national news agencies and government communications. Its focus is accurate, timely and factual coverage of the region.
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