The Public Authority for Manpower has suspended a large number of files belonging to private sector employers and companies that delayed paying or depositing workers’ salaries, according to a report by Al-Jarida. The action implements directives from First Deputy Prime Minister and Minister of Interior Sheikh Fahad Al-Yousef to monitor compliance with a Cabinet decision on timely wage payments. Official sources at the authority described the initial phase as a precautionary step targeting those who had pledged adherence through PAM’s automated systems but fell short of obligations.
Article 57 of Private Sector Labour Law No. 6 of 2010 forms the legal foundation for the suspensions, the authority’s sources explained. The provision obliges any employer using five or more workers to transfer salaries into accounts at local financial institutions while submitting copies of transaction statements to the authority. PAM continues to apply the rule systematically, with the current wave serving as an initial corrective signal before escalation to full legal proceedings.
Workers employed by the affected companies face no direct disruption from the file suspensions, PAM sources stated. Affected employees retain the ability to renew their residencies and transfer sponsorship to other employers who maintain compliant records. The distinction protects individual rights while increasing pressure on businesses to resolve outstanding payments promptly.
Sheikh Fahad Al-Yousef had warned in October 2024 that authorities would deal firmly with all violators of the salary payment decision. “No one is above the law, and it will be applied to everyone equally,” the minister said at the time while pledging personal follow-up on company adherence to preserve Kuwait’s labor reputation. The latest suspensions mark a shift from repeated warnings into active enforcement across the private sector.
The authority maintains continuous monthly monitoring of salary transfers and bank deposits for expatriate workers through its electronic platforms, according to sources who spoke to Al-Jarida. Employers encountering valid reasons for shortfalls can submit explanations and supporting documents via PAM’s dedicated digital service for review and potential approval. Such mechanisms allow non-compliant firms to address deficiencies and regain access to suspended services once corrections occur.
PAM has signaled that additional phases of enforcement will follow to address remaining violators in the private sector, the sources added. The measures align with broader efforts to uphold Kuwait’s international labor commitments and safeguard worker protections in an economy that depends on a sizable expatriate workforce. Authorities reiterated that wage payments represent a non-negotiable obligation under the law.
