The Kuwaiti government decided to raise the employment rate of Kuwaitis significantly in the private sector to reach 70 percent by the end of 2019, and to increase it to 85 percent by the end of 2020, in a move to accommodate the number of the unemployed.
Investors have warned of rising the financial burdens by paying higher salaries to the Kuwaitis and increasing their annual leave periods. The decision issued by the Council of Ministers revealed that the companies in various fields will be required to implement the decision as of next April, and grant them a period of reconciliation until the end of this year to reach the required ratio.
The employment rate of Kuwaitis previously approved by the government was 65 percent, while the official data indicate that the total number of Kuwaiti private sector employment is about 1.6 million people by the end of last year 2018.
Source: (Economic Bulletin website, Edited)
