KUWAIT CITY, Nov 3: Kuwait is reportedly considering major amendments to its labor policies, particularly those affecting expatriate workers aged 60 and above with a high school diploma or less. This potential policy change has been a topic of discussion for months, with the Arab Times and Al-Seyassah reporting similar plans as early as July 2, 2024. The likely review of Decision No. 34/2022, issued by the Authority Public Workforce (PAM), comes three years after its implementation.

The current policy imposes a substantial financial burden of approximately KD1,000 per year for renewal or transfer of residency, which has led to an exodus of skilled workers and persistent challenges in the labor market. Labor market observers note that political leaders, particularly First Deputy Prime Minister and Minister of Defense and Interior Sheikh Fahad Yousef Saud Al-Sabah, are determined to revitalize the market.

Recent “corrective actions” include:

Decision No. 8/2024, allowing government contract workers to work in other sectors under specific conditions.

Removal of the university degree requirement for transfers from government to the private sector.

Experts have long warned of the negative economic consequences of the “60-year” decision, which failed to take into account the valuable experience of older workers. They emphasize the need for a broader, more holistic vision that serves both small and large economic entities.

As discussions continue, observers are urging officials to address these policies, either by radically reevaluating them or reversing them altogether. Potential reforms could have a significant impact on Kuwait’s economic landscape and its reliance on expatriate labor, addressing persistent challenges in sectors that have been particularly affected by current policies.