Kuwait labour law for HR: end of service, overtime and annual leave
End-of-service indemnity (Articles 51 to 53), overtime and rest-day work (Articles 66 to 68) and annual leave (Article 70) under Kuwait Labour Law No. 6 of 2010, checked against the official gazette text, with the calculators that estimate each.
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Under Kuwait Labour Law No. 6 of 2010, monthly-paid workers get 15 days’ wage for each of the first five years and a month for each year after, capped at 18 months’ wage; resignation reduces it under Article 53. Overtime is the wage plus 25%. Annual leave is at least 30 working days, due after six months.
Key takeaways
- Indemnity: monthly-paid 15 days a year for five years, then a month a year, capped at 18 months; daily or hourly paid 10 days then 15 days, capped at 12 months (Article 51).
- Resignation: nothing under three years, half to five, two thirds to ten, full from ten (Article 53).
- Overtime: wage plus 25%; rest day plus at least 50% and a substitute day; official holidays double pay and a substitute day.
- Leave: at least 30 working days, with weekends, holidays and sick days excluded, due after six months (Article 70).
This is general information to help you understand the topic. It is not legal advice. Rules and rates change: always check the official text on the relevant authority’s platform and consult a qualified adviser before acting.
Kuwait’s Private Sector Labour Law No. 6 of 2010 sets the rules below, as amended by Law No. 85 of 2017 and Law No. 17 of 2018. The figures were checked on 20 October 2026 against scans of the official gazette, Kuwait Al-Yawm, because the Public Authority for Manpower site could not be reached at the time. Check them on the authority’s site before relying on them. This is general information, not legal advice.
End-of-service indemnity (Articles 51 to 53)
Workers paid monthly receive 15 days’ wage for each of the first five years of service and one month’s wage for each year after, capped at one and a half years’ wage. Workers paid daily, weekly, hourly or by the piece receive 10 days’ wage for each of the first five years and 15 days for each year after, capped at one year’s wage. Part-years count pro rata, and the law sets no minimum service. The employer may deduct the worker’s debts, but not its own social insurance contributions.
On resignation from an open-ended contract (Article 53), the worker receives nothing under three years, half from three to under five years, two thirds from five to under ten years, and the full indemnity from ten years. The full indemnity is due when the employer ends the contract, when a fixed-term contract expires, and when a female worker resigns within a year of marriage (Article 52). Dismissal for the reasons in Article 41(a) is without indemnity.
Article 51 says “wage” without saying basic or total, and the law defines wage broadly. The Kuwait indemnity calculator asks for the last monthly wage and the way it is paid.
Overtime and rest days (Articles 66 to 68)
Overtime is paid at the wage plus 25%, and may not exceed two hours a day, 180 hours a year, three days a week or 90 days a year. Work on the weekly rest day earns at least 50% extra and a substitute rest day (Article 67). Work on an official holiday earns double pay and a substitute day (Article 68). The Kuwait overtime calculator applies these rates.
Annual leave (Article 70)
Annual leave is at least 30 working days on full pay, due for the first year after at least six months of service. Weekly rest days, official holidays and sick leave days do not count toward it, and part-years are pro rata. The Kuwait leave calculator shows the entitlement.
What to check
- Record how each worker is paid, because daily and hourly workers have a lower scale and cap.
- Do not deduct social insurance contributions from the indemnity.
- Count annual leave in working days, not calendar days.
Sources
Frequently asked questions
Can the employer deduct social insurance contributions from the indemnity?
No. Law No. 85 of 2017, made retroactive to 2010 by Law No. 17 of 2018, requires the full indemnity to be paid without deducting the employer’s social insurance contributions.
Is there a night overtime rate in Kuwait?
No. Article 66 sets one overtime rate of the wage plus 25%. Higher rates apply only to work on the weekly rest day (Article 67) and on official holidays (Article 68).
Is Kuwait annual leave 30 calendar days?
No. Since the 2017 amendment it is at least 30 working days: weekly rest days, official holidays and sick leave days do not count toward it.
This is general information to help you understand the topic. It is not legal advice. Rules and rates change: always check the official text on the relevant authority’s platform and consult a qualified adviser before acting.
