Kuwaiti government may increase minimum wage for expatriates

The government of Kuwait is thinking of hiking the minimum wage for expatriates to KD 450, up from the current KD 250, for their family members to be eligible for dependent visas. This move is being pursued with an intention to rectify the demographic disparity in that country.

The present law allows a foreign national earning a minimum KD 250 per month to be eligible to apply to sponsor his wife and children for dependent visas. Increasing the minimum wage to KD 450 would exclude most expatriates working now in Kuwait.

As per statistics released by the LMIS (Labor Market Information System), affiliated to CSB (Central Statistical Bureau) earlier in 2016, expatriates in the private sector, on an average, earn KD 251 per month. Around 94 percent of expatriate workers earn less than KD 600 per month. Meanwhile, 95 percent of private sector employees are foreigners, with around 75 percent being expatriate workers. This number does not take into account domestic helpers, who comprise 17 percent of expatriate workers.

The study also urges increasing the fines paid by expatriates who are absconding, from KD 2 to per day to KD 4, with the maximum amount to be raised to KD 1,000 from the present figure of KD 600.

A suggestion is also being mooted to increase visa fees payable to immigration authorities and to rein in the ratio of an expatriate to a Kuwaiti to 1:5.

Prepared by the SPCD (Supreme Council for Planning and Development), a report summing up the results of the study is due for discussion at a Cabinet session.

It is believed that Kuwait has been taking these measures in the past few months to cut down its expatriate population numbering close to three million, which accounts for 70 percent of the country’s total population. Moves are also afoot to hike electricity and water fares for expatriate consumers.

All these measures apart, Kuwait would always be welcoming highly skilled workers from India, especially in the IT sector. For further assistance, check out Y-Axis offices spread across India to know how to apply successfully for a work visa to Kuwait.

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