End-of-service gratuity in Kuwait: how it is calculated and what resignation changes
How much are you owed when your private-sector job in Kuwait ends? This page explains Article 51 of Law No. 6 of 2010, the reductions on resignation in Article 53, and a worked example.
The rule: Article 51
- Monthly-paid workers: 15 days' wage per year for the first five years, then one month's wage per year, capped at 18 months' wage.
- Daily, weekly, hourly or piece-rate workers: 10 days per year for the first five years, then 15 days per year, capped at one year's wage.
- Part years count pro rata; debts owed to the employer may be deducted.
Resignation (Article 53)
- Under 3 years: nothing.
- 3 to under 5 years: one half.
- 5 to under 10 years: two thirds.
- 10 years or more: the full gratuity.
Termination by the employer, or leaving for a reason listed in Article 48, gives the full gratuity. Dismissal for serious misconduct under Article 41 forfeits it, subject to challenge before the labour court.
Worked example
Monthly wage KWD 520, 8 full years. A day's wage is commonly taken as the monthly wage divided by 26: KWD 20. First five years: 5 × 15 × 20 = 1,500. Next three: 3 × 520 = 1,560. Total KWD 3,060 (cap 9,360). On resignation after 8 years: two thirds, KWD 2,040.
Frequently asked questions
Do I get anything if I resign before 3 years?
No, unless you left for one of the reasons in Article 48.
What is the maximum?
18 months' wage for monthly-paid workers; one year's wage for others.
Does this apply to government employees?
No. Law 6/2010 covers the private sector only.
Related articles
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