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Leave salary payment

I am a regular reader of the Legal Clinic in the Arab Times but I have not been able to find an answer which tackles a question/ situation like mine. Suppose my employer pays my basic salary as “X” and “Y” as allowances. Now when I take my leave, will I be paid “X” + “Y” or “X” only?

Name withheld

Answer: We have answered questions on the subject a number of times and we have made our views very clear on this issue.

The Kuwait Labor Law talks of “remuneration” when it comes to payment of the annual leave… there is no mention of the basic salary. And when you look at the meaning of “remuneration” according to the Kuwait Labor Law it will be seen that it includes the basic salary plus all the allowances you receive at regular levels.

So, you have to be paid according to your total salary and not the basic salary. The only allowance, which the company can deduct from this calculation, is the travelling allowance. And even on the travelling allowance issue the legal experts are divided, although most of these experts support including all the allowances in the calculations for the annual leave payment because as we said earlier remuneration includes the basic pay and all the allowances paid to you.

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