Breakthrough in provision of indemnities to ‘axed’ expats

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KUWAIT CITY, Aug 28: According to informed sources, there is an imminent breakthrough in the crisis related to disbursing end-of-service benefits to expatriate employees whose services in government agencies were terminated during the implementation of the five-year Kuwaitization plan, reports Al-Qabas daily. They explained that some authorities addressed the Ministry of Finance about allowing them to spend from the 2022-2023 budget for providing end-of-service benefits for expatriates whose services were terminated.

The lack of approval of disbursement from the budget has disrupted the disbursement so far. There are a number of former employees whose indemnities have not been paid for more than two years. There are signs now of a move to make available part of the amounts allocated in the item designated for end-of-service benefits in the budget of the parties that requested this, especially since the item was updated in the 2022/2023 budget.

The Kuwaitization plan requires disbursing dues to expatriates whose services have been terminated. The file of disbursing endof- service benefits to expatriate employees whose services have been terminated has witnessed a clear stumble in recent years, especially with the high rate of termination of non-Kuwaiti employees in government agencies, coinciding with the end of the period of the Civil Service Council’s decision to determine the rates of Kuwaitization in jobs.

The failure to pay out led to the transfer of end-of-service amounts from the Civil Service Commission’s budget to the budget of government agencies and ministries “each agency separately, which necessitated the creation of a new clause for rewards in the draft budget 2022/2023 in each government agency. This is what some parties relied on when addressing the Ministry of Finance to make the item available on the automated system so that it can disburse the rewards of its terminated employees”.

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