‘Reading’ delay on Indemnity & Annual leave over employer concerns

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KUWAIT CITY, April 11: Responding to queries of reporters about the proposal to amend the Private Sector Labor Law, MP Ahmed Al-Fadel explained the bill has several complications that require attention; hence, it was not pushed for the second reading. He affirmed the Assembly is keen on passing bills which promote the private sector without harming the employers.

He warned the current composition of the bill will harm the employers if it is not reviewed and edited carefully. He pointed out that the proposal to pay full indemnity of employees without deducting social security contributions includes stipulation on obligatory back pay policy.

This means the employers or companies with employees who retired three to five years ago will be forced to pay their former employees once the bill is approved.

On the 35 days annual leave, the lawmaker said that although the employees will largely benefit from the proposal; business owners will be reluctant in hiring citizens. He added that the financial support granted to citizens employed in the private sector has no standard scale as it is based on the credentials of employees; hence, they do not receive the same amount.

He believes that changing it into a system through which the amount is determined based on the years of service and positions, indicating this will ensure equality among the employees.

In another development, MP Osama Al-Shaheen submitted queries to Finance Minister Nayef Al-Hajraf on the development plan of the government for Kuwait Public Transportation Company (KPTC). He clarified that since KPTC is government-owned, the company enjoys financial support and privileges from the State.

Therefore, the MP wants to know if there is a plan to develop the company in terms of bus routes, technology, fleet and general work coverage.

By Ahmed Al-Naqeeb Arab Times Staff

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