Kuwaiti MPs reject draft law allowing private sector firms to cut salaries by up to 50%

  • Date: 09-Aug-2020
  • Source: Gulf Business
  • Sector:Economy
  • Country:Kuwait
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Kuwaiti MPs reject draft law allowing private sector firms to cut salaries by up to 50%

Kuwaiti lawmakers have rejected a draft law that would allow private sector companies to reduce the salaries of their employees by up to 50 per cent due to the Covid-19 pandemic.

The amendment to the labour law also permitted companies to ask employees to take unpaid leave.

However, MPs rejected the proposal, stating that it does not protect the Kuwaitis working in the private sector, local daily Kuwait Times reported.

The proposed law, expected to impact roughly 600,000 people, allows companies to cut salaries retrospectively, which violates the