Law no. 74/2020 regulates the demographic composition of Kuwait

Law no. 74/2020 regulates the demographic composition of Kuwait:

Reference to the intent of the Kuwaiti government to resettle Kuwaitis in the public and the private sectors and based on what the Corona pandemic situation revealed recently of the poor living conditions of the foreign workers, the reasons that necessitated the need for a legislation to control employment rates by setting a higher ceiling and to regulate the presence of expatriate workers in the country in a manner that does not affect the economic, social and service needs of the country.

Kuwaiti parliament approved the law No. 74 of 2020 regarding regulating the composition of Kuwaiti population which was published in Kuwait Gazette and became effective starting from its publicity on Nov 29th, 2020.

The aforementioned law gave the Council of Ministers a year from its publicity to issue an executive bylaw, based on the presentation of the concerned minster,that addresses the mechanism of the solutions regarding the imbalance in the demographic composition taking into account mechanisms that indicate controls to set a higher ceiling for expatriate workers. The Council of Ministers shall issue annual executive decisions to implement the aforementioned bylaw and shall provide Kuwaiti National Assembly with annual reports in this regard.

The executive bylaw shall consider the following upon its issuance:

  • The Number of expatriate workers at the date of the issuance of the executive bylaw.
  • The National Comprehensive Development Plan and its respective timely programs, its needs of expatriate workers and the programs governing the professional qualifications contained in this plan.
  • The policies and plans concerning the replacement of expatriate workers by national workers.
  • Educational outcomes and the programs of the General Authority for Applied Education and Training.
  • The extent to which the country’s health system and its means of prevention and treatment of diseases and epidemics are capable of absorbing new entrants.
  • Identifying excluded groups in accordance with the development plan and labor market policies.
  • Setting policies that prohibits the transfer of expatriate workers between different sectors.

The above law stipulated that the applicable decisions and regulations before the issuance of this law shall stay in force until the executive bylaw is issued in this regard.

International Department Team Dr. Bader S. Al-Otaibi

Law Firm & Intl. Arbitration

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