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Manama: Kuwait has set a minimum wage of KD60 ($208) for workers in the private sector.
"No worker will be employed or brought to Kuwait to work in the private sector for a salary of less than KD60," Mohammad Al Afassi, the social affairs and labour minister, said. "The historic decision applies to all new government contracts, but does not affect the ones being implemented," the minister said.
However, the minister did not say whether the new rule would apply to around 700,000 domestic helpers working in Kuwait. The new private sector labour law passed in December by the parliament required the government to introduce a minimum wage for certain jobs, especially in the lower-paid categories
The introduction of the minimum wage is part of a drive by Al Afassi to reform the labour market and give the private sector more advantages that will make it attractive to Kuwaiti nationals traditionally keen on working in the public sector with generous benefits.
Kuwait, like all Gulf Cooperation Council countries, relies heavily on expatriate workers as they it windfall revenues from oil revenues to diversify its economy.
Expatriates make up two thirds of Kuwait's total population of 3.2 millions people.