Kuwait to restructure government salaries by 2019

Kuwait is reportedly preparing to restructure the salaries and incentives of all government sector workers by the start of next year.

Kuwait Times cited sources as confirming that a study into restructuring government payrolls under the supervision of the finance ministry was almost complete.

The resulting review will see wage schemes restructured by the beginning of 2019, according to the publication.

The sources said the study aimed to equalise incentives and salaries of government employees and would not lead to pay reductions.

Instead, some government workers will see their pay increase as the difference between high and a low earning employee with the same qualifications is reduced.

This could mean the allocation for payroll in the 2016-2017 budget of KD16.7bn ($50bn) is increased in the next fiscal year.

The company conducting the study, which was not named, is said to have particularly focussed on giving more incentives to employees working in out of office roles.

Kuwait is moving to reduce the number of foreign workers in public sector roles as part of a wider drive to limit the country’s foreign workforce.

Read: Kuwait eyes increased residence, work permit fees to reduce foreign population

At the same time the government is facing opposition to the introduction of new austerity measures as coffers are squeezed by lower oil prices.

In April 2016 workers at national oil and gas companies stopped work for three days in protest at proposed cuts to salaries and benefits.

Read: Kuwait lost up to $200m during oil strike