23 July 2009
KUWAIT - Officials said sources from the Cabinet recently revealed that a committee assigned to solve the problem of laid-off Kuwaiti employees in the private sector has decided to enact an insurance program that protects workers.
The sources said that a proposal for the project is expected to be presented to the Cabinet next week. It will suggest a working budget for the insurance that will be made up of funds from the government, charities as well as citizens working in the private sector. The insurance will cover laid-off employees who have contributed to the fund.
The sources maintained that the Cabinet's contribution will be limited and the participation of private sector employees will be optional, because the insurance will only apply to those who have contributed to the fund. The sources added that most countries around the world adopt similar systems in order to protect laid-off citizens in the private sector.
Also, the sources added that contribution percentages will be determined based on individual salaries and years of experience, adding that the Cabinet will present the law to parliament soon, Al-Qabas reported.
Meanwhile, the sources said that the stated number of laid-off employees in the private sector was inaccurate, as some of them were students who were working at companies which belonged to their relatives in order to benefit from a social insurance program, while some were already retired and receiving their retirement pensions.
They also added that there was a problem in coordination between the social insurance system and Kuwait University in order to expose students who work in the private sector.
KUWAIT - Officials said sources from the Cabinet recently revealed that a committee assigned to solve the problem of laid-off Kuwaiti employees in the private sector has decided to enact an insurance program that protects workers.
The sources said that a proposal for the project is expected to be presented to the Cabinet next week. It will suggest a working budget for the insurance that will be made up of funds from the government, charities as well as citizens working in the private sector. The insurance will cover laid-off employees who have contributed to the fund.
The sources maintained that the Cabinet's contribution will be limited and the participation of private sector employees will be optional, because the insurance will only apply to those who have contributed to the fund. The sources added that most countries around the world adopt similar systems in order to protect laid-off citizens in the private sector.
Also, the sources added that contribution percentages will be determined based on individual salaries and years of experience, adding that the Cabinet will present the law to parliament soon, Al-Qabas reported.
Meanwhile, the sources said that the stated number of laid-off employees in the private sector was inaccurate, as some of them were students who were working at companies which belonged to their relatives in order to benefit from a social insurance program, while some were already retired and receiving their retirement pensions.
They also added that there was a problem in coordination between the social insurance system and Kuwait University in order to expose students who work in the private sector.
© Kuwait Times 2009
