Kuwait has implemented stringent new labor regulations, preventing non-compliant companies from applying for new work permits until they rectify existing violations. The new rules also restrict several business activities for these companies until their issues are resolved, significantly affecting their operations.
Kuwait has enforced new restrictions on work permit applications, stipulating that non-compliant companies are barred from registering new files until they rectify existing violations. The Public Authority for Manpower (PAM) announced these changes following a ministerial resolution issued by Sheikh Fahad Yousef Saud Al Sabah, which modifies current labor regulations.
The updated regulation introduces a new clause (Clause No. 3) to Article No. 47 that specifically prohibits companies with unresolved violations from submitting applications for new work permits. Under these revised rules, firms with pending legal statuses cannot process new files for their management or authorized representatives until violations are addressed, as stated by PAM spokesman Mohammad Al Muzaini.
Specific cases that may lead to file suspensions include companies that hold inactive business licenses linked to their work permits, those with licenses tied to blocked files, and firms that do not have a registered business address. Furthermore, companies with outstanding violations will face additional restrictions regarding key business activities.
These restrictions prevent affected businesses from acquiring new licenses, altering existing license details, hiring new employees, or submitting labor demand estimates, impacting their operational capabilities.
Kuwait’s recent amendments to labor regulations impose strict restrictions on companies failing to comply with work permit rules. These companies cannot register new files or conduct several key business activities until they resolve outstanding compliance issues. These measures aim to enhance labor compliance and ensure companies meet their legal obligations.
Original Source: gulfnews.com
