Kuwait Salary Complaints Surge: 10,000 Firms Suspended

Kuwait is facing a surge in Kuwait salary complaints following reports of widespread wage violations, prompting a massive crackdown by authorities to protect the rights of the workforce.
The Public Authority for Manpower (PAM) has revealed that hundreds of labor violations have been lodged through the government's unified Sahel digital application. According to recent data highlighted by the community group 'Indians in Kuwait,' a total of 389 reports were filed, with salary payment disputes accounting for approximately 10.3%—or 40 individual grievances—of those complaints.
Massive Crackdown on Unpaid Wages
In a major enforcement move, First Deputy Prime Minister and Minister of Interior Sheikh Fahd Al-Yousef announced that authorities have suspended the files of 10,000 private sector companies. These businesses were found to have failed in paying employee salaries for extended periods, ranging from one year to as long as 18 months.
PAM Director General Rabab Al-Osaimi confirmed that these suspensions, which began in September 2026, apply to all companies with five or more registered workers. The crackdown also carries consequences for local citizens; the suspension results in the freezing of employment support payments for Kuwaiti nationals working within those penalized firms.
Strict Compliance Rules for Employers
To ensure workers are compensated fairly and on time, PAM has mandated several strict protocols for all employers in the private sector:
- Deadlines: Salaries must be transferred through local Kuwaiti banks no later than the seventh day of the following month.
- Wage Matching: Payment amounts must strictly match the figures officially listed on the employee's work permit.
- Digital Monitoring: Businesses are required to integrate all salary transactions into the AS'HAL salary portal to facilitate real-time monitoring by the authorities.
- Salary Reductions: Any reduction in an employee's salary is prohibited unless the employer submits a formal, written justification to PAM.
The Sahel App: A Tool for Worker Protection
The Sahel application has become a primary channel for workers to report labor breaches confidentially, following the introduction of a dedicated 'Report' service in July and August 2026.
The digital system is designed to provide an extra layer of security for employees. It features automatic notifications that alert workers if a salary shortfall is detected, providing a direct and immediate avenue for them to contest illegal deductions. Through these robust digital mechanisms and administrative sanctions, PAM aims to address labor disputes and safeguard the rights of both the expatriate and private sector workforce.