The new Kuwait Labor Law clearly states that every employee is entitled to 30 days leave and you have repeatedly said that salary should be calculated by dividing the monthly pay by 26 and multiplying it by 30. Our company, however, says this is wrong and gives us a straight one-month salary although we have heard that a lot of reputed firms are basing the payment on your calculations.

Who is right? Can you help us?

Name withheld

Answer: Your company is totally wrong and is violating the Kuwait Labor Law. Most of the companies are now complying with the law and calculating the leave salary and payments for overtime and indemnity as we have suggested.

In this connection, your company needs to have a look at Article 67 (2nd para) which clearly states that such calculations are done by dividing the renumeration by the actual working days without including the weekends.