Pre-invasion and post-invasion Indemnities


I have been working with a company for 31 years - 11 years before invasion and 20 years after June 1992.
Now the company has terminated my services. My question is: Will I get my indemnity continuously for 18 years or 11 and 18 years?
My other question is: For the first 5 years will I get half the indemnity or full?

Name withheld
Answer:
If done correctly, you should get the pre-invasion and post-invasion indemnities separately because the Amir issued orders cancelling all contracts on Aug 2, 1990.
So, for the 11 years before the invasiion the calculation will be as follows:
1. First five years 15 days per year = 75 days ÷ 26 = 2.88 months salary.
2. Next six years one month’s salary for each year = 6 months salary.
Total = 8.88 months salary.
After the liberation, for the 21 years, it will be as follows:
1. First five years 15 days per year = 75 days ÷ 26 = 2.88 months salary.
2. Next 16 years is 1 month’s salary for each year = 16 months salary.
But you will get a maximum of 18 months salary for the post-invasion period because that’s the maximum allowed.
You must, however, remember that you must not allow the firm to say that you should get a maximum of 18 months salary for both the periods - each period must be calculated separately using the last salary of each period i.e. your salary on Aug 2, 1990 and your current salary for the second period.

 

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I am working with a private company since March 23, 2007 and I resigned from the company and my last working day will be Oct 15, 2012 and my company is saying that I will be eligible for two-thirds of the total indemnity as per Labor Law.
As per my contract terms (provided below), I am eligible for full indemnity as I have completed the first two-year contract period and it’s an open-ended contract. Kindly advice.
Period of Contract:
Two (2) years. Renewal at the end of two (2) years contract period and upon your satisfactory performance on the job.
Indemnity:
Fifteen (15) days salary for every completed year of service for the first five (5) years of service and thirty (30) days salary thereafter for every subsequent year. However, in the case of premature termination of the contract of employment by you, the rules as applicable as per the Kuwait Labor Laws shall be applied in computing your end of service benefits. Unless otherwise mentioned, for purposes of computing the end of service benefits, the interpretation of definition of the term ‘salary’ shall be as per Kuwait Labor Law. All other terms, wherever silent, the rules in force as per Kuwait Labor Law, shall apply.
Name withheld
Answer
: No, you are not entitled to the full indemnity. In your contract the calculation of the indemnity is mentioned and not how much you should get. It also refers to the end of service benefits according to the Labor Law, which clearly says that you should get two-thirds of the indemnity because your service is more than 5 years but less than 10 years.

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