Sources have suggested the Kuwaiti bourse is set to change the limits for trading shares in one transaction whether it is buying or selling by removing the maximum limit of five million shares in one transaction. The aim is to improve the environment for investment companies. Under the amendments, there will not be a limit on the number of shares which can be bought or sold in one transaction as long as the number of traded shares does not exceed 5% of the company’s capital in the Bourse. The amount of shares bought by an investor must also not trigger the need to request an obligatory request offer for purchase under Kuwait Law No. 7/2010 as amended.
Kuwait’s Cabinet has approved the draft laws regarding the GCC unified selective excise tax and VAT. The drafts have been referred to the National Assembly for their consideration. The selective tax will be levied at 100% on tobacco and energy drinks and 50% on soft drinks. The draft bill includes a fine of up to 4000 Dinars for taxpayers who fail to comply with the tax rules. Those who report people who don’t comply will be rewarded. VAT will be introduced across the GCC on 1 January 2018 at 5%.
Kuwait: Employees will have the right to receive full end of service benefits, without employer deductions to the Public Institution
Kuwait’s National Assembly has approved amendments to the country’s 2010 Private Sector Labour Law (Kuwait Law No. 6/2010). Under the amendments, employees will have the right to receive full end of service benefits, without employer deductions to the Public Institution for Social Security being factored in. Employees will also be entitled to at least 30 days annual leave in their first year after serving at least six months excluding weekends, official holidays and sick leave.
Sources at Kuwait’s Public Authority of Manpower have announced employees who entered the country with an employment contract for the public sector then transferred to work with the private sector then went back to the public sector can transfer back to the private sector without the intervention of the Supreme Committee. The sources added the implementation of Administrative Decisions cannot be backdated. The transfer requests which are related to employees who have been moving in and out of the public sectors before the relevant Administrative Decision was issued should not be subject to the prohibition.
Kuwait’s Public Authority for Manpower has urged employers holding contracts with Government bodies to check the numbers of national workers registered with their companies. The aim is to ensure their status is compatible with the Decision determining the number of nationals employed at companies which have contracts with Government bodies. The information technology department has finalised the procedures for applying this Decision.