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State allotments for citizens employed in private sector at KD 2.4 billion
March 29, 2015, 2:27 pm

The State of Kuwait spent approximately KD 2.480 billion (around US$ 8 billion), worth of social and children allowances, for citizens employed by the private sector between 2001 and end of last December, announced the top man in the national labor employment program. Secretary General of the Manpower and Government Restructuring Program (MGRP) Fauzi Al-Majdali, spoke at length in an interview about results of implementing Law 19/2000, saying up to 109,774 Kuwaiti male and female nationals benefited from these state allotments since launching the program till end of December, 2014.

These allocations for the citizens, working in the private sector, reached some KD 2.480 billion, Al-Majdali said, adding that number of those who received the social allowance, in 2014, reached 74,078, and overall funds disbursed for both allotments, the same year, amounted to KD 486 million. The USD is traded at KD 0.299). The Law 19/2000 had been issued with aim of encouraging citizens seek jobs in private companies and institutions to relieve the over-staffed public establishments and authorities.

According to Kuwait Central Statistical Bureau, number of the Kuwaitis and non-Kuwaitis serving in the government sector increased from 271,094 in 2009 to 337,171 in 2013, with a 24.4 percent rise.
The public sector's attraction of bulk of the work force was attributed to various reasons, such as the international financial crisis, ripples of which hit local companies that resorted to tight-belt policies and trimming number of employees. There are also other reasons such as the predominant view that this sector "is a safe haven."

The national labor program is also involved in cadres' training. It had trained up to 6,364 job-seekers between 2003 and end of December 2014. Trainees from the private sector, also during the same period of time, reached 21,963. Figure of students who underwent training reached 7,291, thus overall number of trainees reached 35,618, costing KD 6,652. Al-Majdali, in the interview, indicated that his department also disbursed financial support for job-seekers. Number of those citizens who received the benefits reached 31,848, and the allotments reached KD 22.1 million.

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