End-of-Service Gratuity in Kuwait: What Employees Should Know
How end-of-service gratuity works under Kuwait's Labor Law No. 6 of 2010: eligibility, calculation factors, and the documents you need before claiming.
Labor, Rent, Family & Property · By Fahad Alhaddad Law Firm · Published 2026-11-03 · Updated 2026-11-03
The end-of-service gratuity (often called indemnity) is one of the most important financial rights under Kuwait's Labor Law in the Private Sector (Law No. 6 of 2010). Because the amount depends on how the employment ended and how long it lasted, preparation and documentation make a real difference.
What the gratuity is
The gratuity is a statutory payment owed to the employee when the employment relationship ends, calculated by reference to the employee's wage and length of service. It is separate from any outstanding salary, leave balance, or other dues.
Factors that affect the amount
The main factors are the type of contract (fixed-term or unlimited), the total years of service, the last wage, and whether the relationship ended by resignation, termination, or expiry. Each scenario can produce a different entitlement, so avoid signing any final settlement before checking your position.
Documents to prepare
Before claiming, assemble: your signed contract and any renewals, salary records showing your last wage, your start and end dates, and any correspondence about the end of the relationship. These documents let a lawyer or the labor authority verify the calculation quickly.
Claiming the gratuity
If the employer does not pay, the usual path is a complaint to the competent labor authority for amicable settlement, followed by referral to the competent court if settlement fails. A clear written calculation attached to your file strengthens your position from the first session.
A note of caution
Online calculators and general guides cannot account for every contractual detail. This article is general information, not legal advice; have your specific calculation reviewed by a lawyer licensed in Kuwait before you rely on it.
Frequently asked questions
Is the gratuity the same as my final salary?
No. The gratuity is a separate statutory entitlement; outstanding salary and leave balances are claimed in addition to it.
Does resignation affect my gratuity?
Yes, the way the employment ends — resignation, termination, or contract expiry — can affect the entitlement, so check your scenario before resigning.
Related guides
Sources
This article is general information, not legal advice, and does not replace consultation with a lawyer licensed in Kuwait. The official Arabic legal texts prevail over any English explanation.