Kuwait Court of Cassation principle number 4061

The wage on the basis of which the retirement pension of insured persons working in the private and oil sectors is calculated. Its nature: the last basic wage received by the worker, plus the allowances, bonuses, commission, grants, or periodic gifts he ordinarily receives. What is excluded: overtime pay. This is not altered by the employer’s commitment towards his workers under a pension, bonus, or savings scheme whose calculation includes overtime pay, or by such pay having been included in the calculation of the retirement pension for some insured persons. The rationale thereof.