Kuwait Court of Cassation principle number 4062

Salary in respect of insured persons in the private and oil sectors is the wage under the provisions of the Private Sector Labour Law. - The retirement pension prescribed for Kuwaiti workers in the private and oil sectors which the Social Insurance Institution is obliged to provide. Its meaning. Its calculation on the basis of the wage under the Labour Law. - The meaning of wage under the Private Sector Labour Law. Overtime pay falls outside the scope of the wage on the basis of which the retirement pension is calculated. This is not affected by the employer being bound to its workers by a pension, gratuity, or savings scheme that includes overtime pay. The reason therefor. - The better benefit is a self-standing right of the worker which must be paid upon termination of service and differs from the wage and is not considered one of its components, and therefore is not included in the wage on the basis of which the retirement pension is calculated.