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Kuwait Labour Law

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Labour Law › Termination of Contract

Article 47: Limited Period Contract Termination

In force

In simple words

If either side ends a fixed-term contract early without a legal reason, it must compensate the other side. The compensation is limited to the worker’s salary for the remaining period of the contract.

Example

Fixed-term contract ended early

Situation

Lina has a 2-year contract at KD 500 a month. The employer ends it after 18 months without any legal reason.

What the law says

The employer must compensate her for the damage. The maximum is her salary for the remaining 6 months: up to KD 3,000, as decided by the court. She also gets her indemnity.

Names are made up for illustration.

Official text of Article 47
If the work contract is for a limited period and either party terminates it without having any right to do so, he shall then be obliged to compensate the other party for the damage incurred by him, provided that the compensation amount shall not exceed what is equal to the labourer's wage for the remaining period of the contract. While fixing the damage extent with regard to the two contracting parties, the prevailing customs, work nature, contract term, and generally all other considerations which may affect the damage in terms of its existence and extent. Any debts which may be due for the other party shall be deducted from the compensation amount.
Reference & sources

Kuwait Private Sector Labour Law No. 6 of 2010, Article 47 (Limited Period Contract Termination), Official Gazette Kuwait Al-Youm, Issue No. 963 (2010). Checked October 2026.

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General information, not legal advice. The Arabic text of the law is the official version (Article 29). For your case, contact the Public Authority for Manpower or a lawyer.