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Hiring in Kuwait

Statutory employer contributions add 11.5% on top of gross salary, before any provider fee. Payroll runs monthly in KWD.

Asia/Kuwait | Arabic | Middle East

Last verified 24 Oct 2026Next review 21 Jan 2027Methodology
Cost calculator for Kuwait
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Overall score 8.1 out of 10
DeelVerified

130countries covered

  • Price 599 USD per employee per month

Deel says it owns entities in more than 130 countries, which puts it among the largest owned networks of any EOR provider. Its published EOR fee of USD 599 per employee per month is in line with the other large platforms, and contracts run month to month. It suits companies hiring both contractors and employees across several countries. Before signing, get the deposit amount and FX markup in writing, confirm that no offboarding fee applies, and check which of your countries run through a partner rather than a Deel entity.

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Overall score 8.2 out of 10
RemoteVerified

90countries covered

  • Price 699 USD per employee per month

Remote employs your staff through entities it owns in every country where it offers EOR, and its terms leave indemnities for EOR services uncapped, so it ranks well on compliance. The cost is a list fee of USD 699 per employee per month, and the margin in its monthly FX rate is not published. Standard terms can be cancelled on 30 days' notice, but an order form with a minimum contract value commits you for its full term and renews at a higher price. Shortlist it if owned entities in every country matter most to you, and get the FX margin and any order form terms in writing before you sign.

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Hiring here at a glance

Employer contributions
11.5%
Probation cap
3 months
Annual leave
30 days
Public holidays
13 days
Standard week
48 hours
Annual bonus
Not required
Termination difficulty
4 out of 5
Payroll
Monthly

Notice: a minimum of 3 months' advance written notice (or pay in lieu) for monthly-salaried employees on indefinite-term contracts, 1 month for non-monthly employees, and no notice during a probationary period (which is capped at 100 working days).

Statutory employer contributions

Statutory contributions in Kuwait
ContributionEmployerEmployeeStatus
Basic & Supplementary Pension (PIFSS)11.5%10.5%Mandatory
Total11.5%10.5%

Employment contracts

A written contract in Arabic is required in Kuwait, and the EOR issues it as the legal employer. Your company signs a separate service agreement.

The contract sets out role, salary in KWD, start date, working time, leave and notice, and a copy is lodged with the Public Authority for Manpower. The EOR is the counterparty to the employee, which is what removes the need for your own entity.

Arabic is mandatory and prevails in any dispute. An English translation alongside it is standard for commercial roles.

Fixed-term contracts must run for one to five years, and carrying on after expiry renews them on the same terms. Most EORs default to indefinite terms.

Probation

Probation in Kuwait is capped at 100 working days and must be written into the contract. Either side can end the contract during probation without notice.

Set probation from day one. It can only be used once with the same employer, and never beyond the 100-day cap.

If the employer ends the contract during probation, the end-of-service indemnity for the time worked is still due. The sum is small, but ask how the EOR passes it on before you agree a start date.

Working time and overtime

The legal maximum is 48 hours a week and 8 hours a day, dropping to 36 hours a week during Ramadan. Overtime is paid at 25% above the normal wage.

Overtime needs a written instruction and is capped at 2 hours a day, 3 days a week, 90 days and 180 hours a year. Work on the weekly rest day earns at least 50% extra plus a day off, and public holiday work is paid double plus a day off.

Since November 2025, working hours must be registered electronically on the Public Authority for Manpower's system, and gaps can get the employer's file suspended. Ask the EOR how it records hours for your team.

Leave and public holidays

Employees get at least 30 working days of paid annual leave, earned after six months in the first year, plus 13 paid public holidays. Sick, maternity and other leave sit on top.

Leave is counted in working days and public holidays inside it are not deducted, so a full entitlement keeps someone away for well over a calendar month. Plan cover around it.

Sick leave runs to 75 days a year on a sliding scale from full pay to unpaid. Maternity leave is 70 days on full pay, funded by the employer, and there is no statutory paternity leave, so confirm what the EOR offers on top.

Termination and severance

Termination difficulty here is 3 out of 5. Notice is three months for monthly-paid staff, and an end-of-service indemnity is due on most employer-led exits.

Either side may end an open-ended contract on notice or pay in lieu, and the employer cannot serve notice while the employee is on leave. The indemnity is set by statute: 15 days' pay for each of the first five years and a month's pay for each year after, capped at 18 months and calculated on full pay including allowances.

The EOR runs the process as the legal employer and will want the paperwork in order, including final pay, unused leave and the indemnity. Arbitrary dismissal claims add compensation on top of the indemnity, so keep a documented reason.

Statutory benefits

Social security through PIFSS is the main statutory cost and applies to Kuwaiti nationals only. Expatriates are excluded and rely on the end-of-service indemnity instead.

Private medical cover is standard for professional roles, and expatriate residence carries a government health insurance fee on top. Housing and transport allowances are common, and periodic allowances count towards the indemnity base.

EORs often bundle benefits through a group scheme. Ask what is included in the fee and what is billed on top.

Payroll and tax

Payroll runs monthly in KWD, paid into a local bank account. Kuwait has no personal income tax, so nothing is withheld at source.

Employer contributions add 11.5% on top of gross salary for Kuwaiti nationals, on pay up to KWD 2,750 a month. That is before the EOR fee. Expatriates carry no contributions, but the indemnity accrues at roughly 4 to 5% of salary a year for the first five years.

The indemnity is the trap. It is calculated on the last wage including allowances, PIFSS contributions cannot be offset against it, and it falls due as one lump sum. Accrue it monthly rather than meeting it at exit.

Work permits

Foreign hires need a work permit from the Public Authority for Manpower and an Article 18 residence permit, and the sponsoring entity must have quota available. Processing takes 4 to 8 weeks.

Ask whether the EOR sponsors directly or refers to a partner. A partner-model EOR often cannot sponsor at all, and Kuwaitisation quotas and permit fees apply to the sponsor, not to you.

Expatriate staff also need an employer-approved exit permit each time they leave the country, so check how quickly the EOR signs these off. Set start dates after approval, not before.

Data protection

Kuwait has no general data protection law. Employee data is covered mainly by the Electronic Transactions Law, so the EOR's role as controller for employment records and processor for your instructions has to be set by contract.

Get the data processing terms in the service agreement, not just the privacy notice. Local rules on cross-border transfers are light, but your home-country obligations, such as GDPR, still apply to what you send.

Ask where payroll data is hosted and who in the partner chain can see it.

When to open your own entity

The usual trigger in Kuwait is 10 to 20 employees, or a permanent commercial presence. Below that, an EOR is normally cheaper and faster.

Incorporation here is slow, often six months or more, and ownership is the sticking point: a standard company caps foreign ownership at 49%, and full ownership needs a KDIPA licence in an approved sector. Minimum capital, a commercial licence, a PAM file with Kuwaitisation targets and local accounting then set an annual floor.

Permanent establishment risk is about what people do, not where payroll sits. Revenue-generating activity can create exposure regardless of the employment route.

Editorial ranking

Best EOR providers in Kuwait

Best EOR providers in Kuwait

Ranked by our seven criteria, with the coverage score adjusted for whether the provider owns an entity here. Complete list of Best EOR providers in Kuwait

Verified provider
RemoteVerified

90countries covered

Unknown
  • Price 699 USD per employee per month
  • Billing flat fee per employee per month
  • Minimum term None reported
  • Deposit None reported
  • FX margin Not published

Remote employs your staff through entities it owns in every country where it offers EOR, and its terms leave indemnities for EOR services uncapped, so it ranks well on compliance. The cost is a list fee of USD 699 per employee per month, and the margin in its monthly FX rate is not published. Standard terms can be cancelled on 30 days' notice, but an order form with a minimum contract value commits you for its full term and renews at a higher price. Shortlist it if owned entities in every country matter most to you, and get the FX margin and any order form terms in writing before you sign.

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Verified provider
DeelVerified

130countries covered

Unknown
  • Price 599 USD per employee per month
  • Billing flat fee per employee per month
  • Minimum term None reported
  • Deposit Required
  • FX margin Not published

Deel says it owns entities in more than 130 countries, which puts it among the largest owned networks of any EOR provider. Its published EOR fee of USD 599 per employee per month is in line with the other large platforms, and contracts run month to month. It suits companies hiring both contractors and employees across several countries. Before signing, get the deposit amount and FX markup in writing, confirm that no offboarding fee applies, and check which of your countries run through a partner rather than a Deel entity.

Read profile
Verified provider
G-P (Globalization Partners)Verified

156countries covered

Unknown
  • Price 599 USD per employee per month
  • Billing flat platform fee per employee per month, invoiced monthly with payroll pre-funded in advance
  • Minimum term None reported
  • Deposit Required
  • FX margin Not published

G-P is one of the most compliance-focused EORs available, with over 100 of its own legal entities and a long record in heavily regulated countries. Its list price starts at USD 599 per employee per month, but independent reviewers report higher quotes, a one-off setup fee per hire, a deposit, an FX markup and an offboarding charge. Shortlist it if you’re a larger business that puts compliance ahead of cost, and get the full fee schedule in writing before you sign.

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Verified provider
OysterVerified

116countries covered

Unknown
  • Price 699 USD per employee per month
  • Billing flat fee per employee per month, billed monthly; discounted annual seat-based billing also available
  • Minimum term None reported
  • Deposit Required
  • FX margin Not published

Oyster suits companies that want HR experts, legal support and termination handling included in one EOR fee, along with integrations for the most common HRIS and ATS platforms. The trade-offs are a USD 699 monthly list price, a refundable deposit of about one month's employment cost per hire, and EOR coverage of 120+ countries rather than the 180+ headline. There are no onboarding or offboarding fees, and monthly billing carries no minimum term.

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Questions buyers ask about Kuwait

How much does it cost to employ someone in Kuwait through an EOR?
Budget the gross salary, plus 11.5% in PIFSS contributions for Kuwaiti nationals or an indemnity accrual for expatriates, plus the EOR fee. Published EOR fees sit in the 199 to 699 USD per employee per month band, or a percentage of payroll.
How long does it take to onboard an employee in Kuwait?
Typically 5 to 10 working days once the candidate has accepted, for Kuwaiti nationals and residents who can transfer their permit. New work permit cases take considerably longer.
Can an EOR terminate an employee in Kuwait?
Yes. Three months' notice or pay in lieu applies to monthly-paid staff and termination difficulty here is 3 out of 5, but the EOR will still want a documented reason to limit arbitrary dismissal exposure. The end-of-service indemnity is paid on top.
Does the EOR need its own entity in Kuwait?
Someone in the chain must hold a local entity with a PAM file, and only that entity can sponsor a work permit. Ask whether the provider owns it or uses a partner, in writing.

Popular roles hired here: Development, Finance, Operations, Marketing.

Verified EOR providers in Kuwait

Entity model by provider

Verified EOR providers in Kuwait
ProviderEntity model
RemoteUnknown
DeelUnknown
G-P (Globalization Partners)Unknown
OysterUnknown