No More Free Job Changes for Foreign Workers in Kuwait

Kuwait has introduced a major change to its labor market regulations by imposing a flat KD150 fee on all work permit transfers, ending all previous exemptions. The new rule, effective June 2025, applies to every sector and employer.

What Is a Work Permit Transfer?

A work permit transfer allows a foreign worker to change employers within Kuwait without leaving the country. This process requires government approval and a new permit, enabling continued legal employment.

Previous Exemptions

Until now, several sectors were exempt from paying work permit transfer fees under Article 2 of the 2024 regulations. Exempted groups included government-owned companies, healthcare providers, educational institutions, approved foreign investors, sports clubs, charities, and certain licensed businesses. These exemptions helped key industries manage costs and address skill shortages by making it easier and cheaper to hire foreign workers.

What Has Changed?

With the repeal of Article 2, all work permit transfers in Kuwait now require a KD150 fee, regardless of the employer or sector. The new rule covers:

• Private and public sector organisations
• Healthcare and education providers
• Accredited investors and industrial operations
• Agricultural and small-scale enterprises
• Charitable and labour-related institutions

Additionally, the government has removed the requirement for a one-year impact study, allowing the new fee structure to take effect immediately.

Impact on Workers and Employers

The new policy is expected to have several effects:

• Increased costs: Employers must now pay KD150 for each work permit transfer, which could reduce the number of foreign workers hired or transferred.
• Loss of sector advantages: Sectors that previously benefited from exemptions, such as healthcare and education, may face higher staffing costs.
• Standardised process: The new rule creates a more transparent and predictable visa system, but may limit job mobility for foreign workers due to higher transfer expenses.