HR & Recruitment Glossary
Your comprehensive guide to HR, recruitment, and employment terminology in Kuwait. From Kuwaitization to work visas, understand the terms that matter.
Benefits
End of Service Benefits (EOSB)
Mandatory severance payment in Kuwait calculated based on years of service. Employees are entitled to 15 days' salary for each of the first 5 years, and 1 month's salary for each year thereafter. Also called gratuity or indemnity.
Compliance
Medical Fitness Test
Mandatory health screening required for all expatriate workers before obtaining a Kuwait work visa. Includes tests for infectious diseases (HIV, Hepatitis B/C, TB), drug screening, and general health assessment.
Employment Terms
Probation Period
A trial period at the beginning of employment (typically 3-6 months in Kuwait) during which either party can terminate the relationship with shorter notice. Used to assess employee performance and fit.
Non-Compete Agreement
A contract clause preventing an employee from working for competitors or starting a competing business for a specified period after leaving. Enforceability varies by jurisdiction; limited enforcement in Kuwait.
Employment Types
Temp-to-Perm
An employment arrangement where a worker starts as a temporary employee with the possibility of converting to a permanent position after a trial period. Allows both employer and employee to assess fit before committing.
HR Functions
Talent Acquisition
The strategic process of identifying, attracting, and hiring skilled individuals to meet organizational needs. Differs from recruitment by focusing on long-term human resources planning and building talent pipelines.
Onboarding
The process of integrating a new employee into an organization. Includes orientation, paperwork completion, training, and introducing company culture. Effective onboarding improves retention and time-to-productivity.
HR Metrics
Headcount
The total number of employees in an organization or department at a given time. Used for workforce planning, budgeting, and calculating per-employee metrics.
FTE (Full-Time Equivalent)
A unit that measures employed persons based on a full-time schedule. One FTE equals one full-time employee. Part-time workers are represented as fractions (e.g., 20 hours/week = 0.5 FTE).
HR Strategy
EVP (Employee Value Proposition)
The unique set of benefits and experiences an employee receives in return for their skills and performance. Includes compensation, benefits, career development, work environment, and company culture.
Succession Planning
The process of identifying and developing future leaders within an organization to fill key positions when they become vacant. Critical for business continuity and leadership development.
HR Technology
ATS (Applicant Tracking System)
Software used by HR departments to manage job applications and recruitment workflows. ATSs store candidate data, track application status, and often include resume parsing and screening features.
HRIS (Human Resource Information System)
Software that combines HR functions into one system, including payroll, benefits administration, attendance tracking, performance management, and employee self-service portals.
Kuwait Policy
Kuwaitization
Kuwait's nationalization policy requiring private sector companies to employ a certain percentage of Kuwaiti nationals. Quotas vary by industry, with sectors like banking and oil requiring up to 60-70% Kuwaiti employees. Also known as the 'replacement policy.'
Iqama
The civil ID and residency permit issued to all residents in Kuwait (both citizens and expatriates). Required for employment, opening bank accounts, renting property, and most official transactions. Must be renewed annually or biannually.
MGRP
Manpower and Government Restructuring Program - the Kuwaiti government authority responsible for Kuwaitization enforcement, employment regulations, and labor market development. Oversees private sector hiring quotas.
PACI
Public Authority for Civil Information - Kuwait's government body responsible for population statistics, civil IDs (Iqama), and demographic data. Publishes official workforce and employment statistics.
PAM
Public Authority for Manpower - Kuwait's labor ministry responsible for work permits, labor complaints, employment contracts, and enforcing Kuwait's Labor Law. Handles dispute resolution between employers and employees.
Kafala System
The sponsorship system historically used in Kuwait and other GCC countries where an expatriate worker's legal status is tied to their employer (sponsor/kafeel). Kuwait has reformed this system to allow more worker mobility.
Performance
KPI (Key Performance Indicator)
Measurable values that demonstrate how effectively an individual or organization is achieving objectives. HR KPIs include metrics like time-to-hire, employee turnover rate, and training ROI.
Recruitment
Executive Search
A specialized recruitment service for filling senior-level and C-suite positions. Also called headhunting. Executive search firms typically approach candidates directly rather than posting public job advertisements.
RPO (Recruitment Process Outsourcing)
When an employer transfers all or part of its recruitment processes to an external provider. The RPO provider acts as an extension of the company's HR department, managing sourcing, screening, and hiring.
Employer Branding
The process of promoting a company as the employer of choice to attract and retain talent. Includes company culture, values, benefits, and reputation in the job market.
Work Visas
Article 18 Visa (Visa 18)
The standard work visa in Kuwait issued to expatriates who are sponsored by a private company or organization. It allows the holder to work legally in Kuwait for the sponsoring employer. Valid for 1-2 years and renewable.
Article 22 Visa (Visa 22)
A dependent visa in Kuwait issued to family members (spouse, children) of an Article 18 visa holder. Dependents on Visa 22 can work part-time (typically up to 20 hours/week) with employer permission. Common for students seeking part-time employment.
Article 20 Visa (Visa 20)
A government sector work visa in Kuwait for expatriates employed by government ministries, institutions, or state-owned entities. Generally offers more benefits and job security compared to private sector visas.
Understanding Kuwait's Employment Landscape
Kuwait's labor market has unique characteristics including the Kuwaitization policy, specific visa categories, and regulations governed by the Public Authority for Manpower (PAM). Understanding these terms is essential for both employers and job seekers operating in Kuwait.
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