Kuwait pays up to halt bourse employee strike

Staff reach deal with government over money owed, agree to suspend strike action
Kuwait pays up to halt bourse employee strike
The staff walkout was planned for Oct 19
By Reuters
Thu 13 Oct 2011 03:44 PM

Employees of the Kuwait Stock Exchange have scrapped a strike planned for this month after reaching agreement with the government over money owed, an employee representative said on Thursday.

The strike, which would have disrupted operations at the Gulf Arab region's third largest exchange, had been slated for October 19.

The dispute centered on the implementation of an article in the laws of the newly formed Capital Markets Authority (CMA), which calls for the transfer of bourse employees to the CMA.

The employees wanted the bourse to settle their dues from the date of employment to March 2010, the date of their CMA transfer.

Sami al-Mujel, the head of the financial analysis department and a representative of bourse employees, said an agreement had been reached.

"We congratulate the employees on the stock market committee's approval on settling the employee dues for their previous period of work [for the bourse] until March 30, 2010," he said in a statement to the employees.

The CMA was setup in March 2010 but its bylaws, which are not fully implemented yet, came into effect only in March 2011. Under those bylaws, bourse employees are automatically transferred to the CMA.

"We are currently working on the fast transition of our positions from the stock market to the CMA," Mujel said.

OPEC-member Kuwait has seen a wave of strikes by government employees after the cabinet approved last month higher wages for oil sector workers.

On Wednesday, about 3,000 Kuwait customs employees ended a two-day strike which had stranded oil shipments after being promised by the Gulf Arab state's government that their demands will be met.

For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.

Subscribe to our Newsletter

Subscribe to Arabian Business' newsletter to receive the latest breaking news and business stories in Dubai,the UAE and the GCC straight to your inbox.