Labor force participation rate in Kuwait reached 72 percent – Labor Force Survey 2014: Main Findings – Part I

Labor force Participation Rate by Sex

Labor force Participation Rate by Sex

KUWAIT: The Central Statistical Bureau’s Labor Market Information System released its most recent report, the Labor Force Survey 2014: Main Findings (October – December, 2014), just before the Eid Al-Fitr holiday, which provides details, analysis and other statistical information concerning Kuwait’s labor market. The main findings include the fact that the labor force participation rate in Kuwait has reached 72 percent, and that the highest participation rate of the labor force in 2014 was recorded for the age group 25-34, reaching 86.7 percent. The results also indicate that the unemployment rate in Kuwait reached 2.9 percent in 2014, compared with 2.5 percent in 2008 and with 1.8 percent in 2003. They also show that in 2014, 20.1 percent of the workers in Kuwait are working in the government sector and 4.4 percent of them work in state-owned enterprises, compared to 59.6 percent who work in the private sector and 15.7 percent work in the household sector.

Introduction
The accuracy and reliability of labor market information is crucial for meaningful labor market analysis and research, and for labor market policy development. The 2014 Kuwait Labor Force Survey (KLFS) collected information on households about their labor market activity. It provides estimates of employment and unemployment which are among the most timely and important measures of performance of the economy. KLFS data are used to produce other standard labor market indicators such as the participation rate, youth unemployment, inactivity, status in employment, etc. The KLFS also provides employment estimates by industry, occupation, public and private sector, hours worked and much more, all cross-classifiable by a variety of demographic characteristics.

Goals of the Kuwait Labor Force Survey 2014
This survey aims to identify the following:

(A) Labor force participation indicators.

(B) Economically active population indicators.

(C) Employed population indicators.

(D) Unemployment rates.

(E) Non-economically active population indicators

Coverage
The labor force survey 2014 covered all Kuwaiti and non-Kuwaitis individuals, aged 15 years and over, living in private households, as well as members of collective households, whether in apartments or houses and gatherings workers belonging to companies. The following were excluded from this survey: residents of hotels, individuals living with private households temporarily for less than six months (visitors), non-Kuwaiti individuals who reside permanently with the family and found outside the country during the interviewer visit to his presence, even for less than six months, while the survey covered Kuwaiti individuals who, during the interviewer visit, found out of the country for a period of less than six months.

Concepts and Definitions
The concepts and definitions used in the KLFS are based on standard international definitions. The data as collected in the questionnaire can be used and combined to calculate the standard indicators of the labor force.

A. Economically active (inside the labor force): Economically active is defined as respondents aged 15 and older who were either employed or unemployed.

B. Economically inactive (outside the labor force): Economically inactive is defined as respondents aged 15 and older who were not employed and not unemployed.

C. Employment: Employment is defined as respondents aged 15 and older who: (i) worked for a company, the government or someone outside of the household during the last seven days; or (ii) worked for their own business or for a business belonging to their household in the last seven days; or (iii) did not work in the last seven days, but who were absent from their usual work.

D. Unemployment: Unemployment is defined as respondents aged 15 and older who: (i) did not work for a company, the government or someone outside of the household during the last seven days; and (ii) did not work for their own business or to a business belonging to their household in the last seven days; and (iii) did not work in the last seven days, and were not absent from their usual work; and (iv) were looking for a job during the last four weeks; and (v) who were available to start work if a job offer was received within two weeks of the KLFS interview.

E. Private Households: Private households include both Kuwaiti and non-Kuwaiti households. These households generally include individuals who are related and who share meals together.

F. Collective Households: Collective households are defined as households with 6 or more individuals, who are not related, living in the same dwelling but don’t have financial arrangements of their expenses. All residents in collective households are non-Kuwaiti. In some cases, these households were groups of friends or coworkers who lived together for convenience. In other cases these households included hundreds of individuals who work for large oil companies.

Main Findings
Labor force participation rate Survey results showed that the labor force participation rate in Kuwait has reached 72 percent. The results showed that the percentage of male participation in the labor force to the total male within the working age has reached 85 percent, as the proportion of female participation in the labor force stood at 54 percent. (See Figure 1). On the other hand, the results indicated that the highest participation rate of the labor force in 2014 recorded for the age group 25-34, reaching 86.7 percent with 97.9 percent for males and 71.8 percent for females, followed by the age group 35-44, which amounted to 84.8 percent with 98.4 percent for males and 65 percent for females. On the other hand, the percentage of the labor force participation for the age group 15-24 years is found to be 35 percent with 41.4 percent for males and 28.5 percent for females. As for the labor force participation rate according to nationality in 2014, the results show that the labor force participation of Kuwaiti ratio stood at 45.7 percent of all individuals 15 years and over with 54.2 percent for males compared with 37.6 percent for females, while the labor force participation rate of non-Kuwaitis reached 81.1 percent with 94.2 percent for males compared with 61.3 percent for females.

While the participation rate among male Kuwaitis were almost constant during the time period 2003 to 2014, that the participation rate among female Kuwaiti women have risen relatively large during this period .

Unemployment
The unemployment rate in Kuwait reached 2.9 percent in 2014, compared with 2.5 percent in 2008 and with 1.8 percent in 2003, where the unemployment rate among males reached 1.9 percent in 2014, compared with 2.8 percent in 2008, while for females stood at 4.9 percent in 2014, compared with 2.0 percent in 2008. On the other hand, the unemployment rate among Kuwaitis reached 5.0 percent in 2014 with 4.0 percent among males and 6.4 percent among females, in contrast, the unemployment rate among non-Kuwaitis reached 2.4 percent in 2014 with 1.5 percent among males and 4.5 percent among females. It is noticed that while the unemployment rate among male Kuwaitis were almost constant during the time period 2003 to 2014, the unemployment rate among Kuwaiti women have increased significantly during this period (see Figure 5). With regard to career orientation of the unemployed Kuwaitis, the results indicated that about 44 percent of the unemployed Kuwaitis do not accept jobs in the private sector if offered for them and that 50 percent of them accept the opportunity to work regardless of whether they are in the private sector or the government sector.

Employed Population
The survey results showed that in 2014, 20.1 percent of the workers in Kuwait are working in the government sector and 4.4 percent of them work in state-owned enterprises in exchange for 59.6 percent work in the private sector and 15.7 percent work in the household sector. (See Figure 7). Kuwaitis orientation differs from the non-Kuwaiti one in the choice of sector to work in it, while the majority of Kuwaitis (84.1 percent) are working in the government sector and that a small percentage of them (9.8 percent) work in the private sector, we find that the majority of non-Kuwaitis (69.4 percent) working in the private sector followed by 18.7 percent work in the household sector and the a small percentage of them (7.5 percent) are working in the government sector. (See Figure 8). The results also indicate that there is a significant difference between the employed Kuwaitis and employed non-Kuwaitis in terms of educational level, while we find that the majority of employed Kuwaitis are of degree and above (43.3 percent), the educational level of the majority of the employed non-Kuwaitis is low, 35.6 percent of them the level of “primary and below “, and 32.3 percent of them are middle school graduates.

Individuals outside the labor force
The results indicated that the percentage of persons 15 years and over outside the labor force of the total number of persons 15 years and over in 2014 in Kuwait amounted to 28.3 percent, with 14.8 percent for males and 46.2 percent among females. The percentage for the Kuwaiti population is found to be 54.3 percent, with 45.8 percent for males and 62.4 percent among females. In contrast, and for non- Kuwaiti population, the percentage is found to be 18.9 percent, with 5.8 percent for males and 38.7 percent among females. On the other hand, results showed that 65.0 percent of individuals within the 15-24 age group are found outside the labor force compared to 13.3 percent for individuals 25-34 years old and 15.2 percent of individuals 35-44 years old and 26.1 percent of individuals in the age group 45-54 years and 57 0.1 percent for individuals aged 55 years and over. On the other hand, the survey results reported that individuals outside the labor force are distributed according to the reason for staying out of the labor force as follows: 14.5 percent due to old age or retirement, 40.2 percent are house wives, 39.9 percent because of the study, and about 5.4 percent for other reasons. Finally, we note that, for the Kuwaiti population, the proportion of people 15 years and over outside the labor force of the total number of persons 15 years and over decreases with increasing level of education.

To be continued
(Read Part II in tomorrow’s issue)

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Amir visits Army, Police, National Guard during Eid

amirKUWAIT: His Highness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah visited the Ministry of Defense, Ministry of Interior and the Kuwait National Guard during Eid Al-Fitr holiday. His Highness the Amir had earlier performed the Eid prayer at the Grand Mosque. His Highness the Crown Prince Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah and His Highness the Prime Minister Sheikh Jaber Al-Mubarak Al-Hamad Al-Sabah accompanied him during the visits. Senior ruling family members and top state officials were present during the visits and reception ceremonies.

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30,000 govt workers on post Eid sick leaves

KUWAIT: Around 30,000 government employees applied to get sick leaves on the three post- Eid working days (Tuesday, Wednesday and Thursday), claiming to have appointments with doctors at private and public hospitals, informed sources at the Civil Services Commission (CSC) said.

CSC undersecretaries requested checking all those sick leaves with the Health Ministry (MOH) as well as the names of doctors authorizing them and the medical history of the concerned employees and how often they got sick leaves, the sources added. In case of any manipulation in any of the sick leaves, any private hospital granting such leaves would be referred to MOH investigation, the sources said. CSC laws regulate sick and urgent leaves within certain conditions.

“However, the increasing number of those leaves before and after official vacations calls for a stand,” the sources asserted. In a related concern, security sources said that around 18,000 passengers had left Kuwait over the past few hours through the three land border exits; Nuwaiseeb, Abdali and Salmi. —Al-Anbaa

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Kuwaiti officials accused of collecting bribes

KUWAIT: The FBI will hear the testimony of two former executives in the Lewis Burger International Construction Management Company, located in New Jersey, for their involvement in bribes of Kuwaiti officials to win government contracts. The hearing will be held November 15, 2015, Al-Qabas daily reported yesterday.

The charges are filed against Richard Hersh (61), who lives in the Philippines and, James McLang who resides in Dubai. They are accused of conspiracy to violate the Foreign Corrupt Practice Act (FCPA).

Based on the confessions mentioned in the litigation agreement and details given in the accusations documents from 1998 until 2010, the company and its employees gave $3.9 million in bribes to foreign officials in several countries including Kuwait, India and Indonesia, in order to win government contracts. The company agreed to pay a fine of $17.1 million to settle the case. —Al-Qabas

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Amir receives Eid congratulations from top officials

amirKUWAIT: His Highness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah received congratulations yesterday on the advent of Eid Al-Fitr from His Highness the Crown Prince Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah, Speaker of National Assembly Marzouq Ali Al- Ghanim, Chairman of National Guard Sheikh Salem Al-Ali Al-Sabah, Deputy Chairman of National Guard Sheikh Mishaal Al-Ahmad Al-Jaber Al-Sabah, His Highness Sheikh Nasser Al-Mohammad Al-Ahmad Al-Sabah and His Highness the Prime Minister Sheikh Jaber Al-Mubarak Al-Hamad Al-Sabah. They expressed their loyalty to the dear homeland and the Kuwaiti people, whishing HH the Amir good health and Kuwait further progress and prosperity. HH the Amir, meanwhile, sent congratulations to them on the same occasion, expressing his gratitude for their good sentiments.

Crown Prince receives greetings
Meanwhile, His Highness the Crown Prince Sheikh Nawaf Al-Ahmad Al-Jaber Al-Sabah received a phone call Wednesday from Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces Sheikh Mohammed Bin Zayed Al-Nahyan. During the conversation, Sheikh Mohammed expressed his congratulations and blessings on the advent of Eid Al-Fitr, praying to Allah Almighty to bless His Highness the Crown Prince with everlasting health and wellness, the Kuwaiti people with lasting development, prosperity and progress under the wise leadership of His Highness the Amir Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, and Arab and Islamic nations with blessings and further progress. In return, His Highness the Crown Prince thanked Sheikh Mohammed’s friendly and true sentiments, wishing the leadership, government and people of UAE further progress and prosperity under the wise leadership of President Sheikh Khalifa Bin Zayed Al-Nahyan. — KUNA

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Al-Ghanim had significant role in supporting Iraq

Kuwait’s National Assembly Speaker Marzouq Al-Ghanim and Crown Prince Sheikh Nawaf Al-Ahmad Al- Jaber Al-Sabah. — KUNA

Kuwait’s National Assembly Speaker Marzouq Al-Ghanim and Crown Prince Sheikh Nawaf Al-Ahmad Al- Jaber Al-Sabah. — KUNA

KUWAIT: Iraq’s Parliament Speaker Salim Al-Jabouri said that Kuwait’s National Assembly Speaker Marzouq Al-Ghanim had a significant role in the decision to make Iraq the venue to host the Islamic Parliaments conference in 2016. Al-Ghanim has also provided support for Iraq to host the parliamentary event next year, Al-Jabouri said an interview with the Kuwaiti-based Al- Majlis TV channel Wednesday on the sidelines of his current visit to the country. Iraq sought to host the parliamentary conference out of its desire to be part of the Arab and Islamic system, Al-Jabouri said, asserting his country’s need for friends’ assistance in this regard, notably Kuwait due to its closeness and interaction with events in Iraq. He also said that his country has been isolated from its Arab surrounding for a period of time, adding that hosting such events is necessary in order to attain unison with neighboring countries. The Kuwaiti-Iraqi relations are distinctive and share a clear and united vision in facing the region’s challenges, the Iraqi Speaker said, noting that hosting the event in Iraq is a clear and direct message by Islamic nations against terrorism.

Terrorist attacks
On Iraq’s return to its pivotal role in the region, he said that his country is still suffering from terrorist attacks, as well as international and regional interventions which affected the Iraqi people and their relationships towards each other. On the political system in Iraq, Al-Jabouri noted that the political regime has not seen stability so far despite commitment in political dues such as parliamentary elections, government formation, and presidency, stressing the importance to preserve the country’s official and constitutional institutions, as well as their elements. He also pointed out that elements of current chaos in Iraq are not only triggered by the Islamic State in Iraq and the Levant (ISIL), but also from other militant militias and armed groups, adding that the sectarian discrimination in Iraq has affected aspirations of Iraqis due to some negative actions by some politicians. The Iraqi Speaker stressed the importance of political participation in his country in order to attain demands and interests of all components of the Iraqi society, confirming that the point of understanding starts from a real partnership among the society’s components and an effective participation in building the country. On participation of the popular mobilization forces with the Iraqi army in facing ISIL, Al-Jabouri said that there is a large number of Iraqis who rushed to aid Iraqi security forces, many among whom died while defending the country. On Iraq’s future, the Iraqi Speaker confirmed that he is exerting all efforts in favor of Iraq’s unity and attaining harmony among Iraqis in order to overcome challenges. — KUNA

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Kuwaiti companies post earnings

kseKUWAIT: Kuwait Portland Cement Company earned KD 5.2 million in the year’s H1, 55.1 fils per share, compared to KD 5.8 million, 61.12 fils per share in in H1 2014. The company said in a statement, posted on the KSE website, that its total assets reached KD 82.34 million, liabilities KD 17.48 million in the year’s H1, as compared to KD 15.15 million in H1, 2014. Meanwhile, Al-Kout Industrial Projects Company said in a statement, also posted on the KSE website, that it earned KD two million in H1, 2015, 21.08 fils per share, in contrast to KD 3.06 million, 31.56 fils per share, the same period of the past year. Its assets reached some KD 30.34 million and liabilities KD 4.7 million. For its part, the United Real Estate Company earned KD 3.6 million, compared to KD 3.5 million last year. USD is currently in the range of KD 0.302.

Session closes mixed In other news, Kuwait Stock Exchange (KSE) closed yesterday’s session with the three key indices performing in a mixed manner. Benchmark read 6,276.3, gaining 7.9 points, while the weighted index dropped by 2.34 points and Kuwait-15, 9.47. Value of traded shares reached KD 8.6 million, volume turnover some 93.49 million shares, done in 2,158 deals. — KUNA

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Kuwait oil price rises

KUWAIT: Price of the Kuwaiti crude oil rose 67 cents to reach USD 54.44 per barrel on Wednesday, as compared to USD 53.77 pb on Tuesday, Kuwait Petroleum Corporation said yesterday. In the international markets, the Brent crudes dropped USD 1.46, 2.5 percent, reaching USD 57.05 pb. Meanwhile, the American crude price also dropped, by USD 1.63, some three percent, settling at USD 51.41 pb. The crude prices on the international markets have moved down despite fall of the American crude reserves, by some 4.3 million barrels, last week, while the US refineries upped operations to record levels. — KUNA

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String of fires around Kuwait

KUWAIT: A fire broke out in a vehicle near South Surra, said security sources noting that firemen from Farwaniya rushed to the scene and managed to control the fire without reporting any casualties. A similar fire broke out in another vehicle near Al- Bade. Salmiya firemen rushed to the scene and managed to control the fire without reporting any casualties, said security sources.

Jahra, Jleeb house fires A fire broke out in a Jahra house, said security sources noting that firemen from Jahra rushed to the scene where they divided themselves into teams to evacuate the house, ventilate it and fight the fire. No casualties were reported. Another fire broke out in a Jleeb building and when firemen reached the scene they found that the fire started in a third floor balcony. The whole building had to be evacuated as a precautionary measure and the flames were controlled without any casualties.

Abdullah school fire A fire broke out inside the room of a school security officer in Abdullah Al-Mubarak area. Firemen managed to control the fire and rescue the security officers, who had been trapped inside the room, preventing the fire from spreading to other parts of the school.

People trapped in lift A few people were trapped inside a lift at Bayan co-op when the power failed, said security sources noting that firemen from Mishref rushed to the scene and managed to release them. None of the occupants were severely traumatized but a few had cases of sustained breathlessness.

Deadly car crash A citizen was critically injured in a crash alongside the King Fahad highway. Security sources noted that firemen had to be dispatched to the scene to cut the wreckage open and release him.

By Hanan Al-Saadoun

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MOI warns of hoax, vexatious reports

KUWAIT: An interior ministry statement yesterday warned that all reports made by both citizens and expats were being taken seriously and that security forces would, accordingly, deal very strictly with hoax, vexatious and frivolity calls and reports, especially those related to state security and stability.

The statement explained that security forces recently received a report from an 11 year old child reporting that a terrorist was outside a Subahiya mosque and on arresting another 14 year old child, the informant admitted that he was only joking with his friend.

The statement added that a Pakistani handed over an envelope to the Imam of a mosque at Abdullah Al-Mubarak area and on opening it, the Imam found a photocopy of another Pakistani’s ID with remarks that he was a terrorist who fled the country before Eid.

The statement stressed that on checking up about both Pakistanis, security forces found out that they had been having some unsettled old scores and that they were both arrested for making hoax calls and were referred to the relevant authoritie

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