Kuwait's labor market is experiencing significant shifts as over 30,000 domestic workers have applied for transfers to the private sector under a new decision by the Public Authority for Manpower. Experts predict this number could reach 40,000 before the September 12 deadline, highlighting deep-rooted issues within the country's labor market.

According to Bassam Al-Shammari, an expert in domestic labor affairs, the surge in transfer requests underscores persistent imbalances in the labor market. These imbalances stem from a regulatory framework that has restricted worker recruitment, leading to disruptions across economic sectors and a shortage of workforce availability.

The decision, issued by Sheikh Fahd Al-Yousef, allows domestic workers to transfer to the private sector under certain conditions. While the transfer decision provides some relief to the severe labor shortages in the private sector, it also exposes flaws in the Public Authority for Manpower's procedures.

Al-Shammari acknowledged several positives of the transfer decision, such as addressing the acute labor shortage and reducing disputes among domestic workers, which has alleviated pressure on expatriate workers’ shelters. However, he also warned of the potential risks, including worsening shortages in the domestic sector, which could have far-reaching implications for households relying on domestic help.

Al-Shammari has advocated for extending the transfer period beyond September 12 or even making the option permanent to better align with the labor market's needs. This approach, he argued, would support Kuwait’s vision of becoming a global financial and commercial hub by ensuring a more stable and efficient labor market.

To prevent a labor crisis in the domestic sector, Al-Shammari urged government agencies to expedite agreements with labor-exporting countries. Such agreements would help mitigate the potential negative impacts of the large-scale transfer of domestic workers to the private sector, ensuring a steady supply of labor to meet Kuwait's growing needs.