The Ninth Cabinet Charges Businesses for Failing to Enrol Workers in Social Security and Pension Schemes

According to statistics from the Ministry of Labour and Social Affairs of the Kurdistan Regional Government, during the ninth cabinet, 182,000 local and foreign workers were enrolled in the social security and pension scheme, and 1,816 projects were penalised for failing to enrol staff in the scheme.

Employment rights in the Kurdistan Region are protected by the Pension and Social Insurance Act. The legislation entitles male employees to retire after 20 years of service or upon reaching the age of 60, whereas female employees may retire after 20 years of service or upon reaching the age of 55.

In the past four years, 957 workers in the Kurdistan Region have benefitted from the Social Insurance Fund (SIF). According to regulations, local businesses must employ at least 75% citizens from the Kurdistan Region and no more than 25% foreign workers. Employees are enrolled in the social security and pension scheme, with contributions of 5% by the employee and 12% by the employer. This fund will be saved in SIF until the employee reaches the age of retirement.

Local businesses are required to register their employees with the Directorate of the Social Security to ensure they are adequately covered. Failure to comply will result in charges by the Ministry of Labour and Social Affairs.

Department of Media and Information