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11 answers

Mostly because they are trying to attract high-skilled and experienced people (who can find a good paying job fairly easily) into a place that in a word - sucks.

Somebody would have to offer me a _lot_ of money before I would even consider working there.

2007-09-20 05:38:39 · answer #1 · answered by MikeGolf 7 · 1 0

I was a contractor in Kuwait last year and I can tell you that I would not have gone out there for anything less than what I was making before. You sacrifice a lot to go out there; the money is the least they can do to make it up to you.

2007-09-20 01:18:42 · answer #2 · answered by panzerfahrer81 3 · 4 0

I assume you are asking why US government contractors in Kuwait (not Kuwaiti government contractors) get paid so much. The reason is because most US government service contracts are not Fixed Price, but rather Cost Plus.

Fixed Price contracts define a specific amount of work to be performed for a fixed price. The contractor's incentive is to minimize costs, because it increases his profit. Almost all contracts in the commercial world are Fixed Price.

In a Cost Plus contract, however, the government pays the contractors costs, plus a percentage of that cost as profit. This creates an incentive to maximize costs, because it increases the contractor's profit.

This is why contractors get paid so much - the incentive system encourages them to maximize their costs.

2007-09-20 01:58:54 · answer #3 · answered by Anonymous · 0 1

I've worked in Kuwait before. It's a harsh enviornment over there, with daytime summer temps climbing over 140 degrees farenheit. Nothing but sand.....although the Kuwaitis do have some money, most of them aren't as rich as people think. They're not the easiest people to work for or with either. If I go back there, my employer would have to pay me major bucks.

2007-09-20 01:22:16 · answer #4 · answered by cajunrescuemedic 6 · 5 0

Who Are Contractors

2016-12-12 15:15:27 · answer #5 · answered by egbe 4 · 0 0

Although Kuwait isn't a garden spot, the humongous money being paid to contractors is more related to who their friends are than to challenging conditions & hardships...the sweetheart, no-bid, cost-plus deal is a way of life for the friends of Richard Cheney... if it's good for Halliburton, CH2MHill, KBR, Bechtel and those other loyal chums o' power, then it's never questioned. Cost over-runs? Bribes under the table? Slave labor? Pass the Chivas Regal & a smuggled Cubano stogie and don't ask q-u-e-s-t-i-o-n-s

2007-09-20 01:18:04 · answer #6 · answered by constantreader 6 · 0 4

The Kuwatis have lots to spend. It is a remote area of the world. It is on the edge of a major war zone. It takes money to attract people under those circumstances.

2007-09-20 01:09:09 · answer #7 · answered by regerugged 7 · 1 0

Because the illegals can't get sneak in there to work for peanuts and drive down wages for everyone else.

2007-09-20 03:02:04 · answer #8 · answered by Anonymous · 0 0

becuase it's a high risk area. and kuwait actually has alot of money believe it or not...

2007-09-20 01:13:54 · answer #9 · answered by Anonymous · 2 0

Because noone would go there for a small amount of money.

2007-09-20 01:11:49 · answer #10 · answered by Anonymous · 3 0

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