If is is written in arabic, ask for it to be translated to english the maximum number of working hours in saudi arabia is 48 hours week. Accordingly, it firstly discusses the importance of english law in international business practice and then briefly presents its current use in the middle east in general, and in saudi arabia in. The kingdoms employment legislative framework is based on the twin pillars of the labour law approved by royal decree m51 in 2005, as amended and the implementing regulations of the labour law. Amendments to article 77 of labor law include compensation. The reforms follow the saudi ministry of labors ongoing efforts to strike a balance between the creation of a dynamic marketplace for foreign businesses and protection and development of the. The labor new rule and regulation adopted by the council of the ministers, dated on h 03061436, and which will come into effect on h 05011437 aims to organize the labor market in k. Workers of agricultural firms that process their own products. The second pillar is the implementing regulations of the labor law. Governmental and public organization employees including those workers in pastures. Saudi labor law english version free download as word doc.
According to the new regulations, a fine of sr 10,000 will be imposed on employers who allow a nonsaudi employee to work in a profession other than listed in his work permit. Saudi arabia labour law login register for jobs jobs by country. Read saudi arabia newspapers including saudi arabia economy top stories and breaking saudi news online. However, it is important to mention here that under article 81 2 of saudi labor law, you need to resign within the probation period.
Understanding employment law in the kingdom of saudi arabia background understanding employment law in the kingdom of saudi arabia is important for any business operating in, or seeking to enter, the saudi market. Act no 14 of 1970 on principal provisions of judiciary power state gazette no. My company is opening up an office in ksa and i have been asked to study the labour law so we can start to create the employment contract for. Original text, 2009, ministry of labour, saudi arabia, 120 p. The labor law also regulates dispute resolution and. Saudis minister of labour and social development has issued a ministerial order revising the labour laws executive regulations. The labor law contains detailed provisions that address matters such as, recruitment, employment of nonsaudi personnel, employment contracts, termination of employment, and working conditions. Saudi labor laws and violations of expats in saudi arabia. A and increase its efficiency and productivity in a manner that achieves the national developmental economic mobility.
The decision, approved by minister of labor and social development, ali alghafees, has been formulated in view of the current changes and developments in the labor market. Type of change text the new version impactchange 5 partial deletion this law is applicable on the following. For expatriate work permits issued prior to 1 january 2018 and still valid during 2018, the ministry of labor will notify the employers on the payment of difference in fees for the remaining validity period of the iqama in 2018. Article 12 of the labor law sets out that every employer who employs ten or more workers must prepare internal regulations that the firm will be. The amendments to the saudi labour royal decree no.
Article 2 the following terms and phrases, whenever mentioned in this law, shall have the meanings expressed. Labor cases in saudi arabia are not uncommon and not all employers follow saudi labor law. The labor law contains detailed provisions that address matters such as, recruitment, employment of non saudi personnel, employment contracts, termination of employment, and working conditions. This guide to law online saudi arabia contains a selection of saudi arabian legal, juridical, and governmental sources accessible through the internet. The employment relationship between employers and employees is governed primarily by the labour law royal decree m51 23 shaban 1426september 27. Saudi arabia labour law latest information for saudi arabia on. The arabic text is the official text that has legal force. Termination of contract as per saudi labor law ksaexpats. By innovationsa on february 8, 2018 in news the ministry of labor and social development mlsd updated labor law regulations to protect employee rights in the kingdom. If your employer asks to extend your probation period, do not accept his offer as this is against the law. New executive regulations of the ksa labour law al tamimi. Jun 20, 2016 the saudi legal system is based on sharia law. Article 77 of saudi labor law good for expats but bad for saudis in the beginning of the hijri year 1437, mol made 38 amendments in saudi labor law.
New executive regulations of the ksa labour law al. Saudi arabia introduces new amendments to labour law. Uae labour law uae labour law disclaimer this english language text is not an official translation and is provided for information purposes only pdf download as pdf file. Francis oca in providing me the copy of the above new saudi labor law english translation in pdf file in which the undersigned converted it to a word file for easy reference to all our. Jan 01, 2019 termination of an employment contract in ksa. Ministry of labor and social development seeks to achieve the objectives of the national transformation program 2020 based on saudi vision 2030. The new labor law nll in saudi arabia was updated to not require an noc from the exemployer to allow you to enter the country and work for another employer.
Also our thanks to my long time colleague and friend mr. This maintains a healthy and sustainable work system. Either an employee or employer can decide to terminate a contract of employment. The new implementing regulations to the saudi arabian. The amendments include a table of labour law violations corresponding penalties, some which are new or updated with increased fines. Labor and workmen law the embassy of the kingdom of saudi. A matter of vital importance to the foreign workers is that, before they can participate in any work, they need to obtain from the ministry of labor a work permit, according to article 33 of the labor law.
Saudi arabia introduces new amendments to labour law regulations. Definitions article 1 this law shall be called the labor law. Article 77 of saudi labor law good for expats but bad. Sharia or islamic law, the primary source of law in modern saudi arabia, was developed gradually by muslim judges and scholars between the seventh and tenth centuries. The labour law contains detailed provisions that address matters such as recruitment, employment of saudi and nonsaudi. It also includes an essential part of your employment. A threemonth ban on working under the sun between noon and 3 p. It also involves knowing your rights, and asserting these when necessary.
Aug, 2019 according to the minister for labor and social development, ahmed suleiman alrajhi, the following are the amendments to saudi labor law in 2019. Saudi labor law updated 2017 overview of ksa labor. Understanding employment law in the kingdom of saudi arabia. Today, we are going to focus on working periods regular hours, overtime hours, and their corresponding wages. An industrial relations dispute is a difference of opinion resulting in a dispute between employers or an association of employers with workerslabourers or trade unions due to a disagreement on rights, conflicting interests, a dispute over termination of employment, or a dispute among trade unions. The legal system of saudi arabia is based on sharia, islamic law derived from the quran and the sunnah the traditions of the islamic prophet muhammad. Under saudi arabian law, the employment relationship between employer and employee is governed comprehensively by the labor and workmens law the labor law. Also, you can view the labor law in the bureau of experts at the council of ministers by clicking here. Though, the enactment of the law lagged till two years later when the consulates and. By the end of your probation period, you have the right to ask for a proper contract. It has been announced by the ministry of labour that these will be implemented six months after the date of its publication and therefore it is expected that these will be implemented on the 24 october 2015. Workers who work in agriculture and operating of agricultural machinery have. An employee shall be entitled to an annual leave of not less than 21 days, to be increased to a duration of not less than 30 days if the employee spends five consecutive years in the service of the employer, such annual leave shall be paid in advance.
The labour law in the kingdom of saudi arabia has always been supplemented by secondary legislation. The labor rule and regulation also determines in a professional precise manner the relationship between the mlsd and the sister establishments, all the beneficiaries and customers in a way that achieves the positive reflections on the labor market future, increasing the support pertaining to the nationalization of saudi human resources, boosting its presence in the saudi labor market in a stable safe productive working environment. Those who owners provide incorrect information or data to the ministry in order to get any services or privileges or work visas from the ministry will be slapped with a fine of sr 25,000. Links provide access to primary documents, legal commentary, and general government information about specific jurisdictions and topics. Aramco for their laudable effort in the translation of the new saudi labor law to english language. Saudi arabia recently published a new bankruptcy law. In any cases other than an employers bankruptcy and the closure of the employing establishment entirely, the resolution prohibits large and medium sized entities from making collective redundancies of ksa nationals for any reason without first informing. Egypts government services portal laws and constitution. Resignation without notice article 81 of saudi labor law. In early 2015, the saudi arabian ministry of labor announced an overhaul of the labor law that would include 38 amendments the amendments to its statutory provisions.
Some teachers receive a residencework visa prior to arrival, which is followed by an iqama or residence card after arrival. Expatriates having assignments in saudi arabia for not more than 2 months. This english language text is not an official translation and is provided for information purposes only. Labor law chapter iv contract article 12 the worker shall be employed by virtue of a contract, verbal or in writing, comprising in particular the start date of appointment, wage agreed upon, term of. Article 2 the following terms and phrases, whenever mentioned in this law, shall have the meanings expressed next to them, unless the context requires otherwise. This permit is now officially known as a muqeem, but the old term persists.
The labor new rule and regulation adopted by the council of the. Article 77 of saudi labor law talks about the compensation in case of termination of contract due to invalid reasons. Regulatory rules and procedures issued pursuant to new. Its interpretation by judges in saudi arabia is influenced by the medieval texts of the literalist hanbali school of islamic jurisprudence.
The shoura council will discuss monday amendments to the article 77 of the labor law, which contains clauses harmful to the interests of workers. In a previous article, we talked about policies on wages, as prescribed under the saudi labor law. The sources of sharia also include islamic scholarly consensus developed after muhammads death. Issuing or renewing work licenses for foreign establishment, which is the approval of the ministry of labor to work in the saudi market, which is one of the requirements for issuance or renewal of residence permits for the worker by the passport general department. An employment contract binding an employer and an employee against of specific wagesalary. The new changes in regulation are preventing employers from keeping iqama, passports or medical insurance cards for their workers. Labor law chapter iv contract article 12 the worker shall be employed by virtue of a contract, verbal or in writing, comprising in particular the start date of appointment, wage agreed upon, term of the contract, if it is a. Labor ministry limits work hours under sun arab news. Title two employment of workers and youth and women labour title three employment contracts, records and wages title four working hours and leaves title five safety, protection health and social care of workers title six disciplinary rules title seven termination of employment contract and end of service gratuity.
The amendments have been proposed by some council members. Kingdom of saudi arabia capital market authority regulatory rules and procedures issued pursuant to the companies law relating to listed joint stock companies english translation of the official arabic text issued by the board of the capital market authority pursuant to resolution no. Any contract under which any person undertakes to work for the account of an employer under the latters direction or control in consideration of a wage. M46 of 05061436 were published in the official gazette no. The english version of this document is for guidance only. Workers of agricultural and pastoral firms that employ ten or more workers.
The labour law contains detailed provisions that address matters such as recruitment, employment of saudi and non saudi. A worker will lose his afterservice benefits if he physically. New changes in saudi labor laws in 2019 saudi expatriate. Ksa employment labour law copy middle east middle east. Overview of workers rights in saudi arabia the ministry of labor and social development is the main agency that administers workers policies in the kingdom. Any worker who is absent to work for more than 15 days long leave at a stretch or who will take a total of 30 days of absense in a year. Newly updated november 20, this bestselling handbook on saudi labor law is full of critical information for the new saudi employee or the employer who seeks to recruit staff for the kingdom. Workers who operate or repair agricultural machineries on a permanent basis.
This new version contains a translation of the new domestic servants law. Amendments to article 77 of labor law include compensation of. The most significant of these, the executive regulations promulgated by ministerial resolution no. This is the latest development of a string of reforms under vision 2030 to further encourage the participation of foreign and domestic investors by structuring the business legal framework. From the time of the abbasid caliphate in the 8th century, the developing sharia was accepted as the basis of law in the towns of the muslim world, including the arabian peninsula, and upheld by local rulers, eclipsing urf or. Employees working in saudi arabia are entitled to certain privileges regarding vacations from work and public holidays. The government of saudi arabia provides equal opportunities to its citizen as well expats to develop the country. According to the minister for labor and social development, ahmed suleiman alrajhi, the following are the amendments to saudi labor law in 2019. Jan 15, 2019 as per the new changes in saudi labor law 2019 an employee can be fired without even receiving his end of service benefits esb in the following conditions. Under this act, the following definitions shall apply.
Saudi labor law english version employment working time. M46 of 05051436h came into force on 18 october 2015. The resolution is aimed at regulating and in so far as possible limiting the collective termination of ksa nationals by reason of redundancy. This english translation of the regulations is for general information only.
Employees may terminate their contract by resigning and an employer may terminate the contract by dismissing an employee. In todays article, we provide an overview of workers rights, based on the saudi labor law. The new implementing regulations to the saudi arabian labor. Article 77 of saudi labor law good for expats but bad for. While working in saudi arabia, your employment contract indicates your job description, salary, and other details. The reforms follow the saudi ministry of labor s ongoing efforts to strike a balance between the creation of a dynamic marketplace for foreign businesses and protection and development of the. Saudi labor law updated 2017 overview of ksa labor laws. The new amendments to the saudi arabian labor laws initially announced in a royal decree no. The councils committee on social affairs, family and youth has found that the private sector exploited the article 77 for. The labor law applies to both saudinational workers as well as foreign workers.
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