More Fines For Saudi Employers Under Revised Labor Law Regulations

Employers who violate a provision under the Saudi Labor Law regarding the prescribed holidays of its employers are now subject to fines of SAR10,000, according to a report by Saudi Gazette.

The penalty is one of the new inclusions under the revised table of violations and penalties pertaining to the Labor Law regulations.

Approved by Minister of Labor and Social Development Ali Al-Ghafees, the table was revised after making necessary amendments in view of the changes and developments in the labor market, according to a ministry statement carried by the Saudi Press Agency.

Here are other fines for violations that employers might incur against their employees.

  • SAR10,000 fine will be imposed on employers who violate the revised Article 38 of the Labor Law by allowing a non-Saudi employee to work in a profession other than the one specified in his work permit.
  • SAR10,000 fine will be imposed if Article 15 is violated by not opening a file of the firm in the Labor Office or not updating the data of the firm at the office.
  • SAR2,000 fine for keeping employee’s passport, iqama (residency permit) or medical insurance card without his consent.
  • SAR10,000 fine for not having organizational regulations or not complying with them.
  • SAR10,000 fine for failure to submit the Wage Protection file to the Labor Office on a monthly basis.
  • SAR15,000 fine for any company that fails to meet the requirements of health and occupational safety of its staff. The fine will be doubled if the offense is repeated.

The fines must be settled within one month after the issuance of penalty, the failure of which will result in the doubling of fine.

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