Saudi Labor Law Amendments: Streamlined Penalties For Violations To Boost Business Fairness
Category: Expats

The Ministry of Human Resources and Social Development in Saudi Arabia recently unveiled a comprehensive overhaul of penalties linked to labor law violations, aiming to create a more equitable landscape for businesses of varying sizes within the private sector.

In accordance with the Saudi labor categorization system (Category A for companies with over 50 employees, Category B for 21 to 49 employees, and Category C for establishments with 20 employees or fewer), here are some noteworthy changes:

1. Hiring Practices Revisions:

. Category A: Fine reduced to 8,000 riyals.
. Category B: Fine decreased to 4,000 riyals.
. Category C: Fine now at 2,000 riyals.

2. Safety Standards Penalties:

. Category A: Fine reduced to 5,000 riyals.
. Category B: Fine lowered to 2,500 riyals.
. Category C: Fine reduced to 1,500 riyals.

3. Work Environment Rules:

. Category A: Fine now at 1,000 riyals.
. Category B: Fine decreased to 500 riyals.
. Category C: Fine now at 300 riyals.

4. Weather-Related Employment:

. Uniform fine of 1,000 riyals for all categories.

5. Medical Benefits:

. Category A: Fine set at 1,000 riyals.
. Category B: Fine reduced to 500 riyals.
. Category C: Fine now at 300 riyals.

6. Child Labor and Maternity:

. Reduced fine of 2,000 riyals for Category A for hiring children.
. Fine of 1,000 riyals for hiring women less than six weeks postpartum.

7. Role Limitations for Saudi Nationals:

. Category A: 1,000 riyals fine.
. Category B: Fine set at 5,000 riyals.
. Category C: Fine reduced to 2,500 riyals.

8. Data Integrity Violations:

. Fine reduced to 3,000 riyals for providing false information to the ministry.

9. Employment Discrimination:

. Category A: Fine set at 3,000 riyals.
. Category B: Fine at 2,000 riyals.
. Category C: Fine reduced to 1,000 riyals.

10. Salary Payment Violations:

. Standard fine of 300 riyals for businesses failing to pay employees in the official currency by the due date.

11 Dec, 2023 0 554
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