The Ministry of Human Resources and Social Development (MHRSD) has updated its Schedule of Violations and Penalties: employers who allow a worker to leave their employer and work for another party now face fines ranging from SR 10,000 to SR 20,000, alongside a series of tougher penalties targeting labour‑law breaches.

Ministry of Human Resources and Social Development — Riyadh

Why the update matters

The updated schedule released after a public opinion survey conducted by the MHRSD is part of a broader push to tighten enforcement of Saudi labour regulations, protect workers’ rights and ensure greater transparency in recruitment and employment practices.

Key violations and penalties (summary)

• Allowing a worker to leave and work elsewhere: SR 10,000–SR 20,000.

• Employing Saudi nationals without a valid licence: SR 200,000.

• Maternity leave non‑compliance: SR 1,000 per affected employee (classified as a "serious" violation) — the fine is multiplied by the number of affected employees.

• No childcare facilities (establishments with 50+ female workers and 10+ children under six): SR 3,000.

• Failure to form an investigation committee or to complete disciplinary investigations within five working days: SR 1,000–SR 3,000.

• Failure to meet internal or external environmental requirements: SR 500.

• Recruitment, outsourcing, or labour services without a ministry licence: SR 200,000–SR 250,000.

Implications for employers

Employers should immediately review HR policies and compliance procedures to avoid costly fines. Key areas for urgent action include ensuring valid licences for recruitment and Saudisation roles, strict adherence to maternity provisions, and establishing formal committees to investigate workplace misconduct within the required timelines.

Practical steps

1. Audit existing employment contracts and recruitment arrangements for licensing gaps.
2. Update maternity‑leave procedures and document compliance for each affected employee.
3. Set up an internal investigation committee and a documented timeline for enquiries and disciplinary recommendations (within five working days).
4. Provide or contract suitable childcare facilities when the workforce and dependents meet the threshold.

Impact on employees

While the fines target employers, the updated rules also affect worker mobility and the pathways for regularising status. The MHRSD has recently announced related measures such as grace periods for certain categories of workers and enforcement campaigns — employers and employees alike should familiarise themselves with the Qiwa and Musaned transfer and regularisation platforms.

Legal context and next steps

The updated schedule complements existing labour protections under Saudi labour law and the ministry’s enforcement framework. Employers that disagree with a penalty or need clarification may consult legal counsel or contact the MHRSD to request details of the decision and possible remediation steps.

Conclusion

The MHRSD’s revised schedule of violations signals stronger enforcement and higher stakes for non‑compliance. Employers should treat the changes as an urgent compliance priority to avoid heavy fines and potential licence suspensions.

Need a tailored compliance checklist for your business? Contact a labour law specialist or visit the MHRSD portals such as Qiwa and Musaned for official guidance.