SR 3,000 fine per Employee, if salary is not paid on time

One of the biggest milestones that were marked in the year 2015 is how the amended Saudi Labor Law (SLL) has benefited greatly the employees within the Kingdom, whether they are Saudis or expats. The Ministry of Labor that has been working in full swing in order to protect the rights of employees and employers has outdone them yet again. This time, they have introduced a law that is bound to help the employees who are tortured and have to suffer at the hands of either their sponsors or employers. If it comes to the notice of the Ministry of Labor that an employee has not been given his pay by his employer, he will be fined a charge of SR 3,000![irp]

This is a fairly large fine especially for those employers who employ and pay wages of SR 1,000 to their workers. Since the Saudi Labor Law has been amended, there have been many laws that are now very clear to not only the employees but also the employees and give them rights to challenge their employers if they are mistreated or are forced to work under conditions that can prove to be hazardous for them. If an employee has not been paid by his employer, he can directly consult the Ministry of Labor as soon as possible. The MOL will look into the matter and call the employer for questioning. They will look into his financial records and see whether there is a valid reason for the employer unable to pay. If they have not found any valid reason, the employer will be fined.

With this new amendment, the employee will also enjoy the privileges of breaking ties with the company of employer and transferring himself to another company without the consent of the current employer. This particular law and the policies made regarding them come under the Wage Protection Program that helps secure the ties of the Kingdom with the embassies of the countries of expats since a fair majority of the workforce is run by expats.

The wage protection agency that was established in 2013 has helped around 300 employees until 1st October 2015. Due to their strict implementation and policies, over the years the number of employees seeking help from the program has dropped significantly. It is worth noting that in the past couple of days, the Wage Protection Program has issued a report regarding their future plans they wish to implement. Within this, a company that employs from 11 to 100 workers shall be visited and looked into by the 1st of February 2016.[irp]

Apart from this, compulsory implementation of companies employing more than 100 employees will begin from the 1st of November 2015 and will cover 3,595 companies which employ 405, 590 workers. It is worth applauding that program has successfully helped nearly 240 employees and continues to work with full dedication.

Source: Saudi Gazette