Saudi Gazette report

RIYADH — Minister of Human Resources and Social Development Eng. Ahmed Al-Rajhi said the Council of Minister’s decision to assign the Ministry of Human Resources and Social Development (MHRSD) for managing the contractual relationship between establishments and Saudi and foreign workers shows the great interest, utmost keenness and support of the wise leadership to the ministry’s system for further improving the contractual relations with all its programs, initiatives and decisions.

In a statement carried by the Saudi Press Agency, the minister thanked Custodian of the Two Holy Mosques King Salman and Crown Prince Muhammad Bin Salman for the decision.

According to the decision of the Cabinet on Tuesday, the ministry will manage the contractual relationship between the owner of the firm and the worker from the time of registering and documenting the labor contract till the expiry of the contract.

The decision covers updating the data of professions, salaries and qualifications and that will be based on the unified Saudi accredited classification of professions and the required educational levels and specializations.

The Ministry of Foreign Affairs will apply the procedure for issuing entry visas only for holders of work visas who have accredited work contracts, and that is in agreement with the Ministry of Human Resources and Social Development.

The Cabinet decision aims to unify data sources for workers in the private sector at the national level, in addition to controlling the electronic registration and documentation of contracts for the entire labor market.

It also aims to achieve the principle of data reference and unifying information sources in accordance with the regulations of the Saudi Data and Artificial Intelligence Authority.

It targets bringing down the rates of labor issues between employers and workers, as well as improving the level of accuracy in manpower planning and decision-making to accelerate the process of nation’s growth and development.

This is in addition to documenting the contractual relationship with an electronic contract between the two parties in accordance with a clear governance framework for both the parties.