Saudi Gazette Report

RIYADH — The Ministry of Human Resources and Social Development sought the opinion of the public with regard to its plans to amend the Labor Law aimed at taking stringent punitive measures against those firms and employers who hire workers without having a job for them. According to the proposed draft law, hefty fines ranging between SR200000 and SR1 million will be slapped on the violators. This is aimed at criminalizing illegal practices that negatively affect the labor market.

The ministry sought the opinion of the stakeholders regarding the amendment through the Istitlaa, which is a unified electronic public consultation platform affiliated with the National Competitiveness Center to survey the opinions of the public, government entities, and the private sector on the proposed laws or regulations before their approval and enforcement. Those who are taking part in the public poll shall submit their viewpoints and opinions regarding the amendment of the Labor law by April 20, 2024.

The proposed amendment criminalizes the practice of recruiting professional workers and domestic workers without having any work for them with the employer. The amendment also criminalizes the phenomenon of engaging in brokering to provide labor services through an individual or individuals, whether citizens or residents, and marketing labor services in violation of residency or labor regulations.

According to the amendment, it is not permissible for any person to recruit one or more workers without having a job for them, and whoever recruits one or more workers without having a job will be punished with a fine of not less than SR200000 and not more than SR1 million. The expatriate violator will also be deported.

Any individual who provides labor services in violation of the provisions of the Labor Law or make announcement about jobs without obtaining a license for the same will be punished with a fine of not less than SR200000 and not more than SR500000 and violator will be deported if he is an expatriate.

The value of the fine is determined taking into account of the consequences of the crime. As per the proposed provision of the law, the Ministry of Human Resources and Social Development will be responsible to monitor and refer the violations to the Public Prosecution to examine the prospect of filing of a criminal case before the competent court.

The authorities involved with regard to amending the law includes the Ministry of Commerce, the Ministry of Justice, the Ministry of Interior, the Ministry of Foreign Affairs, the Human Rights Commission, the National Competitiveness Center, and the Public Prosecution.