Saudi Arabia: Employers holding employee passports will be fined

In the Kingdom of Saudi Arabia (KSA), employers holding passports or residency permits of their employees or their family members will be fined.

The Saudi Ministry of Human Resources and Social Development (MHRSD), a government ministry responsible for providing the community with development, support, and protection in the country, announced that the fine will be around SR1,000.

This move is introduced as part of a series of new measures. It comes under the revised schedule of violations and penalties under the Labor Law in the Kingdom.

Revised schedule

Hiring without Work Permits
Employers hiring foreign workers without the necessary work permit will be slapped with a SR5,000 fine.

Work Safety Violations
Employers not providing occupational protection and safety to employees will be slapped with a fine between SR1,500 and SR5,000. The owner of the company will be held accountable for any accidents at the workplace.

Childcare Facilities Requirement
Employers hiring more than 50 workers must provide childcare or nursery spaces. If an employer is not complying with the law, a fine of SR5,000 will be imposed.

Child Labor & Maternity Provisions
Hiring children under the age of 15 is not allowed. Fine for violating this rule is between SR1,000 and SR2,000. If an employer hires women within six weeks post-childbirth, he will be liable to pay SR1,000 penalty.

Non-compliance with Work Permit
An employer hiring a non-Saudi worker without notifying the Ajeer Program will be fined SR10,000.

Workplace Discrimination
Any form of discrimination against employees attracts a fine of SR3,000. This also covers wages for jobs of equal value between male and female workers.

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Withholding Personal Documents
Employers taking passports or residency permits of employees or their family members will also be slapped with a fine of SR1,000.

Delayed Wages
Non-compliance in paying wages in the official currency of the country through approved bank accounts attracts a SR300 fine.