All employers who delay the salary of expatriates and Saudis will be penalized for SR 3000 on each offense, this is according to the announcement made by the Ministry of Labor. This is will take effect and in accordance to the Ministry’s Wage protection System (WPS) where it indicates a delay or violation, or if a complaint is lodge at an office of the ministry.
According to an article from Arab News, this implementation is geared towards the protection of rights of the citizens, expat employees and in order to track the companies who abuse and delays salary disbursement. In the present, the Ministry has stopped the services catered to a company that violates this policy, like profession change, Iqama/Muqeem transfer, visa requests among others.
Historically, on the other hand, the Wage Protection System (WPS) has developed into a progressive mechanism in protecting employees:
– The WPS became in June 2013 compulsory for companies with over 3,000 employees,
– September 2013 for companies with over 2,000 employees,
– December 2013 for companies with over 1,000 employees,
– November 2014 for companies with over over 500 employees.
– February 2015 it became compulsory for companies with over 320 employees,
– April 2015 for companies with over 240 employees,
– June 2015 for companies with over 170 employees,
– August 2015 for companies with over 130 employees.
– 2016 to present, the Minsitry has implemented 10 phase
– August 2017 11th phase is planned to be implemented
Meanwhile, the General Organization for Social Insurance (GOSI) has announced that it would fine employers SR10,000 if they exclude workers from the system. According to the agency, employee can only be excluded if the company’s owner dies, the firm is liquidated, or it closes down. Other reasons include the worker’s contract ending, resignation, or the worker dying.
And as an expat in Kingdom of Saudi Arabia, this policy is definitely a good way to protect you from the abusive employers who delay the disbursement of your salary. The government is definitely striving its best to adjust policies to provide a better service and well-being of employees, specially for the expat
Source: Arab News