Fees for Dependents to be paid During Iqama Renewal

The new fees for dependents of Saudi expats that are to be introduced in July 2017 will be paid when they come to renew the residence permit, known as Iqama/Muqeem. This has been verified by the Jawazat, the Department of Passports.

However, the Jawazat has clarified that they are waiting to get the directions on the procedure that will be used in collecting the dependent fees. The Financial Balance report, which was released as part of the General Budget indicated that the monthly fees of the dependents will be applicable to all the companies that have more expatriate workers than the Saudis.

Currently, the private companies pay an annual fee of SR 2,000 for every foreign worker. However, with these new provisions, the companies will be expected to pay additional fees for every expat that outnumber the Saudis and those that have expats equal to the locals. In addition to this, they will also be required to pay SR 100, per month for every dependent, starting July 2017.

From January 2018, the organizations that have expats who are more than the nationals will have to pay SR 400 per month, per expat. The companies with expats that are equal to Saudis will pay SR 300. The monthly fees will be raised to SR 200 for each dependent.

In January 2019, companies that have foreign workers who are more than Saudis will pay SR 600 per month and SR 500 for those with expats that are equal to the locals and the fees on the dependents will be increased to SR 300 per month.

At the beginning of 2020, the fees for companies with expats that are more than Saudis will be SR 800, and SR 700, for the companies that have foreigners that are equal to the number of the nationals. The monthly fees for the dependents will rise to SR 400, per month, from July 2020.

Most experts in the labor market have indicated, irrespective of the new fees that will be imposed on expats in the next 3 years, the labor laws in the Kingdom, are still the most liberal in the world.

Source: Saudi Gazette

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