Saudi Arabia to link insurance to house worker contract soon

Saudi Arabia to link insurance to house worker contract soon

RIYADH — The Ministry of Human Resources and Social Development has revealed that the initiative to link the provision of insurance to labor contracts for hiring domestic workers will be activated soon.

This was disclosed by Saad Al-Hammad, spokesman of the ministry.

The initiative, introduced by the ministry earlier, was recently approved by the Council of Ministers.

Speaking to Okaz/Saudi Gazette, the spokesman said that this initiative will bring about a number of advantages such as increasing the attractiveness of the Saudi labor market; facilitating bilateral negotiations with countries; improving contractual relationships; and reducing risks in the domestic labor recruitment market. This will contribute to reducing prices and guaranteeing rights for all parties, in addition to an increased commitment by stakeholders.

Al-Hammad said the ministry will review periodically the upper ceiling for the recruitment cost. The periodic review will be carried out in a way serving the interests of all parties involved in the contract, he elaborated.

The spokesman said punitive measures, including the revocation of the license of recruitment companies and establishments, will be taken in the event of failure to comply with the regulations regarding the upper ceiling of recruitment costs or any manipulation in this regard. He emphasized that if anybody wants