Saudi: All services of employer will be stopped in the event of three-month salary delay

Saudi: All services of employer will be stopped in the event of three-month salary delay

RIYADH — The Ministry of Human Resources and Social Development (MHRSD) revealed that all the services of the employer will be stopped and the employee will be allowed to transfer service to another employer without his consent in the event of the delay in disbursing salaries for three consecutive months.

This penalty will be enforced even if the employee’s work permit is valid, according to the Mudad platform, affiliated to the ministry. The ministry noted that all the services except the service of issuing and renewing work permits will be stopped in the event of the delay in disbursement of salary for two months.

The Mudad has reduced the period for companies and establishments to justify the reason for the delay in disbursing workers’ salaries from 30 days to 10 days. The platform also reduced the time limit for employees to accept or reject salary justifications under the Compliance Law to only three days from the previously specified time limit of seven days. It indicated that if the worker does not justify within the specified period, the justification submitted by a representative of the firm will be processed automatically.

The Mudad platform specializes in providing data of firms and employees from the social