Saudi: Up to 94% cut in penalties for Labor Law violations

Saudi: Up to 94% cut in penalties for Labor Law violations

RIYADH — The Ministry of Human Resources and Social Development has made drastic reduction in the amount of penalties for the violations of the Labor Law and its Executive Regulations, reaching up to 94 percent, compared to the amounts of penalties that were previously endorsed in the schedule in 2021.

Minister of Human Resources and Social Development Eng. Ahmed Al-Rajhi issued a ministerial decision amending the table of violations and penalties. These included amendments to the value of fines for all types of violations on the basis of the classification of the category of establishments.

According to a review of the amendments made by Okaz/Saudi Gazette, the penalty for the late payment of wages and allowances of workers has been fixed at SR300 for each worker, regardless of the size of the establishment. Earlier, the value of penalty for the late payment of wage and allowances of each worker was about SR5000 for large establishments with 50 or more workers; SR3000 for establishments with workers ranging between 49 and 21, and SR 2000 for establishments with 20 or less workers.

The amendments showed that the violation for employing a working woman during the six weeks following delivery has been reduced to SR1000 from