Unauthorized possession of an employee’s Passport will face SR 2,000 fine

Employers will face an SR25,000 fine for improperly registering Saudi employees with the General Organization for Social Insurance (GOSI).

In addition to the fine, businesses may face a five-day closure, the Ministry of Labor and Social Development announced Tuesday.

Holding workers’ passports without their approval will result in an SR2,000 fine.

Employing a worker without a contract or without giving a copy of the contract can lead to an SR5,000 fine; the same fine applies to not adhering to offering work contracts in Arabic.

The ministry also stated that an SR5,000 fine would be imposed for not complying with the conditions mentioned in training contracts; for not keeping workers’ records, including names, salaries, fines, attendance and medical records; as well as for full or partial withholding of a worker’s salary.

The ministry posted on its official Twitter account a list of penalties that will be imposed on employers if they violate the rights of their employees.

The announcement includes nine violation scenarios. Companies can receive fines of SR20,000 for recruiting expat workers for jobs allocated for Saudis as well as SR10,000 plus a one-day closure if the firm employs male expat workers for jobs which have been nationalized.

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