What is Mudad?
Mudad is Saudi Arabia’s official digital payroll management platform launched by the Ministry of Human Resources and Social Development (MHRSD) under the National Transformation Program 2020. The platform operates as the official system for the Wage Protection System (WPS) and monitors salary payments for all employees in private sector establishments, including both Saudi nationals and expatriates.
The platform automates salary calculations, deductions, and disbursements while integrating with businesses’ HR and financial systems. Mudad works with major Saudi banks to ensure seamless salary transfers.
Understanding the salary violation process
When your employer delays salary payments or violates wage protection regulations, Mudad automatically detects this non-compliance and initiates a structured process:
- Violation detection: The system identifies wage payment delays or discrepancies
- Employer notification: Your employer receives a WPS violation notification requiring justification within 10 days
- Employee notification: Once your employer submits their justification, you receive an SMS notification
How to accept or reject employer justifications
Registration process
If you haven’t registered with Mudad yet, follow these steps:
- Visit https://mudad.com.sa/registration
- Enter your Iqama number
- Click “Send OTP”
- Enter the OTP received on your Absher-registered mobile number
- Complete your registration
Reviewing and responding to justifications
- Log in to your Mudad account: https://mudad.com.sa/login
- Open the notification about your employer’s justification
- Choose one of the following:
- Accept – Agree with the explanation (case closed, no further investigation)
- Reject – Disagree with the explanation (case goes to the Ministry of HR for investigation)
Note: If you do not respond within 3 days, the system automatically accepts the employer’s justification.
Critical timeframes to remember
- Employer response time: 10 days to provide justification for delayed salary payments
- Employee response time: 3 days to accept or reject the justification
- Auto-acceptance: If you don’t respond within 3 days, the system automatically accepts the employer’s justification
What triggers salary violations on Mudad
The platform generates violation alerts for several scenarios:
- Assigning unreasonably low or high basic wages to employees
- Salary deductions exceeding 50% of an employee’s wage
- Employee basic wage not recorded on Mudad for more than 90 days
- Basic wage not entered in designated system fields
- Complete failure to pay wages on time
- No record of wage disbursement
Penalties for non-compliant employers
Penalty timeline for non-compliance
Two-month delay: Suspension of all ministry services except work permit issuance and renewal
Three-month delay: Complete suspension of all services, and employees may transfer to another employer without current employer’s consent
Financial penalties
Establishments face fines of SAR 10,000 for each month of delay in paying workers’ wages on due dates.
Automatic inspection timeline
When establishments delay submitting wage protection files by more than 20 days:
- Day 0-10: First reminder to upload wage file
- Day 10: Second reminder if file remains unsubmitted
- Day 15: Final warning for non-compliant establishments
- Day 20: Automatic inspection request sent to Inspection Department
Additional consequences include prosecution through judicial authorities and potential business license withdrawal for severely non-compliant companies.
Your rights as an employee
Under Saudi Arabia’s wage protection system, you have the right to receive your salary on time and challenge any employer justifications for delays. The Mudad platform ensures transparency in this process by giving you direct access to review and respond to employer explanations.
Remember that your response within the 3-day window is crucial – failure to respond will automatically accept the employer’s justification, potentially closing your case without investigation.