Saudi Arabia

Saudi Arabia seeks study to abolish selective annual levy for house workers

The Shoura Council urged the Ministry of Human Resources and Social Development to carry out a study on the prospect of abolishing the selective annual levy for domestic workers. The virtual session of the council was held under the chairmanship of Vice President Dr. Mishaal Al-Sulami.

The ministry started applying the first phase of the decision of the Council of Ministers to selectively impose a levy on domestic workers effective from May 22 this year. Saudi employers had to pay an annual fee of SR9,600 for each house worker if their number exceeds four while expatriate employers will pay the same amount for each worker in excess of two.

According to the decision, a Saudi employer needs to pay the annual fee if he hires a fifth domestic worker while the expatriate employer will pay the same fee in the event of hiring a third worker. The fee will be applicable for every additional worker hired by the same employer. The first phase is applicable to only new recruits of domestic help while the second phase, which will come into force from May 11, 2023, will be applicable for both new and existing domestic workers in excess of the exempted number, the ministry pointed out.

The Shoura council underlined the need to provide opportunities for more consumer associations to make available food commodities at competitive prices. It also demanded the Sports Boulevard Foundation to develop a declared time plan to implement the plans of its phased project.

The council approved a recommendation to assign a neutral body to evaluate the status of the Higher Education Investment Fund, with the aim of improving performance.



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