Saudi Arabia: Employers Holding Employee Passports to Be Fined
Dubai: Employers retaining passports or residency permits of their employees or their family members will be fined with SR1,000, according to the Saudi Ministry of Human Resources and Social Development (MHRSD).
This comes as part of a series of stringent measures introduced in the revised schedule of violations and penalties under the Labor Law.
Key points from the revised schedule include:
Hiring without Work Permits: Businesses found employing foreign workers without the necessary work permit or without notifying the Ajeer Program will be slapped with a SR5,000 fine.
Work Safety Violations: Employers neglecting occupational protection, safety, and health standards approved by the ministry are liable for a fine ranging between SR1,500 and SR5,000. The firm’s owner or representative will be held accountable for any accidents on the premises.
Childcare Facilities Requirement: Establishments employing over 50 workers must provide designated childcare or nursery spaces. Failing to do so incurs a SR5,000 fine, given there are at least 10 children under the age of six.
Child Labor & Maternity Provisions: Hiring children under 15 is a severe violation, with fines varying between SR1,000 and SR2,000. Employing women within six weeks post-childbirth also invites a SR1,000 penalty.
Non-compliance with Work Permit: An employer recruiting a non-Saudi worker without the requisite work permit or without notifying the Ajeer Program will be fined SR10,000.
Workplace Discrimination: Any form of discrimination, be it against current employees or job applicants, attracts a fine of SR3,000. This includes disparities in work conditions, advertisements, or wages for jobs of equal value between male and female workers.
Withholding Personal Documents: Employers retaining passports or residency permits of employees or their family members will be penalized with a SR1,000 fine.
Delayed Wages: Non-compliance in disbursing wages in the official currency through approved bank accounts incurs a SR300 fine.
Workplace Abuse: Establishments not forming an abuse investigative committee or failing to address behavioral violations within stipulated timeframes are liable for a SR5,000 fine.
Violators are required to settle their fines within 60 days from receiving the notification. Non-compliance will result in the suspension of services provided by the ministry, as per the Labor Law’s executive regulations.
