Riyadh: Saudi Arabia's Ministry of Human Resources and Social Development (MHRSD) and the Saudi Arabian Insurance Authority have launched Expatriate Worker Wage Insurance Service for private sector employees. Starting October 6, 2024, this service ensures expatriate workers receive their wages if employers fail to meet their payment obligations.
His Excellency, Minister Ahmed bin Sulaiman AlRajhi, highlighted the initiative as a key step toward securing workers' rights, stating, "This service guarantees fair compensation in rare cases of employer default, further strengthening our efforts to create a secure and equitable labour environment."
Filing claims and additional benefits
Expatriates can file claims through the designated insurance company if their wages are withheld. The policy also includes benefits like travel tickets for those wishing to return home. The Ministry will oversee the implementation to ensure smooth execution.
Holding employers accountable
While offering protection for workers, the policy holds employers responsible for timely wage payments. Strict penalties are in place for those who default intentionally, as this insurance is not a safety net for employer negligence.
Strengthening Saudi labour market
This initiative reflects Saudi Arabia’s ongoing commitment to enhancing worker rights and making the Kingdom a top destination for global talent, while fostering a balanced, efficient labour market.