Details of the new domestic worker regulations and end-of-service benefits
In a significant step towards improving the work environment and safeguarding rights, the Ministry of Human Resources and Social Development has released a draft of Domestic Workers Regulation through the “Istilaa” platform. This project, which will be open for public comment for thirty days, aims to regulate the contractual relationship between employers and domestic workers by specifying working hours and establishing end-of-service benefits, reflecting the Kingdom's commitment to developing its labor legislation and protecting the rights of all parties.
The general context for developing labor laws in the Kingdom
This step comes as an extension of a series of structural reforms underway in the Saudi labor market under the Kingdom’s Vision 2030. Historically, the Kingdom has sought to regulate the relationship between domestic workers and employers to guarantee the rights of both parties, launching several previous initiatives such as the “Musaned” platform for documenting contracts and digitally protecting wages. The current update to the regulations is a response to economic and social developments and reaffirms the Kingdom’s commitment to international agreements on human rights and combating forced labor, paving the way for a safer and more stable work environment.
Key provisions of the new domestic worker regulations and working hours
The ministry revealed detailed provisions in the draft, including a ban on employing anyone under the age of 21. The new regulations also strictly prohibit employers from retaining workers' passports, identification documents, or personal belongings. Regarding daily workload, the draft stipulates that actual working hours should not exceed 10 hours per day, with employers obligated to pay overtime for any hours worked beyond the agreed-upon timeframe in the contract. This ensures that workers are not overworked and receive fair compensation.
Weekly rest, holidays, and end-of-service bonus
The proposed regulations stipulate that workers are entitled to a weekly paid rest period of at least 24 consecutive hours, in addition to a daily rest period of at least 8 consecutive hours. The regulations also state that domestic workers are entitled to an end-of-service bonus equivalent to one month's salary for every four consecutive years of service, as well as a round-trip airfare ticket and 30 days of paid leave every two years. Furthermore, the document adds that workers are entitled to up to 30 days of sick leave based on a medical report, divided into 15 days at full pay and 15 days at half pay, with the employer obligated to provide the necessary healthcare.
Trial period and responsibilities of recruitment agencies
Article Fourteen stipulates a 90-day probationary period for workers, limiting employers' right to deduct wages to no more than a quarter of their salary, and restricting such deductions to specific cases such as documented property damage. The regulations also address the responsibilities of recruitment agencies and offices, obligating them to provide housing for workers for two years from their arrival date in the Kingdom if they refuse to work or cease employment. The new legislation prohibits any practices related to human trafficking or forced labor, stipulating financial compensation equivalent to a maximum of two months' salary in cases of contract termination by either party for unlawful reasons. The regulations further stipulate that fines imposed under the schedule of violations be deposited into a bank account designated to contribute to financing the accommodation and repatriation of domestic workers.
Expected impact of the regulation on the local and international market
This regulatory project, based on the amendments to Article 7 of the Labor Law, is of paramount importance and will have a wide-ranging positive impact. Domestically, it will contribute to reducing labor disputes and increasing the attractiveness of the Saudi market for skilled and qualified workers. Regionally and internationally, the fact that this regulation is based on benchmarking against the Gulf Cooperation Council countries, the United Kingdom, Singapore, and the European Union countries reinforces the Kingdom's position as a leader in protecting workers' rights. This alignment with global standards will positively influence international human rights reports and facilitate the signing of new bilateral recruitment agreements with labor-exporting countries, thus ensuring the sustainability and stability of the recruitment sector.
