Saudi Arabia: Companies Must Disclose Training Information

Arab News, 19 August 2023: Saudi Arabia’s Human Resources and Social Development Minister has issued a Decision requiring companies with more than 50 employees to disclose their training information.

This information will have to include hours and trainee counts, training plans, activity reports, trainee numbers and budget allocation for the next year.

The information will help the Ministry assess training indicators in the job market and work with the private sector to improve training programmes for employees. The Decision has been issued to improve training in private sector companies as well as improve workforce capabilities and promote development and growth opportunities.

In addition, it aims to improve performance and productivity and support the national programme to incentivise private sector training for job market readiness.

Also reported in Albilad Daily on 19 August 2023. Read the full story here.

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Saudi Arabia: Ministry Urges Companies to Submit Financial Results Electronically

Okaz, 16 August 2023: Saudi Arabia’s Commerce Ministry has urged companies to prepare and deposit their financial statements electronically via the Quaem platform to avoid violating the provisions of the Companies Law (Saudi Arabia Cabinet Decision No. 678/1443).

The Ministry stated that simple companies, simple joint-stock companies, limited liability companies, partnerships, and simple recommendations must prepare financial statements at the end of each fiscal year in line with the accounting standards approved in the Kingdom.

They should then deposit them within six months of the end of the fiscal year in line with Article 17 of Saudi Arabia Cabinet Decision No. 678/1443 (the new Companies Law).

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Saudi Arabia: Compulsory Health Insurance Eligibility Changes Announced

Arab News, 12 August 2023: Saudi Arabia’s Council of Health Insurance has announced orphans whose parents are not known or whose mothers are not known will qualify for compulsory health insurance now. They will qualify through their foster families.

Their coverage is effective from the issued date of their ID certificate. The certificate will be issued by the Human Resources and Social Development Ministry and will be delivered to the foster parent who is the beneficiary of the coverage.

The coverage will end when male dependents reach 25, female dependents marry or custody ends. It will also end if the Ministry cancels the foster family’s custody of the orphan, the orphan dies or the foster parent’s coverage expires.

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Saudi Arabia: Penalties and Violations Schedule to Labour Law Amended

Gulf News, 11 August 2023: Saudi Arabia’s Human Resources and Social Development Ministry has announced it has amended the schedule of violations and penalties under the Labour Law (Saudi Arabia Cabinet Decision No. 219/1426).

Among other amendments, employers who retain the passports or residency permits of their employees or their family members will be fined 1,000 Riyals. In addition, employers who hire members of staff without the appropriate work permit or without notifying the Ajeer programme will be fined 5,000 Riyals.
An employer who recruits a non-Saudi worker without the requisite work permit or without notifying the Ajeer programme will be fined 10,000 Riyals.

Employers who neglect occupational protection, safety, and health standards approved by the Ministry will be fined between 1,500 and 5,000 Riyals while the firm’s owner or representative will be held accountable for any accidents on the premises.

Entities employing over 50 workers have to provide designated childcare or nursery spaces. If they do not and there are at least 10 children under the age of six in care, they will be fined 5,000 Riyals. Those who hire children under 15 will be fined between 1,000 and 2,000 Riyals. Those who employ women within six weeks post-childbirth will also be fined 1,000 Riyals.

Any employer who commits any form of discrimination against current employees or job applicants will be fined 3,000 Riyals. This includes disparities in work conditions, advertisements, or wages for jobs of equal value between male and female workers.

• Employers who retain passports or residency permits of employees or their family members will be fined 1,000 Riyals.
• Employers who fail to comply with disbursing wages in the official currency through approved bank accounts will be fined 300 Riyals.
• Employers who do not establish an abuse investigative committee or fail to address behavioural violations within stipulated timeframes will be fined 5,000 Riyals.

Fines have to be settled within 60 days of the notification being received. Anyone who fails to comply could have Ministry services suspended.

Also reported in Okaz on 10 August 2023. Read the full story here.

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