Saudi Arabia: Foreign workers can change sponsorship without paying outstanding due

Ministry allowed job transfer of foreign workers in all private sector establishments

Jeddah: As part of ongoing sweeping reforms in foreign employee rules, Saudi Arabia on Wednesday announced a major development that a foreign worker can change the sponsorship without paying outstanding government iqama fee.

According to a newly introduced measure, a new employer is not to bear the outstanding government fees of foreign workers who are transferring their sponsorship under them. Now onwards, the new sponsor is required to pay the government fee effective from the date of the transfer of service of the worker.

The official news agency SPA, has informed by quoting the ministry of Human Resources and Social Development (MHRSD) that the new measure is the second phase of the amended mechanism for the job transfer of foreign workers.

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Under the second phase, the ministry allowed job transfer of foreign workers in all private sector establishments whereas, in the first phase, the ministry permitted the transfer of workers between individuals only.

The ministry has enabled the option in Qiwa platform in order to ease the switch over of a foreign worker to a new employer, whose iqama fee is outstanding.

Under the previous mechanism, the employers who are seeking the transfer of service of workers, had to bear the outstanding fees for work permits, other charges and including fines for the delay in the renewal of iqama. Thus, most expatriates including a significant number of Indian workers were facing an uphill task to clear the outstanding amount on behalf of their former employers.

Saudi Arabia has brought a slew of reform measures in the employment sector to protect rights of workers and as well as employers.

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