Saudi Arabia makes changes to labor law

Saudi Arabia has announced labor law amendments, aimed at creating a more attractive work environment and contributing to sustainable development in line with the objectives of Saudi Vision 2030.

The Ministry of Human Resources and Social Development of Saudi Arabia announced that changes involve revising 38 articles, deleting seven, and adding two new articles to the Labor Law. These amendments align with the Saudi employment market strategy and international agreements ratified by the Kingdom. The new regulations will take effect 180 days after their publication in the official Gazette.

The amendments are designed to enhance the labor market in Saudi Arabia by improving job stability, protecting the rights of all parties in the contractual relationship, developing human resources, enhancing training opportunities for workers, and increasing job opportunities for Saudi citizens.

The ministry highlighted the amendments were the result of an extensive study comparing labor laws from various countries and examining global best practices. Over 1,300 participants provided feedback on the proposed changes through the Istitlaa survey platform, operated by the National Competitiveness Center. Additionally, private sector establishments, relevant government agencies, labor committees, and human resources specialists were consulted through workshops and meetings.

These amendments aim to support the labor market, production, and service sectors by providing a suitable legislative environment and supporting small and medium enterprises.

For more detailed information about the amendments to the Labor Law articles, the ministry has directed interested parties to its official website.