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Delay in salary, ESB payment: Pvt. establishments face fine
Published in The Saudi Gazette on 03 - 08 - 2019


Okaz/Saudi Gazette
JEDDAH — The Ministry of Labor and Social Development will levy a fine of SR 3,000 per staff member on any private establishment for not paying its employees monthly salaries on time.
Sources in the ministry said the establishment will be fined SR10,000 for each employee in case end of service benefits (ESB) is delayed by a maximum period of two weeks.
Sources said private establishments will also be fined if they pay their workers in currencies other than Saudi riyals or withhold the worker's salary or part of it without any legal justification.
The ministry will also fine any private establishment a sum of SR25,000 if it fails to allocate special work places for women and SR20,000 if they did not provide enough security guards.
A establishment will be fined SR15,000 if it employs less than two women in each shift and the same amount if the establishment does not have emergency exits and rescue equipment including fire extinguishers.
The ministry warned that heavy fines will be applied on establishments which employ workers without written and documented work contract, if they make their staff work for more than eight hours a day or refuse to give them their weekly off days or annual vacations.
According to Article 90 of the Labor Law, the payment of the worker ́s wages shall be in Saudi Arabia's official currency. When it is necessary, and upon a proposal by the Ministry of Labor, the Council of the Ministers may set a minimum wage according to Article 89 of the Labor Law. According to Article 90 of the Labor Law, the wages shall be paid during working hours and at the workplace or, with the consent of the worker, through accredited banks in the Kingdom.


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