Thousands of workers and firms benefit from Labor Reform Initiative.

The ministry has documented 3,610,880 electronic contracts for about 152,810 establishments since the launch of the electronic contract documentation program
The ministry has documented 3,610,880 electronic contracts for about 152,810 establishments since the launch of the electronic contract documentation program.

Riyadh — The Ministry of Human Resources and Social Development announced that as many as 51,730 foreign workers and 29,175 establishments have benefited from the ministry’s Labor Reform Initiative (LRI) during a period of fewer than six months.

The initiative, which applies to all expatriate workers in private sector establishments, came into force on March 14, intending to improve the contractual relationship between employers and employees.

The LRI provides several services, including job transfer (transfer to another employer), exit/re-entry, and final exit available via Absher and Qiwa platforms. The initiative seeks to increase the labor market’s flexibility, effectiveness, and competitiveness in line with the best international practices.

The ministry has documented 3,610,880 electronic contracts for about 152,810 establishments since the launch of the electronic contract documentation program, which contributed to preserving the rights of establishments and their employees and reducing labor disputes and issues.

This document also covers several benefits, most notably compensation for the employer to meet the expenses for hiring an alternative domestic worker and compensation to the worker in the event of his permanent or partial disability.

The ministry approved the Wage Protection Program for domestic workers through the Musaned platform to monitor the wage disbursement process by obligating the employer to transfer wages of domestic workers through several digital and electronic channels.

The ministry has activated the Business Establishment Support Program through the Qiwa platform, where more than 53,000 establishments have benefited from it. 

Also, the ministry has launched a professional verification program that aims to obligate professional expatriate workers to obtain a professional verification certificate by sitting for practical and theoretical tests within the Kingdom and abroad.

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