Saudi Laws Update

MHRSD sets 15-day deadline for transfer of service of expats reported absent from work   Saudi Gazette Report RIYADH —  The Ministry of Human Resources and Social Development stated that the process of transfer of service of foreign workers, who are reported absent from work, shall be completed within 15 days after obtaining the approval from the ministry. In the event of failure of transfer within this timeline, the status of worker will continue to remain as absent from work. The ministry said that this is part of the new updates to the Labor Law regulations with regard to those workers who are reported absent from work by their employers. Employers are allowed to transfer services of such workers to their facilities and the arrears of outstanding fees of these workers will be transferred to the new employer with the condition that the employer agrees to that when transferring the worker’s services to him, according to Saad Al-Hammad, spokesman of the ministry. Speaking to O...

  Saudi Gazette Report RIYADH —  The Ministry of Human Resources and Social Development (MHRSD) confirmed that the non-Saudi wife of a citizen can continue filing an exception request to register with the updated social security system. The clarification came in the view of the expiry of the deadline on Nov. 30, granted by the ministry earlier. The ministry pointed out that the citizen’s wife can file this request by communicating with the relevant call centers, or by going to the nearest social security office. It noted that the eligibility of the beneficiary in the updated social security system will be studied after completing all the required data, and matching that data with other parties, with the announcement of the eligibility result on the 27th of every month. It is noteworthy that the ministry had activated earlier the updated social security system that ensures adequate support to the most needy and deserving Saudi individuals and families. The updated system aims t...

CMA publishes amended draft rules for foreign investment in securities December 14, 2022 RIYADH —   The Capital Market Authority's (CMA's) Board issued its resolution to publish the Amended Draft Rules for Foreign Investment in Securities (Draft Rules) for Public Consultation for a period of thirty (30) calendar days ending on 16/06/1444 AH, corresponding to 09/01/2023 G. The main elements of the Draft Rules represented in developing the qualification conditions and facilitating requirements that must be met by the qualified foreign investors (QFIs), including removing the requirements on application for qualification and QFIs assessment agreement and only requiring the QFI to open an investment account in accordance with the Investment Accounts Instructions. In addition, waiving the requirements of assets under management size for some classes. Also, adding a new channel for foreign investment in the Main Market-listed securities by allowing all foreign natural and legal perso...

  Judicial principle issued on worker absence reports Saudi Gazette Report RIYADH —  The Higher Administrative Court under the Board of Grievances issued a judicial principle stating that recording a notification about absence of an employee from work is neither a reflection of the obligation between the worker and the employer, nor it is part of the obligation. The Board of Grievances is an independent administrative judicial body in the Kingdom. The ruling was issued by the court at the end of the first quarter of the current Hijri year 1444. President of the Board of Grievances and Chairman of the Administrative Judicial Council Sheikh Khalid Al-Youssef has issued a directive to circulate this ruling to the heads of administrative courts and inform it to whoever is necessary. It was stated in the ruling that the notification of absence from work does not deviate from the administrative decisions of the courts affiliated to the Board of Grievances that have the jurisdiction ...