Amendments to the Labour Laws in Saudi Arabia

Overview

The main legislation governing employment in Saudi Arabia is Saudi Arabia Royal Decree No. M51/1426 Approving the Labour Law (Saudi Arabia Cabinet Decision No. 219/1426 On the Approval of the Labour Law) (which entered into force on 26 April 2006), Saudi Arabia Ministerial Decision No. 70273/1440 On the Approval of the Implementing Regulation of the Labour Law and other Ministerial Decisions and Resolutions issued by the Minister of the Ministry of Human Resources and Social Development (MHRSD).

On 6 August 2024, the Saudi Council of Ministers issued Saudi Arabia Cabinet Decision No. 117/1446 On the Approval of the Amendment of Some Provisions of the Labour Law and approved amendments to Saudi Arabia Royal Decree No. M51/1426 (Saudi Arabia Cabinet Decision No. 219/1426). Saudi Arabia Cabinet Decision No. 117/1446 was officially published in the official gazette on 23 August 2024 and is expected to come into force 180 days after publication, specifically on 19 February 2025. The amendments include alternations to 38 articles, removal of seven articles and the addition of two new articles, which aim to enhance worker protection, clarify employer cost burdens and specify the responsibilities of the MHRSD.

Definitions