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ARTICLE · 20 OCTOBER 2015

Saudi Arabia Labor Law Amendments

Under Saudi Arabian law, the employment relationship between employer and employee is governed comprehensively by the Labor and Workmen's Law (the Labor Law).

Saudi ArabiaEmployment and HR

Amendments to the Saudi Arabian Labor and Workmen's Law – Summary of Key Changes

Under Saudi Arabian law, the employment relationship between employer and employee is governed comprehensively by the Labor and Workmen's Law (the Labor Law).

In early 2015, the Saudi Arabian Ministry of Labor announced an overhaul of the Labor Law that would include 38 amendments (the Amendments) to its statutory provisions. The Amendments were approved by HRH King Salman by Royal Decree no. D/46 dated 5/6/1436H., corresponding to 25/3/2015G. and comes into force on 18 October 2015 when they will be published in the Umm Al-Qura, the Saudi Arabian Official Gazette.

As a whole, the Amendments purport to boost Saudization and increase workers' rights in general, while a small number of provisions fall in favor of employers. The below description summarizes 10 noteworthy changes to the Labor Law out of the 38 total Amendments.

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