Labor Ministry fines thousands of firms

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The Ministry of Labor fined more than 74,500 establishments with penalties over SR12.80 million during 2014 so far, for violating labor laws.

According to officials, there were 10,700 violations of article 39 of the labor law (which refers to working for more than one sponsor), while some of the other establishments, over 2,300, were penalized for various environmental violations.

Penalties varied according to the different infringements, with some included the halt of e-services, fines and limiting the issuance of labor permits.

Officials stated that the Ministry of Labor, in cooperation with the police, are conducting a special campaign with commercial establishments to make sure they abide by article 39, as well as implementing penalties against violators.

The ministry’s goal with these fines is to control the implementation of the labor law and increase the safety and health of those working for private companies.

Among the tasks undertaken by the ministry to tackle these labor infractions are drafting laws related to work inspections, organizing workshops to prepare inspectors to carry out their duties and providing them with practical and scientific skills on the field.

Penalties for businesses and companies infringing article 39 start from SR15,000 and could reach a maximum of SR100,000, in addition to prohibiting businessmen from recruiting expatriates for five years.

Establishments that employ expatriates who are breaking the law, or allow their workers to work for other people, or use workers who are sponsored by other establishments, will be fined a minimum of SR25,000 and a maximum of SR100,000.

 
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