Saudi Arabia Introduces Major Changes to Labor Laws

Starting this month, Saudi Arabia has extended maternity leave for working women from 10 to 12 weeks as part of sweeping reforms aimed at safeguarding contractual rights and enhancing the work environment.

According to the Ministry of Human Resources, the new amendments include:

• Five-day paid leave for employees in the event of a spouse’s death to strengthen family bonds.
• Five-day paid leave upon marriage to encourage family stability.
• A 30-day notice period for employees wishing to terminate contracts of indefinite duration, compared to a 60-day notice required from employers.
• All work during public holidays and Eid festivals will now be considered overtime, ensuring proper compensation.
• Trial employment periods are capped at a maximum of 180 days.

The reforms also emphasize non-discrimination, prohibiting bias in employment based on race, color, gender, disability, or social status, and reinforcing the principles of justice and equality in the workplace.

Additionally, the amendments introduce penalties for employing workers without proper licensing, aiming to better regulate the labor market.

These changes follow the 2020 labor reforms, which notably improved the sponsorship system, granting job mobility and allowing expatriate workers to obtain exit and re-entry visas without employer approval.