Fines on Private Companies for Salary Delays, Work Hours, Leaves

MOL (Ministry of Labor & Social Development) in Saudi Arabia will fine a private established for not paying Salaries on time. Any delay in Salary for employees working in Private establishments will be levied SR 3000 per member.

Additionally, the ministry added that the private establishment will be levied with a Fine of SR 10,000 for each employee in case of delay in paying End of Service benefits payment by a maximum of period of two weeks.

List of Fines on Private Companies

The Ministry also added that the establishments will be fined if the Salary payment is made in other currency other than Saudi Riyals OR if only part payment of Salary is paid without any legal justification, because as per Article 90 of the Labor Law, the payment of the worker´s wages shall be in Saudi Arabia’s official currency.

Fine of SR 25,000 – If special places is not allocated for women at workplaces.

Fine of SR 20,000 – If women are not provided enough security

Fine of SR 15,000 – If less than two women are employed in each shift and the same amount of fine will be levied if establishment does not have emergency exits and rescue equipment including fire extinguishers.

Ministry also said that heavy fines will be levied on establishments for the following:

• If any employees are employed with a proper contract or documentation
• Asking employees to work on Weekends or annual Vacations
• Asking employees to work more than 8 hours in a day