Expatriates can Transfer their Sponsorship without any Condition during Covid-19 Crisis

Kingdom of Saudi Arabia has taken bold steps in terms of its development, allies, and laws to implement Saudi Vision 2030. The main aim was to shift their dependence from oil, however, they took significant steps to remove their reliance from Saudi expats as well. Sharp blows were made on the Saudi Expatriates working in the kingdom in the previous years.

Be it the increasing taxes on permits to completely excluding expatriates from majority posts and sectors. The working condition for the Saudi Expatriates has decreased a lot over some time. But with coronavirus spread across the world, 2020 might be the year of expatriates with the different decisions Saudi Arabia is entitled to take.

Firstly they announced they wouldn’t be increasing the Saudi Iqama fee for the coming year. However, what new they stored in the box is explained below. So scroll and read all about it in the article below.

Saudi Expatriates can Change their Sponsorship to any other Private Co.

The Ministry of Human Resource and Social Development has announced that Saudi Expatriates workers sponsorship can be transferred easily between private companies by taking action online. According to local newspaper, the Ministry of Human Resource and Social Development has introduced a system in Saudi Arabia called the Aadhaar system, under which a business organization is authorized to provide its workers to another business entity.

Why has the Ministry taken this Action?

The Ministry of Human Resource and Social Development has taken this action as a solution to the problems of private companies and Saudi expat workers in view of the current crisis situation due to Covid-19.

How this Law will help Expatriates in the Kingdom?

According to the various studies, Saudi expat workers in the Saudi labor market are excessive, while many private companies need their services. So with this new action of the Ministry the organizations can trade its workers by taking action online also known as mercenary for the needs of the parties.

How will this Trade be Monitored?

The transfer of Saudi expat workers between two parties or transfer to another business entity will be done under a Ajeer system to monitor the situation.

How will this Process Benefit the Organizations?

The Ministry of Human Resource and Social Development has pointed out that this process will reduce the financial pressure on the affected commercial enterprises in terms of obtaining manpower. Further different organizations in need will be able to benefit from the services of foreign workers in the state.

Will the Organizations need to go to the Ministry?

No, the Ministry of Human Resource and Social Development has pointed out that under the new system, the process of transfer sponsorship of Saudi expat workers to another organization will be online so that no organization will have to go visit the branch of ministry.

What rule is changed in the system to approve the Transfer of Sponsorship?

The Ministry has also lifted few of the terms of system to make the new process feasible. The various conditions including are,

  • The business of the two trading companies should be the same.
  • The cash system which was strict before.
  • No company can get more than 20% of its employees.

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