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MLSD implements WPS on firms with over 60 worker

Publication date: 21 September 2022 - 25 Safar 1444
"العمل والتنمية الاجتماعية" تبدأ غداً بتطبيق "حماية الأجور" إلزاميًا على المنشآت التي تزيد عمالتها على 60 عاملًا

 

The Ministry of Labor and Social Development (MLSD) is implementing the 11th phase of the Wage Protection System (WPS) on establishments whose workers range between 60 and 79 starting from August.

 

Under this phase, a total of 7,021 establishments will have to upload wage files of 481,097 workers according to the ministry’s statistics.

 

MLSD spokesman Khaled Abalkhail said the ministry is keen to to implement the WPS on all private firms to ensure wages are paid on time, define wage scales for all occupations and reduce labor issues between employers and workers. He stressed the ministry would not hesitate to enforce the system on every firms as timetables are set forth.

 

According to the sanctions and penalties mentioned in the labor law, if the establishment fails to pay workers’ wages, it will be fined SR3,000, and fines can be increased by the number of workers, said Abalkhail as well.

 

Abalkhail added if the employer fails to upload wage files within two months from the date of enforcement, he would be denied access to the ministry’s services, except for issuance or renewal of work permits.

 

If the establishment is late to upload them for three months, it will deny full access to all the ministry’s services, and the workers can transfer their services to other employers without their former employers’ approval, added the spokesman. The transfer can be processed even if the workers have valid work permits with their former employers.

 

Recently, the ministry unveiled the system as part of the National Transformation Program (NTP) 2020. It aims to create a safe and suitable work environment in the private sector as it will increase transparency and protect the contractual relationships among involved parties, increasing the compliance of small and medium-sized enterprises to the system.

 

The employers can visit the ministry’s website and review upcoming phases of implementing the WPS. They also register with the program in advance as the demo registration will not result in imposing any sanctions on them.

 

For more information, they can download the WPS Guide from the ministry’s portal.

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