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The Employer Law in Al Madinah, as in all of Saudi Arabia, is highly influenced by Saudi Labour Law, International Labour Standards and Sharia principles. It lays out the rights, obligations, and relations between the employer and employee, including aspects such as hiring, firing, contracts, salaries, hours of work, leave entitlements, and protection against discrimination. To support the Vision 2030 of Saudi Arabia, several reforms have been implemented aiming to facilitate business practices and ensure rights of employees.
An array of situations might warrant the need for legal counsel. This can include forming or interpreting contracts, if you're accused of violating labour standards, need help with dispute resolution, or if you're facing legal action from an employee. Employers may also need legal help in navigating the complexities of compliance with Saudi labour regulations or dealing with issues like wrongful termination or workplace safety.
Employer laws in Al Madinah follows Saudi Arabia's Labor Law. The law protects employees from discriminatory practices based on sex, disability, race, or religion. It regulates hours of work, the minimum working age, employment contracts, and dispute resolution procedures. It also addresses the equal treatment of male and female employees, end of service benefits and issues related to expatriate workers. Furthermore, employers are required to adhere to safety standards and provide necessary training. Non-compliance can result in fines, penalties, or legal action.
As an employer, you're obligated to pay your employees on time, follow the maximum working hours, provide vacation time, protect your employees from physical harm, and treat them fairly without any discrimination.
You can terminate the employee's contract but only after going through proper procedures such as issuing warnings, providing a grace period to improve, and ensuring the termination isn't discriminatory.
The expatriate hiring is regulated by the Saudi Arabian General Investment Authority (SAGIA). Employers need to apply for a work visa and residence permit (Iqama) and ensure that the worker has the necessary qualifications and experiences required for the job.
As per the Saudi Labor Law, the maximum working hours are eight hours per day or 48 hours per week. During Ramadan, the working hours are reduced to six hours per day or thirty six hours per week.
The Labour Law provides for a dispute settlement through the Ministry of Labour first. If not resolved, the matter goes to the Preliminary Commission for Settlement of Labour Disputes, and then possibly to the High Commission for Settlement of Labour Disputes.
The Ministry of Human Resource and Social Development (MHRSD) provides resources on various topics related to labor law. The Saudi Arabian General Investment Authority (SAGIA), Saudi Labor Union Federation (SLUF), and the International Labor Organization (ILO) are also helpful resources. It's recommended to familiarize oneself with their provisions and guidelines.
If you find yourself needing legal assistance, consider seeking a lawyer specializing in labor law in Al Madinah or Saudi Arabia. It's often beneficial to prepare all relevant documents regarding your case beforehand, such as contracts, correspondences, and evidence of any issues or disputes. This preparation will allow your lawyer to quickly understand your situation and offer effective advice.
