Home ›› 15 Mar 2021 ›› World Biz
Saudi Arabia has ushered in a new era with historic labour reforms offering greater freedom to millions of migrant and expatriate workers taking effect on Sunday.
Under changes to the kafala sponsorship system, foreign workers in the private sector will have improved job mobility, and be able to change jobs and leave the country without employers’ consent.
The dramatic overhaul — part of the Kingdom’s efforts to build an attractive jobs market — also will allow expat workers to apply directly for government services, with their employment contracts documented digitally.
As many as 10 million migrant workers are expected to benefit from changes under the Kingdom’s Labor Reform Initiative (LRI), intended to foster “a competitive and fair working environment.”
The initiative will help foreign workers acquire residency status that is not tied to a specific employer, and will allow job mobility as well as exit and re-entry visas while protecting the rights of both employee and employer.
Expat workers have greeted the reform package enthusiastically, saying it offers them greater choice and support in employment.
“This is one of the best things to have happened since I came to work in Saudi,” Imroz Abdulrahman, an Indian expat who has been living in the Kingdom for five years, told Arab News.
“I remember four years ago, when I wanted to leave my former employer and go to work for another family, the process was very complicated and difficult for everyone involved. The problems took months to resolve.”
He added: “This is a great development and will help a lot of people. I am happy to have more control over where I can work and knowing that people like me will have more support in future.”
However, Abdulghani Al-Ansari, chairman of information technology firm Bayt Al-Edarah, said that the labour reforms are a “big challenge” for private sector SMEs (small and medium-sized enterprises), adding that the government sector is leading the overhaul as part of the Vision 2030 objectives.
(Arab News)