• Al-Marzouq: The Labor Law allows for additional provisions for workers' contracts that to provide "worker's interest"

    07/08/2018

    Asharqia Chamber held a workshop on Tuesday (7 August 2018) on "Labor Culture", which presented the reality of labor relations as contained in the Saudi labor system. The workshop dealt with several topics such as employment contract, holidays, wages, end of service benefits, etc.

     

    The Director of the Department of Customer Service and Labor Relations at the Labor and Social Development Bureau in Al-Qatif Governorate, Ibrahim bin Ali Al-Marzouq, confirmed that the Saudi Labor Law allows for the addition of other provisions in workers' contracts if they support the employee's interest in accordance with the system.

    Al-Marzouq said that the contract is the formula that is concluded between the worker and the employer to complete a work, in return for an agreed wage between them.

    He explained that the contract is present even if it is not written, and both parties are entitled to write the contract at any time.

    The contract should be provided in two copies that issued to each party, and that the period should be specific for non-Saudi. If not specified, the work permit must be the duration of the contract.

    There were general rights that should be available in the contract of employment, including the following: "It is not permissible to assign a worker to work that is fundamentally different from the work agreed upon without his written consent, except in cases of necessity and for a period not exceeding 30 days per year. The employer shall bear the costs of the transfer and residence of the worker during that period."

     

    In the case of indefinite contracts, the other party must be notified of the termination of the contract by notice as specified in the contract, not less than 60 days if the worker's wage is paid monthly, and not less than 30 days for others.

    If the employer wishes to terminate the employment contract, the worker may be absent during the notice period a full day in the week (or eight hours per week) in order to search for another job with the entitlement to pay for the day or hours of absence.

     

    Upon renewing the contract of employment, he said that the contract would expire on the specified period, and if the two parties continue to implement it, it is considered indefinite contract.

    The contract is renewed automatically if it includes a condition for renewal. If the contract is extended three consecutive times or the original contract period reaches 4 years and the parties continue to execute it, the contract will be converted into an indefinite contract.

     

    On the issue of terminating the contract, Al-Marzouq said that this is done if the parties agree to terminate it (written approval by the worker), or the period specified in the contract ends, and the worker reaches retirement age (60 for men and 55 for women) unless both parties agree on continuance of working after this age.

    The contract should also terminate if the establishment is closed permanently, or the activity in which the worker is employed has ended, and the parties have not agreed to continue to work, in the event of very urgent circumstances.

     

    He suggested that the worker is entitled to leave work without notice, while retaining all statutory rights in certain cases provided for in article 81 of the Labor Code, such as if the employer fails to fulfill his contractual, statutory and substantive obligations to the worker, or if it is proved that the employer or his representative has entered the fraud at the time of the contract with respect to the terms and conditions of the work, or if the employer has commissioned him without his consent a work that is fundamentally different from the agreed work.

    He noted that the worker should have the opportunity to break the contract without remuneration in order to show reasons for his opposition to dissolution.

     

    He said that if the worker was terminated because of the resignation, the worker would be entitled to a full service termination indemnity if the period of his service was 10 years and above, while he was not entitled to it if the period was within 2 years. A third of the benefit is payable if he has spent 5 years, and two thirds of the remuneration if the period has reached 10 years.

     

    In addition, Al-Marzouq talked about the duties of the employee towards the employer as the most prominent are performance and mastery of work, obedience to the superiors, respect for laws and regulations, not disclosing the secrets of the job, and maintaining working times, public property and the public interest.

     

    About official leave, he said that a worker has annual leave with a full wage of no less than 21 days, and up to 30 days if the worker has spent 5 consecutive years in the service of the employer, in addition to Eid al-Fitr and Eid al-Adha (at least four days), and the National Day holiday. And if it falls within the holiday of one of the two Eid holidays, it is not compensated for.

    The worker shall also be entitled to full-time leave in the event of a new born, 5 days in the event of marriage, and the same in the case of the death of a spouse or any of his assets or branches.

    He confirmed the worker's right to receive wages for the days of leave due if he leaves the work prior to his enjoyment, and the worker may not work with another employer during the said leave period.

     

    On the leave of workingwomen, he said she had a 10-week maternity leave to be distributed as she wished, starting a maximum of 4 weeks before her due date, and have the right to extend the month without pay.

    If she has a sick child or a person with special needs and requires his/her condition to accompany her, she is entitled to a month's leave at full pay starting after the maternity leave and has the right to extend her leave for another month without pay.

    She also has the right for a leave in case of the death of a spouse for 4 months and 10 days full wage, and has the right to extend if pregnant to bear pregnancy, for Muslim. The non-Muslim workingwoman whose husband dies has the right for a leave with full pay for 15 days.

     

    At the end, he talked about the types of wages: monthly, daily or piece.​

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