SAUDI ARABIA— Employers who delay the salaries of their employees, or who fail to pay contracted amounts, will have to pay SR3,000 for every offense, the Saudi Ministry of Labor announced.
The fines will be implemented if the ministrys Wage Protection System (WPS) indicates a delay or violation, or if a complaint is lodged at an office of the ministry, according to a report in a local publication recently, according to a report published by Arab News on October 23.
The WPS became in June 2013 compulsory for companies with over 3,000 employees, September 2013 for companies with over 2,000 employees, December 2013 for companies with over 1,000 employees, and November 2014 for companies with over 500 employees.
In February 2015 it became compulsory for companies with over 320 employees, April for companies with over 240 employees, June for companies with over 170 employees, and August for companies with over 130 employees.
The system was initially launched to protect the rights of workers and ensure salaries are paid on time, according to signed contracts.