Jul 16, 2015 2 min read

Saudi Arabia’s Ministry of Labor introduces new regulations for telecommuter programs

The Ministry of Labor for the Kingdom of Saudi Arabia has issued a Ministerial Decree No. 792 dated December 14, 2014 and effective from February 20, 2015, which establishes procedural requirements for the companies that wish to employ telecommuters or teleworkers. The key requirements for the telecommuter programs under this decree are the following:

  1. Qualified telecommuters can perform their duties outside the offices of the employer.
  2. All provisions of the Saudi Arabia Labor Law apply to the telecommuters. However, the employment contracts of the telecommuters must include the following information:
    1. The employee’s telecommuter status;
    2. Place of work;
    3. Job duties and working hours; including, start and end time of the working hours.
  3. The tasks and duties assigned to the telecommuters can be performed remotely.
  4. The employer is responsible for all the direct costs related to the employment of the telecommuters, including the cost of equipment, telecommunications, internet, etc.
  5. Only telecommuters who have been registered with GOSI will count towards the company’s Saudization targets under the Nitaqat program. Part-time telecommuters must be registered as part-time employees with GOSI.
  6. Only female or disabled telecommuters will be counted towards the Saudization target under the Nitaqat program.
  7. The proportion of the telecommuters (based on the company’s Nitaqat category) is limited to the following percentages of the company’s total Saudi national workforces:
    1. Platinum – 30%
    2. Green – 20%
    3. Yellow & Red – 10%


Most viewed posts

View all posts

Lebanon – Transportation Allowance Modification

On 12 August 2022, the President of the Republic of Lebanon signed Decree 9849 which modified the daily transportation allowance as per below: Each day of actual attendance at the work premises will be remunerated at a rate of 95,000 LBP for pri

Sep 1, 2022 1 min read

Client success story: International SOS

International SOS achieved sustainable global payroll process optimization through transitioning away from a legacy provider down to a single payroll management system

Aug 1, 2022 3 min read

Client success story: Kratos

Global payroll solution that complies with US Government contracting requirements

Jul 18, 2022 3 min read

Payroll Technology Firm Mercans Appoints Andre Voolaid to its Board

Andre’s appointment to the board demonstrates Mercans’ vision of becoming the global payroll technology leader.

Jul 18, 2022 2 min read

Pakistan Payroll Outsourcing Alert

Pakistan– Amends Personal Income Tax Rates for 2022-2023 Tax Year. On 30 June 2022, the President of Pakistan enacted the Finance Act of 2022. The Act provides for changes to the personal income tax rates

Jul 18, 2022 1 min read

Bahrain Payroll Outsourcing Alert

The employer contribution to social insurance for Bahraini nationals is increased by 2%, bringing the total contribution to 17%.

Jul 12, 2022 1 min read