Posted by : Aahil Shaik Sunday, August 6, 2023

Companies and Employers must adhere to Wage Protection Program - MHRSD

The Ministry of Human Resources and Social Development highlighted the need for companies to strictly abide by the Wage Protection Program's (WPP) rules and submit the wage files of their workers on a monthly basis via the "Madad platform" in order to avoid being subject to the system's specified fines. Subscribe to Saudi Expatriates Channel on YouTube

Follow up on the company's commitment to pay the salaries of their workers (Saudis and expatriates) on due dates, the Wage Protection Program seeks to reduce disputes and ensure a desirable work environment in the private sector.

- The HR Ministry implemented the program's last stages in the Year 2020 for companies whose employment ranges from 1 to 5 workers after it started. By implementing the Wage Protection Program to big businesses with 3,000 workers or more when it was first implemented. Trending : Ministry of Health recommends not to drive more than this much hours in a week

- Employers can become aware of the program's requirements and follow them in accordance with the steps outlined on the Ministry's website or through the Madad platform.

What is Wage Protection Program (WPP) or Wage Protection System (WPS) :

The Ministry of Human Resources and Social Development (MHRSD) and the Saudi Central Bank (SAMA) introduced the Wage Protection in the Year 2013 for large companies with 3000 or more workers in the Kingdom of Saudi Arabia and reached to small companies with 1 to 5 workers. Most Viewed : Cost of transferring domestic worker services form one employer to other

- The aim of the Wage Protection Program is to ensure that private sector workers (Saudis and Expatriates) are correctly paid their salaries from employers as per their contract and to track all the wages on the private companies.

- Those companies who failed to pay the salaries of their employees continuously for 3 months will be penalized, by suspending services to the company, financial fine of 3,000 riyals per each worker salary delay, allowing their workers to transfer jobs without consent of the current employer. See Also : Jawazat clarifies on whether it is possible to transfer sponsorship after final exit visa issued

Companies and Employers must adhere to Wage Protection Program - MHRSD -

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