Saudi Arabia’s Ministry of Human Resources and Social Development (MHRSD) has announced the launch of a compulsory “Wage Protection Service” for domestic workers’ salaries, effective July 1, 2024.
Key Information
- This service aims to ensure transparency in the salary payment process and facilitate it by using digital wallets and accredited banks through the Musaned platform.
- This service enhances security and reliability in salary transfers, thus safeguarding the rights of contractual parties.
- Implementation of this service will begin on July 1, 2024 for new domestic workers under new contracts.
- For existing contracts, the application will be gradual based on the number of domestic workers each employer has.
- For employers of more than four domestic workers, the service will apply from January 1, 2025.
- For those with three or more domestic workers it will apply from July 1, 2025.
- For employers with two or more domestic workers, the service will apply form October 1, 2025.
- The service is expected to include all domestic workers by January 1, 2026.
The wages protection service for domestic workers has been optionally available through the Musaned platform since April 1, 2022, but will only now become compulsory.
Erickson Insights & Analysis
Erickson Immigration Group will continue to monitor developments and share updates as more news is available. Please contact your employer or EIG attorney if you have questions about anything we’re reporting above or case-specific questions.