Revolutionary Wage Protection Service Launched for Domestic Labor Salaries
In a groundbreaking move, the Saudi Ministry of Human Resources and Social Development has introduced the Wage Protection Service for domestic labor salaries, commencing on July 1.
Empowering the Domestic Labor Sector
This initiative is part of the ministry’s efforts to enhance the domestic labor sector and safeguard the rights of both employers and domestic workers.
Ensuring Transparency and Security
The service aims to streamline and ensure transparency in salary payments through the utilization of digital wallets and authorized banks on the Musaned platform. By leveraging this service, the safety and reliability of salary transfers are enhanced, ultimately preserving the rights of all contractual parties, as reported by the Saudi Press Agency.
HIGHLIGHT
The service is expected to include all domestic workers by Jan. 1, 2026.
Phased Implementation for Current Contracts
The ministry has outlined that the service will initially apply to domestic workers under new contracts and will be gradually extended to existing contracts based on the number of domestic workers for each employer.
Furthermore, the service is set to be implemented for employers with more than four domestic workers from Jan. 1, 2025, for those with three or more from July 1, 2025, and for those with two or more from Oct. 1, 2025.
It is anticipated that all domestic workers will be encompassed by the service by Jan. 1, 2026. Notably, the service has been available on Musaned since April 1, 2022, with positive reception from customers and contractual parties.
Benefits of Formal Salary Payments
Paying the salaries of domestic workers through designated formal channels offers various advantages for employers. These include providing evidence of wages paid, simplifying termination procedures at the end of a contract or during travel, and safeguarding both the employer and employee in case of disputes.