Online documentation of labor contracts becomes mandatory in Saudi Arabia

Minister of Labor and Social Development Ahmed Al-Rajhi has approved a program for online documentation of labor contracts. 

This will enable employers in the private sector to submit electronically contracts of their employees to the ministry as well as to update information contained in the contracts submitted earlier.

It also provides employees with an opportunity to verify the accuracy of their data through the contract documentation service on the electronic services portal of the General Organization for Social Insurance (GOSI), the Saudi Press Agency reported.

According to the minister’s decision, it is mandatory for owners of companies and establishments to document electronically any new contracts signed with workers.

As for the contracts signed earlier, they can be documented in phases set by the ministry on a time-bound basis in accordance with the size of the firms and the number of employees.

The decision is expected to contribute to safeguard the rights of enterprises and their employees, in addition to facilitating the archiving of contracts and reducing disputes.