SAR 10,000 Fine Set for Hiring Foreign Workers Without Permits

A revised labour violations schedule has introduced a SAR 10,000 fine for employers who hire a foreign worker without a valid work permit, under a decision issued by Labour Minister Ahmed Al Rajhi.

The update, announced by the Ministry of Human Resources and Social Development, forms part of broader regulatory measures aimed at reinforcing labour market oversight and supporting market stability.

The revised framework clarifies penalties across several areas of employment compliance. Hiring a child under the age of 15 in violation of Article 167 is classified as a serious offence, with establishments employing 50 or more workers facing fines of up to SAR 2,000 per case. Retaining a worker’s passport or residency permit carries a SAR 3,000 fine per worker.

Failure to comply with provisions governing juvenile employment under Chapter 10 of the Labour Law is subject to a SAR 1,500 fine per violation. Employers who do not grant statutory maternity leave may face a SAR 1,000 fine per worker. Establishments employing 50 or more women and with at least 10 children under the age of six are required to provide childcare facilities or a nursery; non-compliance results in a SAR 3,000 penalty.

A SAR 1,000 fine per worker applies to employers who fail to electronically document employment contracts. Stronger sanctions target unauthorised recruitment practices. Individuals who employ or recruit Saudi nationals or foreign workers without proper authorisation face a SAR 200,000 fine for a first offence, rising to SAR 220,000 for a second offence and SAR 250,000 for a third offence.