SAUDI EXPATRIATES

According to the new rules, large HR companies are unable to obtain a 10-year license without providing SR10 million down as a bank guarantee while maintaining SR100 million in paid-up capital.

For a five-year license, medium-sized companies are required to have SR50 million in paid-up capital and a bank guarantee of SR5 million. While small recruiting firms must have a paid-up capital of SR5 million and have a bank guarantee of SR2 million.

If a recruiting agency wants to switch to one of these types, they have two years of grace period to do it.

Licensing firms are required to be joint-stock corporations with capital owned entirely by Saudi citizens under the proposed laws. Alternatively, licenses can be issued to international investors that fulfill the Saudi Companies Law's standards for minimum capital and foreign investment. Most Viewed: New regulations regarding Iqama renewal and extending re-entry visa

According to the rules, the government can mandate that businesses have certain insurance policies that address the risks associated with technical, labor, or professional errors, depending on the company's size, industry, and activities. There must be at least six months left on an insurance policy for a business to continue operations.

There are a number of reasons why the ministry can ask for a higher bank guarantee, including changes in the market, more visa requests, more complaints, or longer delays in hiring or contract completion.

In addition, businesses must reveal the total cost of recruiting new staff, publish the names and contact information of those employees authorized to communicate with Saudi embassies overseas, and publish all service rates on a website recognized by the ministry.

Licensees are required to hire people who are fluent in the languages of the people they hire, according to the new regulations. Saudi Expatriates on Pinterest

Saudi Arabia proposes new stricter rules for labor recruitment companies