Saudi Labour Law, Royal Decree M/51
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Saudi Arabia Labour Law — Employer Essentials
Saudi Labour Law, Royal Decree M/51. Key employer obligations under Saudi Labour Law for SMEs — contracts, wages, leave, and termination.

Part of: KSA HR Compliance Guide
· by ArcHR Compliance Team
By Swajan
What is Saudi Labour Law for private-sector employers?
Saudi Labour Law governs employment contracts, working hours, leave, termination, and end-of-service awards. Contracts must be documented in Qiwa. Wage protection via Mudad is enforced alongside GOSI and Saudization rules.
What are core KSA employer compliance obligations?
Maintain Qiwa contracts for all employees. Pay wages on time through approved channels. Follow termination procedures and document disciplinary processes.
What are common KSA compliance mistakes?
KSA SMEs frequently miss GOSI registration for new joiners, file Mudad late, or under-report Saudization. Maintain iqama expiry calendars and align Qiwa contract data with payroll each month.
How does ArcHR help KSA employers?
ArcHR supports GOSI calculations, Mudad-ready payroll exports, Nitaqat headcount views, and document expiry alerts for iqama and contracts.
Related tools
Frequently asked questions
Are Qiwa contracts mandatory?
Standard employment contracts must be registered in Qiwa for covered employees.
Where to start compliance?
Register establishment, GOSI, Mudad, and maintain accurate headcount data.
Does labour law cover remote workers?
KSA Labour Law applies to employment relationships in KSA — verify contract jurisdiction.
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