Minister of Human Resources and Social Development Eng. Ahmed bin Sulaiman Al-Rajhi has issued a decision to raise the minimum wage for Saudis who are registered in "Nitaqat" program from SAR 3,000 to SAR 4,000.
According to the ministry, a Saudi worker with a minimum salary of SAR 4,000 will be calculated as one worker in the Saudization percentage of the Nitaqat program. As for a Saudi employee whose salary is equal to SAR 3,000 is calculated as only half of the Saudization percentage in the Nitaqat program. Meanwhile, if the Saudi employee’s salary is less than SAR 3,000, he will not be calculated in the Saudization percentage of Nitaqat. The Saudi worker whose salary is more than SAR 3,000 and less than SAR 4,000, will be calculated as only half of the Saudization percentage in Nitaqat.
Part-time employees are calculated in the Saudization percentage of Nitaqat program as half of a Saudi worker for the benefit of the entity that he works for if social insurance contributions are paid with a minimum monthly wage of SAR 3,000, and that it is not calculated in the percentage of Saudization with more than two entities. Flexible work system employees are also calculated in the Saudization percentage of Nitaqat program as one-third of a Saudi worker for the entity he works for, provided that he completes a total of 168 working hours in addition to paying social insurance contributions, taking into account the ministerial decisions regarding flexible work.
The decision includes Saudi students residing in the Kingdom of Saudi Arabia who regularly work part-time, permanent part-time workers and flexible work system employees.
Last Modified Date: 24/11/2020 - 7:06 AM Saudi Arabia Time
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