Employers ‘refusing’ to correct staff status

Many expatriates here have accused their sponsors of refusing to rectify their status as legal full-time workers.
Some employers have claimed that they are unable to do so because they are in the red zone of the Nitaqat program and also because they have financial problems and cannot hire workers on a permanent basis, say expatriates.
Companies in the red zone are not allowed to hire expatriate workers until they have sufficient number of Saudi staff. Expatriates have until July 3 to correct their status by either going back to their sponsors, seeking other employment or returning to their home countries.
Abdullah Hussein, a Yemeni working for a construction company in Jeddah as a secretary, says his company has refused to rectify his status, claiming that the company is in the red zone. He is currently registered as a student under a different sponsor. "I have a big problem now. I have to find a new sponsor," he said.
Other expatriates do not want to go home. They prefer living and working in Saudi Arabia.
A Sudanese resident who works for a private company said: "I do not want to leave Saudi Arabia. I was born in Jeddah and have spent my whole life in the Kingdom. However, I'm facing difficulties transferring my sponsorship to my employer." Adnan Youssafi, a human resources manager at a major company specializing in the real estate sector, said many companies in the Kingdom want to "dismiss their foreign employees and hire Saudis instead."
This situation has left many expatriates searching desperately for temporary sponsors until they can find sponsors willing to employ them as legal workers. The Saudi government has warned companies that it would penalize them if they hire people without proper documentation. Foreigners also face arrest and deportation if they work for employers other than their registered sponsors. The Ministry of Labor has said that inspectors will be checking companies on a regular basis to see if they comply with current labor laws.
To transfer to a new sponsor, expatriates need a letter from a new sponsor certified by the chamber of commerce and industry, a copy of residency permit (iqama), and passport. They also have to fill in forms at the labor office and pay a fee of SR 2,000.