DAMMAM, 21 July 2003 — The Higher Court in Riyadh has awarded SR1.35 million to an American expatriate as compensation against a local company in the medical sector.
This is one of the biggest labor settlements on record, according to Abdul Aziz Al-Hoshani, the expatriate’s lawyer.
Al-Hoshani won the case against the local company in the local court, and from there the case was referred to the higher court. He claimed SR1.6 million for the American for pending salaries, housing allowance, vacation leave and air tickets, and legal costs. But the court, after hearing arguments from both the sides, awarded SR1.35 million.
The American, who asked not to be named, no longer works for the medical company and has taken up a job elsewhere in the Kingdom.
The medical company in its defense argued it had experienced financial difficulties and a case was already in progress at the Court of Grievances between the partners of the company, and therefore the suit of the American should be deferred until the judgment of the Court of Grievances.
Al-Hoshani argued the case at the Court of Grievances had no bearing on his case and it should not be delayed.
Al-Hoshani said the defendants had failed to pay salaries to several other employees and also did not meet their other financial obligations, some of whom he intended to represent in a similar compensation suit.
He said he was contemplating another suit for his American client to claim housing allowance and end-of-service benefit.
