1,441 firms shut for not complying with salary protection program

1,441 firms shut for not complying with salary protection program
Updated 27 October 2015

1,441 firms shut for not complying with salary protection program

1,441 firms shut for not complying with salary protection program

RIYADH: The Ministry of Labour (MoL) has shut down 1,441 firms due to their failure to safeguard workers' wages, according to a ministry report released in the capital recently.
The report said that 48 percent of the total establishments did not comply with the ministry program concerning the Wages Protection Scheme. The ministry also shut down the computer services of the 89 establishments for their lack of response in terms of the resolution of complaints made by employees under the protection and welfare program for migrant workers.
According to the report, the MoL has settled nearly 675 cases of disputes, while 121,000 cases are currently pending within the preliminary courts for settlement. This marks an increase of 91 percent in the total number of cases in comparison to the previous year.
As for the private sector, the report said that 530,000 cases have been registered, including 6,329 by female workers. There are also more than 228,000 runaway cases inside the country, and 296,000 abroad.
The MoL report was based on its financial report in 2014 and 2015, which found that the ministry witnessed an increase in the number of Saudi employees in the private sector to 347,000, of whom 322,000 had only recently found new employment.
The report said the number of males was higher than the number of females in the new workforce, representing 59 percent and 41 percent, respectively.
With regard to the Nitaqat program, the report revealed the compliance of more than 1.2 million firms with the MoL regulation, qualifying them to advance into the green and platinum categories in terms of the Saudization of jobs across the country.
But the same report noted that 612,000 companies had failed to hire the required number of Saudis in their establishments, which pushed them into the red and yellow categories, which are very negative.
However, the report indicates a rise in the number of Saudi women in the workforce by 11,236, representing a three percent increase from the previous year.
Overall, the report note that these increases have contributed to the increase of business activities in wholesale, retail, social services trades, financial sectors, insurance and real estate, manufacturing industries, in addition to mining and oil extraction sectors.


Saudi funding for training exceeds job seeker payouts for first time since 2011

Updated 3 min 50 sec ago

Saudi funding for training exceeds job seeker payouts for first time since 2011

Saudi funding for training exceeds  job seeker payouts for first time  since 2011

JEDDAH: Saudi funding for employment and training programs in November exceeded job seekers’ payment support for the first time since 2011.
Last month, a total of SR249 million ($66 million) was spent on employment and training compared to SR215 million through the Hafiz program.

FASTFACT

$66m

Last month, a total of SR249 million ($66 million) was spent on employment and training compared to SR215 million through the Hafiz program.

According to figures released on Wednesday by the Saudi Human Resources Development Fund (Hadaf), more than SR488 million was deposited by the fund into the bank accounts of 319,000 beneficiaries and SR473 million was pumped into the Hafiz program during November of last year.
Officials said the success of the Hafiz scheme had helped to reduce the number of beneficiaries of the program. At the start of the year, Hadaf implemented a strategic partnership with the Kingdom’s private sector while also developing and improving support initiatives and introducing quality programs to meet the needs of the labor market.