- Saudi Arabia has amended its labour penalties, introducing a SR10,000 fine (approximately KSh 340,000) for employers who hire a non-Saudi worker without a valid work permit
- The decision, issued by Minister of Human Resources and Social Development Ahmed Al-Rajhi, forms part of broader efforts to enhance stability and growth in the Kingdom’s labour market
- Employers who fail to electronically document employment contracts also face fines of SR1,000 per worker
Elijah Ntongai is an experienced editor at TUKO.co.ke, with more than four years in financial, business, and technology research and reporting. His work provides valuable insights into Kenyan, African, and global trends.
Saudi Arabia has introduced updates to its labour law enforcement framework.
Source: Twitter
The new updates include strict penalties for employers who hire foreign workers without proper permits.
The amendments, formalised through a ministerial decree by Ahmed Al-Rajhi, Minister of Human Resources and Social Development, took effect immediately from February 25, 2026, and are aimed at strengthening worker protections while ensuring greater stability across the labour market .
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What are the penalties?
Under the revised schedule, employers face a fine of SR10,000 (approximately KSh 340,000) for hiring a non-Saudi workers who do not hold valid work permits.
The toughest penalties are reserved for unauthorised recruitment activities. Individuals who engage, directly or indirectly, in the employment of Saudis, the recruitment of foreign workers, or subcontracting such activities without proper authorisation face higher fines.
First offenders will be penalised SR200,000 (approximately KSh 6.8 million), rising to SR220,000 (about 7.5 million) for a second offence and SR250,000 (about 8.5 million) for a third violation .
These penalties apply to anyone operating recruitment services without a licence, including those facilitating the placement of foreign workers with Saudi employers through unofficial channels.
What other penalties have been introduced?
The updated penalty schedule covers a wide range of violations beyond unauthorised hiring.
Employers found retaining a worker’s passport or residency permit (iqama) will face a fine of SR3,000 (about KSh 103,000) per worker. The total penalty will be calculated based on the number of affected employees.
This practice has long been flagged by foreign workers, and the new penalty gives regulators clearer enforcement powers.
Additionally, employers who fail to electronically document employment contracts through official platforms face fines of SR1,000 (about KSh 34,000) per worker.
The ministry emphasised that proper documentation is essential for transparency, record-keeping, and enforcement of labour rights.
Source: UGC
What is the impact on Kenyan workers?
For Kenyan workers aspiring to secure employment in Saudi Arabia, the new penalties signal a dual-edged reality.
On one hand, the strict enforcement against unauthorised hiring means that Kenyans who travel to the Kingdom without proper work permits and formal employment contracts face greater risks, as employers will be deterred from engaging workers through irregular channels.
On the other hand, the enhanced protections, including penalties for passport retention, requirements for documented contracts, and maternity leave provisions, offer stronger safeguards for those who secure employment through proper channels.
The requirement for electronic documentation of contracts through official platforms means that Kenyan workers should insist on formal, registered employment agreements before travelling.
Kenyan mother stranded in Saudi Arabia returns home
Earlier, TUKO.co.ke reported that a Kenyan mother and her young daughter who had been living on the streets of Riyadh received long-delayed DNA results that finally cleared the way for their return home.
Karungo Wa Thang’wa, the Kiambu senator, said he met the stranded pair in Saudi Arabia in 2025 and learned that the child, born in Riyadh, had no documentation to enable her to travel to Kenya.
After promising to intervene, he followed up with the Ministry of Foreign Affairs until the results were traced and forwarded to the Kenyan Embassy in Riyadh, which then issued emergency exit papers.
The senator also purchased their air tickets, ensuring they reuniteed with family in Kenya, though he expressed concern that an activist who had championed the plight of distressed Kenyans in Riyadh remains in police custody.
Source: TUKO.co.ke
