Saudi News

Ministry Allow Companies to Cut Salaries by 40%

Ministry of Human Resources and Social Development allowed all the companies in Kingdom of Saudi Arabia to cut the salaries by reducing working hours. Deduction in salaried could be maximum 40% of total salaries for 6 months.
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There are 2 conditions to cute the Salaries.
1 — Only those companies allowed to cut the salaries.
2 — Salaries deduction Should be equivalent to cut in working hours.

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Ministry said companies are not allowed to terminate the employees contract. How over if employer want to resign from his company, he have right to do this.
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Companies are not allowed to make employees to obtain unpaid vocation without his/her consent. And the contract will be considered suspended during this period.
Worker have no right to refuse the rules mentioned in article 41.
1– Employer can give the paid leave for a certain period to his worker.
2 — Deduct the Salaries by 40% according to cut in working hours
3 — Employer can give a unpaid leave to his worker with his consent.