Lebor force

PAM revises worker recruitment rules, introduces 3-year transfer policy

In a recent meeting chaired by Sheikh Fahd Al-Yousef, the Deputy Prime Minister, Minister of Defense, and Acting Minister of Interior, the Board of Directors of the Public Authority for Manpower approved significant changes to the process of granting work permits and transferring foreign workers brought into the country. Effective from June 1, the decision aims to tackle labor shortages, cut costs, and improve the business environment.

According to the new mechanism, employers can now bring in workers from abroad without the previous requirement of transferring workers from within the country. This adjustment is intended to alleviate the increasing costs and wages related to labor shortages and foster a more favorable business climate. Previously, businesses had to obtain specific permits from abroad and carry out internal labor transfers, leading to higher labor prices and wages, which ultimately burdened consumers. Additionally, the Board introduced an extra fee of 150 dinars for issuing a work permit for the first time and a fee of 300 dinars for transferring a worker between companies after three years, subject to employer approval.

The decision aims to curb residency trading, simplify commercial activities for employers, and decrease labor costs and wages, thus resulting in reduced prices in sectors like construction and contracting. Overall, these measures seek to improve employment stability and stimulate economic growth in the country.

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