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Reminder: The New Amendments to Fixed-Term Contracts for Expatriates via Qiwa Platform

Reminder: The New Amendments to Fixed-Term Contracts for Expatriates via Qiwa Platform

In alignment with Saudi Arabia’s ongoing labor reforms and Vision 2030 goals, the Ministry of Human Resources and Social Development (MHRSD) has implemented a critical update to the Qiwa platform concerning fixed-term contracts for non-Saudi employees.

These changes aim to strengthen transparency, enhance workforce mobility, and ensure a more structured and regulated employment process across the Kingdom.

  1. Automatic Contract Expiry Notification & 60-Day Grace Period Starting February 3, 2025:

When a fixed-term contract ends, the Qiwa platform will automatically send a notification to the employee informing them of the contract’s expiry.

From the date of contract expiration, the employee will be granted a 60-day grace period to take one of the following actions:

* Renew the contract with the current employer.

*  Transfer services to another employer within the Kingdom.

* Exit the Kingdom permanently.

This update is designed to give employees ample time to make informed decisions and ensure continuity of legal status.

  1. Consequences of Inaction Within the Grace Period

If the employee does not take any action during the 60-day grace period, the system will automatically categorize the employee as “Absent from Work,” triggering serious legal and administrative consequences:

*  The previous employer will be permanently restricted from re-contracting the employee.

*  It will not be possible to reverse or correct the “Absent from Work” status in the Qiwa system.

*  The employee will not be able to transfer sponsorship (نقل خدمات) to another employer.

*  The employee will be removed from the General Organization for Social Insurance (GOSI) records.

*  The only legal option remaining will be a final exit from the Kingdom.

These measures are strictly enforced and are non-negotiable once the status is recorded.

 Key Objectives Behind the Update

This regulation seeks to:

✅ Reduce labor violations and informal work arrangements.

✅ Ensure timely updates of employment status across government platforms.

✅ Empower employees to take control of their contractual journey.

✅ Align labor policies with international standards.

 Recommendations for Expatriate Employees

To avoid unexpected complications or legal status issues, all non-Saudi employees are strongly advised to follow these guidelines:

* Regularly check Qiwa notifications, especially as your contract end date approaches.

* Plan if you intend to:

Renew your contract

Transfer to a new employer

Leave the Kingdom permanently

Act within the 60-day window to protect your employment rights and avoid penalties.

These changes reflect Saudi Arabia’s broader mission to develop a competitive and dynamic labor market, enhance worker protection, and promote fair employment practices as envisioned in Saudi Vision 2030.

Stay informed. Stay compliant.

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