Localities

Documenting employment contracts via the Qiwa platform: Human Resources increases the percentage

A strategic step towards regulating the labor market

In a strategic move aimed at regulating the Saudi labor market and protecting the rights of parties involved in contractual relationships, the Ministry of Human Resources and Social Development announced a new update to the requirements for documenting employment contracts through the “Qiwa” electronic platform. This decision is part of a series of structural reforms underway in the Saudi labor sector to ensure a stable and transparent work environment.

General context and historical background of labor market regulation

Historically, the Saudi labor market has undergone radical transformations since the launch of Saudi Vision 2030, which prioritizes developing a more attractive and competitive work environment. Within this framework, the Ministry of Human Resources and Social Development launched the “Qiwa” platform as a unified digital interface for all labor services, aiming to automate procedures and reduce reliance on paper transactions. The Contract Documentation Program was initiated as a key program to ensure a clear and electronically documented legal reference for every worker and employer, effectively contributing to the elimination of fraudulent contracts and reducing labor disputes that previously consumed significant time and effort in labor courts.

Details of the decision and the targeted percentages for contract documentation

According to the official statement issued by the Ministry, a precise timeline has been set to increase compliance with documenting employment contracts. Establishments are required to raise the documentation rate to a minimum of 85% starting from April 30, 2026. The plan does not stop there; it will continue in its second phase to reach a rate of 90% by June 30, 2026.

The ministry explained the mechanism for calculating this percentage, which is done with complete transparency and directly by comparing the number of electronically documented contracts with the total number of employees registered with the establishment. This precise mechanism allows employers to clearly monitor their establishments' performance indicators through the dashboard on the Qiwa platform, making it easier for them to take corrective actions in a timely manner.

The importance of the event and its expected impact locally and internationally

This update has far-reaching dimensions and effects on multiple levels:

  • At the local level, this decision contributes to strengthening compliance with Saudi labor regulations and enhances transparency in the business environment. Documenting employment contracts is a fundamental pillar for guaranteeing rights and obligations, thus reducing labor disputes and increasing job security for employees, whether citizens or residents. It also facilitates the Ministry's automated inspection and monitoring processes.
  • At the regional and international levels, this measure enhances Saudi Arabia's standing in international indicators related to workers' rights and labor market transparency. By implementing global best practices in contract documentation and rights protection, the Saudi market becomes more attractive to global talent and expertise, as well as to foreign investors seeking a stable and regulated business environment governed by clear and rigorously enforced laws.

Call for establishments to rectify the situation and avoid service suspension

In closing, the Ministry of Human Resources and Social Development issued a clear and urgent call to all private sector establishments to immediately begin reviewing the status of their employees' contracts. It emphasized the necessity of completing the documentation of any undocumented contracts through the "Qiwa" platform to avoid any future obstacles. Failure to meet the required compliance rates could directly impact an establishment's access to the Ministry's various services, which are closely linked to compliance indicators. This initiative underscores the Ministry's commitment to moving forward towards a digital, transparent, and fair labor market for all.

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