The Undersecretary of Ministry of Labor, Ahmad Al-Hemaidan, announced last week that Saudi nationals working in private sector companies must sign an employment contract that binds them to the organization that recruits them. Hemaidan also informed that the ministry is planning on establishing minimum wages in the private sector.
The announcement was made by Hemaidan at the annual meeting of the Human Resources in Sharqiya last week, reported Akhbaar24. The employment contract will be a means for nationals to stay with the company throughout the contract period. The contract of employment will also deter Saudi employees from leaving their jobs and working elsewhere before the contract expires.
Nidal Radwan, Head of the National Founding Committee of the Labor Committees in the kingdom said that many Saudis leave their jobs in the private sector to work in the public sector for many reasons such as salary, job security, and promotions.