Work Regulations in Saudi Arabia Following the 2025 Amendments to the Labor Law and Its Implementing Regulations: Who Must Prepare Them, the Unified and Customized Templates, Approval Through the Qiwa Platform, and Rules on Disciplinary Penalties, Investigations, and Grievances.
An employee arrives late twenty times, so the employer deducts money from their salary. The employee files a claim and wins. The reason is not that lateness is permitted, but that the employer did not have an approved Work Regulation specifying the violation and its corresponding penalty, or failed to conduct a written investigation before making the deduction. The regulation is the instrument that gives employers the right to take disciplinary action within the limits of the law. Without it, or when it is violated, any disciplinary penalty may be overturned.
Following the amendments to the Labor Law and its Implementing Regulations issued in February 2025, important rules have changed. Every employer is now required to prepare work regulations, and the approval process depends on the number of employees. This guide explains these requirements, including the approval process through Qiwa and the rules governing disciplinary penalties and grievances.
What Are Work Regulations, and Who Must Prepare Them?
Work Regulations are an internal document governing the day-to-day relationship between an establishment and its employees. They cover working hours and rest days, leave, wages and allowances, professional conduct, violations and their penalties, and grievance procedures. Once approved and communicated to employees, the regulations are binding on both parties.
Under Article 13 of the Labor Law, as amended, every employer must prepare work regulations in accordance with the template issued by the Ministry. Employers may add provisions that do not conflict with the Labor Law, its Implementing Regulations, or decisions issued pursuant to it, unless the Minister grants an exemption.
Important note: Many Arabic-language sources still state that the requirement applies to employers with “ten or more employees,” with a one-year grace period and automatic approval after 60 days. These provisions appeared in the previous version of the law. The current text no longer includes them. Do not rely on outdated sources when determining your obligations.
Unified Template or Customized Work Regulations?
The approval process depends on the number of employees at the establishment:
| Comparison Criteria | Fewer Than 50 Employees | 50 or More Employees |
|---|---|---|
| Type of Regulations | The unified template attached to the Implementing Regulations | Customized regulations based on the unified template |
| Approval Process | Directly through Qiwa without external review | Review and approval by a law firm accredited by the Ministry, followed by Ministry approval |
| Permitted Amendments | Specified fields only | Additional provisions, such as bonuses, annual increments, and activity-specific violations |
The fields that can be amended in the unified template are limited to the calendar system (Hijri or Gregorian), the leave system, working hours, working days, and weekly rest days. If a small establishment needs provisions specific to its business activities, it should consider adopting customized regulations.
How to Approve Work Regulations Through Qiwa
For Establishments With Fewer Than 50 Employees
- Log in to the establishment's account on the Qiwa platform and select the Work Regulations service.
- Select the unified template.
- Amend the permitted fields to suit the establishment.
- Upload and approve the regulations. The latest version uploaded to Qiwa is the operative version.
For Establishments With 50 or More Employees
- Prepare customized regulations based on the unified template, incorporating additional provisions.
- Have the regulations reviewed, approved, and documented by a law firm accredited by the Ministry of Human Resources and Social Development, then submit them through Qiwa.
- The establishment approves the regulations, after which the Ministry grants final approval.
In both cases, the employer must display the regulations and any amendments in a conspicuous place at the establishment or use another method that ensures employees are informed of their provisions, such as email or an HR system that records employee acknowledgment.
What Must Be Updated Following the 2025 Amendments?
If your work regulations were approved before 2025, they may need to be updated to comply with the new template and amendments. Key areas include:
- Housing and transportation allowances, or providing housing and transportation in kind.
- Three days of leave following the death of a brother or sister.
- Maternity leave, increased to 12 weeks.
- The updated grievance procedure for disciplinary penalties.
- Amended rules on leave and termination of employment, including resignation procedures and notice periods.
To review how the amendments affect individual employment contracts as well, read our guide to Drafting Employment Contracts in Saudi Arabia and our article on Labor Law Amendments and the Rights of Both Parties.
Disciplinary Penalties and Violations: Rules That Protect Your Decisions
The schedule of violations and penalties is one of the most frequently used parts of the regulations and one of the main reasons disciplinary decisions are overturned before labor courts. The fundamental rule is that no disciplinary penalty may be imposed unless the violation is specified in the approved regulations, and the penalty must be the one prescribed for that violation.
Investigation Before Imposing a Penalty
A disciplinary penalty may be imposed only after the employee has been notified in writing of the alleged violation, investigated, and given an opportunity to present a defense. The proceedings must be recorded in a report and retained in the employee's file. An oral investigation may be conducted for minor violations punishable by a warning or a fine not exceeding one day's wages, provided that it is documented in the report.
Notification of the Penalty and Filing a Grievance
- The employee must be notified of the disciplinary decision in writing.
- The employee may file a grievance within 30 days of being notified, excluding official holidays.
- If the grievance is rejected or no written decision is issued within 15 days, the employee may challenge the decision before the Labor Court within 30 days.
Register of Fines
Fines must be recorded in a dedicated register stating the employee's name, wages, the amount of the fine, the reason for it, and the date. The establishment may not benefit from the proceeds. Instead, the funds must be spent for the benefit of the establishment's employees by decision of the workers' committee or, if no committee exists, with the Ministry's approval.
A ministerial decision has also updated the schedule of employer violations and penalties, with fines linked to the size of the establishment. Consult the Ministry's approved schedule to determine which fines apply to your establishment.
Provisions Larger Establishments Can Include in Customized Regulations
- Bonus and incentive schemes, including eligibility criteria.
- Annual salary increases linked to performance evaluations.
- Performance appraisal systems and their frequency.
- Remote work and flexible work policies.
- Confidentiality and device-use policies, including information systems.
- Industry-specific violations, such as factory safety violations or customer-service violations in retail.
- Business travel and assignment policies, including related allowances.
Every additional provision must comply with the Labor Law and its Implementing Regulations and must provide terms that are more favorable to employees or at least meet the statutory minimum. To establish a comprehensive internal governance framework, read about Internal Governance for Startups.
Common Work Regulation Mistakes and When You Need a Lawyer
- Relying on outdated information about the ten-employee threshold or automatic approval.
- Failing to update regulations approved before 2025 in line with the new template.
- Imposing a penalty for a violation not specified in the regulations.
- Deducting wages without a written investigation and a documented report.
- Failing to notify the employee of the penalty in writing, creating uncertainty about when the grievance period begins.
- Adding provisions that violate the law, such as leave entitlements below the statutory minimum.
- Failing to communicate the regulations to employees, allowing an employee to argue that they were unaware of them.
- To prepare work regulations and HR policies for your establishment, explore our Labor and Personnel Systems service.
- To update employee contracts to ensure consistency with the regulations, request our Employment Contract Drafting service.
- If an employee challenges a disciplinary penalty in court, consult our guide to Litigation Procedures Before Labor Courts, or request Representation Before Labor Courts.
- To understand dismissal scenarios and their implications, read about Unfair Dismissal and End-of-Service Benefits.
Frequently Asked Questions
Are Work Regulations mandatory for small establishments?
Under Article 13, as amended, every employer must comply with the requirement to prepare work regulations using the Ministry's template unless exempted by ministerial decision. Establishments with fewer than 50 employees can adopt the unified template directly through Qiwa.
How do I approve Work Regulations through Qiwa?
If the establishment has fewer than 50 employees, select the unified template in Qiwa, amend the permitted fields, and upload it. If it has 50 or more employees, prepare customized regulations for review by a law firm accredited by the Ministry. The firm submits them through Qiwa, after which the establishment approves them and the Ministry grants final approval.
Can an employee's salary be deducted as a disciplinary penalty?
Yes, provided that both the violation and its penalty are specified in the approved regulations, the employee is notified in writing, an investigation is conducted, the employee's defense is recorded in a report, and the employee is notified of the decision in writing. The fine must also be entered in a dedicated register.
How long does an employee have to challenge a disciplinary penalty?
The employee has 30 days from notification of the decision, excluding official holidays, to file a grievance. If the grievance is rejected or no written decision is issued within 15 days, the employee may challenge the decision before the Labor Court within 30 days.
Do my existing Work Regulations need to be updated?
In many cases, yes. Following the issuance of the amended Implementing Regulations in February 2025, employers are required to update their regulations in line with the new template. This includes provisions on housing and transportation allowances, new leave entitlements, and the amended grievance procedure.
A Penalty Imposed Without Approved Regulations Could Lead to a Case You Lose
We prepare work regulations, disciplinary penalty schedules, and HR policies for your establishment in accordance with the new template and the 2025 amendments, and assist with the approval process through Qiwa.
info@novalegal.sa | Sahabah Road, Ishbiliyah District, Riyadh
Conclusion: Work Regulations Are the Foundation of Sound Management Decisions
Approved and up-to-date Work Regulations clarify an establishment's rights, protect its disciplinary decisions from being overturned, and reduce labor disputes. The priorities are to determine the appropriate approval process for your establishment's size, update the regulations in line with the 2025 amendments, and strictly follow investigation, notification, and grievance procedures.
The team at Nova Legal in Riyadh prepares work regulations and HR policies for establishments of different sizes through our Labor and Personnel Systems service. You can begin with an In-Office Legal Consultation to review your existing regulations. Address: Sahabah Road, Ishbiliyah District, Riyadh – Building 2/2, Al Hamra City, Second Floor, Office 202.
Official Sources and References
- Bureau of Experts at the Council of Ministers – Labor Law and Amendments
- Ministry of Human Resources and Social Development – Implementing Regulations of the Labor Law
- Qiwa Platform – Work Regulations Service
- Clyde & Co – Internal Work Regulations in Saudi Arabia
- Noqta – Article 13 and Work Regulations Through Qiwa in 2026