The Ministry of Human Resources and Social Development Updates Support Labor Standards to Raise the Quality of Services Provided by Human Resources Companies

The Ministry of Human Resources and Social Development announced the amendment of the standards of support labor ratios for human resources companies, according to its decision No. (28624) issued on 06.07.1446H, reflecting its commitment to developing the labor market and enhancing the sustainability of the private sector, and within its continuous efforts to achieve a balance between the requirements of companies and market needs, contributing to raising the quality of services provided by all human resources companies through growth in the individual and business sectors, leading to a flexible and stimulating work environment that increases beneficiary satisfaction.

The new decision is characterized by its reliance on the performance of companies and their ability to meet customer needs and market demand, by replacing fixed support labor ratios with variable ratios based on the company's ability and expansion plans. This change is a positive step for companies to focus on raising the quality of their services while meeting their customers' needs. The ratio calculation stops when companies achieve a minimum of 15,000 workers. This shift in ratios gives companies greater flexibility to enhance their business and services.

The decision focused on performance quality and enhancing the role of companies in organizing the support labor market, as these services provided to individual employers vary with the diversity of these companies' packages, whether by providing services on an hourly basis or through short and long-term contracts, meeting customer desires. The decision will affect the diversity of services provided to customers through these companies.

The Ministry clarified that this decision came into effect on 05 January of the current year 2025, representing a strategic step towards achieving a more balanced and flexible work environment, enhancing growth and innovation opportunities in the human resources sector, contributing to improving the recruitment sector and policies related to the sector, in line with the Ministry's strategy to improve contracting between workers and employers and protect the rights of all parties.

The Ministry confirmed that the updates to these standards show its commitment to achieving an effective partnership with the private sector and providing practical solutions that meet the aspirations of companies and market needs, based on its tasks in reviewing labor market regulations, and emphasizing its keenness to enable companies to contribute to economic and social development.