Article 6 of the Saudi Civil Retirement Law
المادة 6 من نظام التقاعد المدني
The Article gives the board of directors management of the Fund and supervision of the Agency, and lists its powers over implementing the Law, investment, the budget, auditing and the final account.
Official text (Arabic)
This article has not been amended since the law was issued.
يتولى مجلس الإدارة إدارة الصندوق والإشراف على إدارة المصلحة، ويتولى في ذلك بصفة خاصة الصلاحيات الآتية:
1 - الإشراف على تنفيذ هذا النظام، وإصدار القواعد التنفيذية له.
2 - وضع الخطة العامة لاستثمار أموال الصندوق وإدارة الاستثمار، وإصدار القواعد اللازمة لتنفيذ ذلك.
3 - إقرار الميزانية السنوية للمصلحة تمهيدًا لإصدارها وفق النظام.
4 - تعيين مكتب مراجعة حسابات أو أكثر للقيام بأعمال المراجعة الحسابية للمصلحة طبق القواعد المتعارف عليها وتحديد مكافأته.
5 - إقرار الحساب الختامي للمصلحة تمهيدًا لرفعه لمجلس الوزراء للمصادقة عليه.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 6 explained in plain English
This Article sets out the role of the board of directors, whose composition Article 5 specified: it manages the Fund and supervises the management of the Retirement Pensions Agency, and in particular has the following powers:
- Supervising the implementation of the Law and issuing its implementing rules.
- Investment: setting the general plan for investing the Fund's money and managing the investment, and issuing the rules needed to carry that out.
- Budget: approving the Agency's annual budget in preparation for its issuance in accordance with the Law.
- Auditing: appointing one or more audit firms to audit the Agency's accounts in accordance with generally accepted rules, and determining its remuneration.
- Final account: approving the Agency's final account in preparation for submitting it to the Council of Ministers for ratification.
The phrase "in particular" means that this list mentions the most prominent powers within the general management and supervision. Article 7 completes the picture by making the director general responsible to the board and leaving it to the board to determine his powers in managing the Agency and investing the Fund's money.
What matters to a retiree in practice about this Article is that the Law's implementing rules are issued by the board of directors; the Article does not state the content of those rules.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 6 of the Saudi Civil Retirement Law
Who issues the implementing rules of the Civil Retirement Law?
The board of directors of the Pension Fund; its powers include supervising the implementation of the Law and issuing its implementing rules.
Who sets the plan for investing the Pension Fund's money?
The board of directors sets the general plan for investing the Fund's money and managing the investment, and issues the rules needed to carry it out.
Who ratifies the Agency's final account?
The board of directors approves the final account in preparation for submitting it to the Council of Ministers for ratification.
More articles on Retirement Fund and Its Board
- Article 3
The Fund has an independent financial liability and is managed by the Retirement Pensions Agency, an independent agency linked administratively to the Ministry of Finance, which the Council of Ministers may entrust with implementing other retirement laws.
للصندوق ذمة مالية مستقلة، وتديره - وفقًا لأحكام هذا النظام - مصلحة معاشات التقاعد وهي مصلحة مستقلة تمول من الصندوق وترتبط إداريًّا بوزارة المالية والاقتصاد الوط
- Article 4
Except for managing the Fund's investments, the Agency is subject to the General Civil Service Law, the Hired Staff Law and the State's financial regulations, and is headed by a director general assisted by a deputy.
فيما عدا ما يتعلق بإدارة استثمار أموال الصندوق، تخضع مصلحة معاشات التقاعد لنظام الموظفين العام ونظام المستخدمين، والأنظمة المالية المعمول بها في الدولة ويكون لـ
- Article 5
The Article sets the composition of the Pension Fund's board of directors, chaired by the Minister of Finance, and the way it meets, its quorum and how its decisions are issued.
يؤلف مجلس الإدارة على الوجه التالي: - وزير المالية والاقتصاد الوطني ، أو من ينيبه. رئيساً - رئيس ديوان الموظفين العام . عضواً - محافظ مؤسسة النقد . عضواً - مدير
- Article 7
The Agency's director general is responsible to the board of directors for the conduct of its work, and the board determines his powers in managing the Agency and investing the Fund's money.
يكون المدير العام للمصلحة مسئولًا أمام مجلس الإدارة عن سير العمل فيها، ويحدد مجلس الإدارة صلاحياته فيما يتعلق بإدارة المصلحة واستثمار أموال الصندوق.
- Article 8
The Fund's financial position must be reviewed every three years by an actuary or a specialized institution, and the board of directors submits the report to the Council of Ministers with its comments and proposals.
يفحص المركز المالي للصندوق مرة كل ثلاث سنوات من تاريخ العمل بهذا النظام بواسطة خبير كتواري أو مؤسسة متخصصة في هذا المجال، ويتناول الفحص تقدير التزامات الصندوق ا
- Article 9
The Article deals with how a deficit in the retirement fund is settled and allows new benefits to be added for beneficiaries when there is a surplus, both requiring Council of Ministers approval.
إذا تبين وجود عجز في الصندوق فتتم تسويته وفق الطريقة التي يحددها مجلس الإدارة ويوافق عليها مجلس الوزراء ، أما إذا تبين وجود فائض يسمح بإضافة مزايا جديدة للمنتفع
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.