Article 11 of the Saudi GCC Insurance Protection Extension Law

This article sets out the rules for collecting contributions, and is one of the most important articles of the Law in practice.

First: the rates

• The employee or worker and the employer bear their shares of the contributions on the salary or wage subject to contribution, at the home state's rates.
• However, the employer's share may not exceed the rate in force in the state of the workplace.

Second: the difference

If the employer's contribution is less than the rate required in the home state:

• The employee or worker covers the difference so that the contributions are paid in full.
• The employer deducts the difference from the employee's wage or salary.
• Unless the home state decides to bear this difference on behalf of its nationals.

Third: deduction and payment

The employer must deduct the employee's share, including the difference, from the monthly wage or salary, and deposit it together with its own share into the bank account specified by the home state's body, on the dates set by law and in accordance with the procedures and rules of the state of the workplace.

In practical terms, the employer does not bear more than it would if the employee were a national of the state of the workplace, and the employee may bear an additional difference from his salary. Article 12 deals with the case where the employer is late in paying.

To apply this to a specific case, it is advisable to consult a lawyer who specializes in social insurance and retirement laws.