Article 4 of the Saudi Unemployment Insurance Law
المادة 4 من نظام التأمين ضد التعطل عن العمل
The article requires employers to apply the Law and the Regulations from the day the conditions are met, and refers the way employers and subscribers register with the Organization to the Regulations.
Official text (Arabic)
This article has not been amended since the law was issued.
1- يلتزم أصحاب العمل بتطبيق هذا النظام واللائحة، ويبدأ التطبيق من اليوم الذي تكتمل فيه الشروط المنصوص عليها في هذا النظام واللائحة.
2- تحدد اللائحة طريقة التسجيل في المؤسسة لكل من أصحاب العمل والمشتركين الخاضعين لهذا النظام.
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 4 explained in plain English
This article addresses employers directly, and contains two provisions:
- The obligation to apply: employers are bound to apply this Law and its Implementing Regulations. Application begins from the day the conditions provided for in the Law and the Regulations are met, so the obligation does not depend on a request from the employer or on their consent.
- Registration with the Organization: the Regulations set the way employers and subscribers subject to the Law are registered with the General Organization for Social Insurance. The article itself does not state the steps of registration or their timing, but refers them to the Regulations.
An employer is defined in Article 1 as any natural or legal person to whom the Law applies and who employs one or more workers who meet the conditions provided for in the Law. These conditions include what Article 3 states, that is, that the worker is a Saudi under 59 when the Law begins to apply to them, and is compulsorily subject to the pensions branch.
Article 5 follows to distribute powers between the Organization and the Ministry, making the registration of subscribers and the collection of contributions among the Organization's tasks. If an employer violates the Law's provisions they may be exposed to the fines that the Law provides for in its relevant place. To learn the obligations of a particular establishment it is best to consult a lawyer specializing in social insurance.
Practical example
A start-up in Dammam opened a branch and hired three young Saudis who meet the Law's conditions. The company's obligation to apply the Unemployment Insurance Law begins from the day the conditions were met, and it must register them with the Organization in the way the Regulations set.
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 4 of the Saudi Unemployment Insurance Law
When does an employer's obligation to apply the unemployment insurance law begin?
From the day the conditions provided for in the Law and the Regulations are met.
How do the employer and subscribers register for unemployment insurance?
The Implementing Regulations set the way of registering with the General Organization for Social Insurance, and the article itself does not detail it.
More articles on Persons Covered by Unemployment Insurance
- Article 2
The article makes unemployment insurance a branch of social insurance that ensures compensation for subscribers who are out of work, under the Law's provisions.
يعد التأمين ضد التعطل عن العمل فرعاً من فروع التأمينات الاجتماعية، ويكفل تقديم التعويض للمشتركين المتعطلين عن العمل وفق الأحكام المحددة بموجبه.
- Article 3
The article applies the Law compulsorily to Saudi workers without discrimination of sex if under 59 when it starts to apply to them, and stops a subscriber's contributions at age 60.
1- يطبق النظام بصورة إلزامية على جميع العمال السعوديين دون أي تمييز في الجنس، بشرط أن تكون سن العامل عند بدء تطبيق النظام عليه دون سن التاسعة والخمسين. 2- إذا ب
- Article 17
The Article provides that the subscriber's age is determined by their birth certificate or the certificate issued by the competent authority under the law.
تحدد سن المشترك بشهادة ميلاده أو بالشهادة التي تصدرها الجهة المختصة نظاماً.
- Article 26
The Article voids any agreement or settlement that contradicts the Law, made by those it covers, if it would harm subscribers' rights or impose additional obligations on them.
كل اتفاقٍ أو تسويةٍ تخالف أحكام هذا النظام وتصدر ممن يشملهم، تُعدُّ باطلة إذا كان من شأنها أن تضر بحقوق المشتركين أو تحملهم التزامات إضافية.
- Article 27
The Article provides that the Social Insurance Law applies to matters the Unemployment Insurance Law does not address, to the extent consistent with its nature.
فيما لم يرد به نص في هذا النظام، يطبق نظام التأمينات الاجتماعية بالقدر الذي يتفق مع طبيعة هذا النظام.
- Article 28
The Article requires the Minister to issue the Implementing Regulations with the Board of Directors' approval within 60 days of the Law's publication, and to publish them in the Official Gazette.
يصدر الوزير اللائحة - بناءً على موافقة مجلس الإدارة - خلال ستين يوماً من تاريخ نشر هذا النظام، وتنشر في الجريدة الرسمية.
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.