Council of Saudi Chambers recommends collecting expat fees on monthly basis

The Council of Saudi Chambers (CSC) has proposed a new mechanism to collect expat levy on a monthly rather than an annual basis, to reduce costs for companies, Al-Hayat newspaper reported, citing a CSC statement after a meeting with the Saudi labor minister.  

The CSC also recommended extending the period for raising expat fees gradually under the Saudi Fiscal Balance Program until 2025, to help companies comply with the new requirements.

Expat workers should be replaced with citizens in all jobs that can be Saudized, and a sufficient time should be granted to companies to share expat experience with Saudi citizens, the statement added.

A proposal was also made for setting up a joint committee from CSC and the labor ministry to discuss the related decisions going forward, cut unemployment rates and develop an appropriate mechanism for job Saudization.

The council added that data for unemployment rate and number of expats in the Kingdom were provided by the labor minister, the CSC added.

Earlier this week, Jeddah Chamber of Commerce and Industry asked Saudi Arabia’s labour ministry to cancel a recently introduced levy on companies that employ foreign workers, citing the fee has put 15.6 percent of firms in the city on the verge of closure.