Mandatory digital transfer of domestic worker salaries in Saudi Arabia now effective
The regulation applies to all employers without exception and marks the completion of the phased implementation that was gradually introduced throughout 2025
The Ministry of Human Resources and Social Development in Saudi Arabia has announced the full enforcement of mandatory digital salary transfers for all domestic workers, effective 1 January.
The regulation applies to all employers without exception and marks the completion of the phased implementation that was gradually introduced throughout 2025.
The initiative aims to expand the service nationwide and ensure its comprehensive adoption, while further strengthening the protection of rights for both employers and domestic workers.
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The mandatory digital transfer of salaries represents a significant step in regulating contractual relationships, as it ensures proper documentation of wage payments and enhances transparency through secure electronic transfers conducted via official channels, including approved banks and licensed digital wallets.
The salary transfer process follows simple and secure procedures, beginning with linking the worker's mobile number to their residency ID, followed by opening a bank account or digital wallet in the worker's name.
Employers can then transfer salaries directly through the Domestic Worker Salary Transfer service.
The service provides multiple benefits, including accurate documentation of salary payments, assurance of timely and regular wage disbursement, and smoother procedures upon contract termination or the worker's departure. It also enables domestic workers to safely and reliably remit their earnings to their families in their home countries.
In addition, employers may authorise representatives to carry out salary transfers on their behalf through a straightforward electronic authorisation request, ensuring flexibility and continuity.
The ministry affirmed that this measure is part of its ongoing efforts to regulate the labour market and advance digital services, in line with its efforts to enhance market efficiency, improve the work environment, and promote fairness and stability in contractual relationships.
