Saudi Arabia Statutory and Private Employee Benefits, 2023 Update

Saudi Arabia Statutory and Private Employee Benefits, 2023 Update

Summary

The report provides in-depth industry analysis, information, and insights of the employee benefits in Saudi Arabia, including an overview of the state and compulsory benefits in Saudi Arabia, detailed information about the private benefits in Saudi Arabia, insights on various central institutions responsible for the administration of the different branches of social security and the regulatory framework of the employee benefits in Saudi Arabia.

The Kingdom of Saudi Arabia has an extensive social security system, which aims to provide every citizen with a decent standard of living in line with Islamic principles. Its small population and high gross domestic product (GDP) allow the Kingdom to provide employed and self-employed residents with help, such as medical care, childcare, pensions, and unemployment benefits, as well as, in some cases, housing and disability benefits. Saudi Arabia had previously experimented with its social security system by bringing in foreign workers as the country’s working population mainly consists of expatriates. However, due to their transient nature, the plan was later shelved. The Ministry of Labor provides general supervision, while the General Organization for Social Insurance (GOSI) administers various social welfare programs through district offices.

Key Highlights

• The General Organization for Social Insurance (GOSI), Public Pension Agency (PPA), Ministry of Human Resources and Social Development, and Ministry of Social Affairs (MOSA) are responsible for the functioning of the overall social security system.
• A person’s national insurance contribution is determined based on their income.
• An insured person who is unemployed or unable to work and whose benefits have been exhausted is entitled to credited contribution.
• In Saudi Arabia, since most of the Saudi and GCC employees are covered under the social insurance system, there is less scope for private retirement plans for Saudi and GCC employees in the country.

Scope

This report provides a detailed analysis of employee benefits in Saudi Arabia -

• It offers a detailed analysis of the key government-sponsored employee benefits, along with private benefits
• It covers an exhaustive list of employee benefits, including retirement benefits, death in service, long-term disability benefits, medical benefits, workmen's compensation insurance, maternity and paternity benefits, unemployment, leaves and holidays and private benefits
• It highlights the economic and regulatory situations relating to employee benefits in Saudi Arabia

Reasons to Buy

• Make strategic decisions using in-depth information related to employee benefits in the country
• Assess employee benefits of the market, including state and compulsory benefits and private benefits
• Gain insights into the key employee benefit schemes offered by private employers in the country
• Gain insights into key organizations governing employee benefits market, and their impact on companies