The Public Authority for Manpower announced the automatic suspension of the files of companies that are not committed to transferring the salaries of their registered workers. In addition, Al Qabas reported that the authority confirmed that suspension can be avoided by depositing salaries before the seventh day of the due date. PAM stated that the automatic suspension of companies that are not paying salaries was implemented during the coronavirus pandemic, starting from 19 March 2020, to remedy the negative effects of the pandemic on business owners and workers.
The report added that the automatic suspension is in accordance with the law and PAM’s regulations to control the labor market, and is in line with the standards of organizations and bodies concerned with human rights to ensure the rights of workers, noting that the suspension is meant to alert employers of the need to transfer salaries to local financial institutions. In addition, the authority stressed that the suspension does not prevent the renewal of employment on suspended files, and does not stop the transfer on an unsuspended file, which confirms that the employment is not harmed or that they violate the residence law.
However, the suspension will not allow re-employment or issuance of new work permits to the violating employer, because the suspension is a punitive measure due to failure in fulfilling financial obligations to the workers. In addition, business owners who have technical problems when transferring their labor wages to local financial institutions should review the reasons for rejection from the electronic system to reconcile their situation.
In order to facilitate the employers, who are associated with state projects, their requests are received with their approval of the transfer of wages to exclude their files from the moratorium, and to enable them to complete all their procedures with the authority until the completion of the transfer of labor wages and the solution of their technical problems with financial institutions. The Commission renewed application of the law, promoting human rights standards, and ensuring financial dues for workers.
Official sources confirmed that following up on workers’ wages, and entering the reasons for non-transfer, in addition to the reasons for deduction on wages, is done automatically through the government’s electronic system, so that the authority’s specialists can follow up on the requests without the need for personal review. If conditions are met, the employer’s file will also be opened automatically and process a request electronically.
The penalties for the late deposit of salaries include no transfer of labor to the employer, no new permits are issued for the violating sponsor, and no activity in the file of the violating employer.
