The Ministry of Human Resources and Social Development has announced updated compliance requirements for documenting employment contracts on the Qiwa platform, increasing the compliance target to 85 percent and subsequently to 90 percent. The update is intended to increase transparency and support the documentation of contractual rights among employers and employees.1
WHY THIS MATTERS
This development may have implications for employers operating in Saudi Arabia and for globally mobile employees assigned to local entities. Meeting the new documentation thresholds may be relevant for continued access to services that are contingent upon compliance indicators. Non-compliance could lead to administrative challenges, including possible restrictions or delays in service access.
Key Highlights
- An 85 percent documentation rate is required to be achieved by 30 April 2026.
- A 90 percent documentation rate is required to be achieved by 30 June 2026.
- The compliance rate is determined by comparing documented contracts to total employee contracts per establishment.
- The update is intended to support compliance with labor regulations and the documentation of contractual arrangements
- Non-compliance may affect access to ministry services that are linked to compliance indicators.
KPMG INSIGHTS
In light of the increased compliance requirements for documenting employment contracts, organizations, entities, and individuals might consider the following:
- Organizations could assess the current status of employment contract documentation and initiating or accelerating the upload of any outstanding contracts to the Qiwa platform. Periodic monitoring mechanisms may help track progress against documentation thresholds and support ongoing compliance.
- Companies could wish to reinforce contract documentation requirements through targeted communications with human resources, payroll, mobility teams, and globally mobile employees to address potential operational and regulatory considerations.
- Human resource leaders, payroll managers, and mobility stakeholders could note that undocumented employment contracts may increase compliance and legal exposure for both employers and employees, including risks relating to enforceability and the legal standing of employment relationships.
- For globally mobile employees, particularly those on assignment or secondment, timely and accurate uploading of employment contracts may be relevant for compliance with local labor requirements and the administration of employment‑related rights and entitlements.
If assignees and/or their programme managers have any questions or concerns about the scope of the directive, its application and potential impacts, and appropriate next steps, they should consult with their qualified immigration professional or a member of the GMS/People Services team with KPMG in the Lower Gulf (see the Contacts section).
ENDNOTE:
1 Saudi Press Agency, “Human Resources Ministry updates Qiwa platform compliance rules for employment contracts,” published on 12 April 2026.
Contacts
Disclaimer
* Please note the KPMG International member firm in the United States does not provide immigration or labour law services. However, KPMG Law LLP in Canada can assist clients with U.S. immigration matters.
The information contained in this newsletter was submitted by the KPMG International member firm in the United Arab Emirates.
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