OVERTIME LABOUR LAW IN SAUDI ARABIA

Overtime Labour Law

1. Employer shall pay the employee or workman overtime hours equal to hourly rate plus 50% of his basic pay.
2. If the establishment or company is operating on the basis of weekly working hours, then additional hours to 48 hours is treated as overtime.

Official holidays and Eid's working hours shall be considered in overtime hours.

Overtime Exception:

1. Overtime hours is an exception to the employees or persons who is high ranking positions of management or who have authority over workers or employees.
2. Guards and janitors, excluding civil security guards.
3. Supplement works or preparatory which must be completed before commencement of work or after commencement of work.

Work that is intermittent by necessity.


Overtime Calculation:



Overtime rate per hour = Hourly wage x 1.5

Hourly Wage = Daily Wage / 8

Daily Wage = Monthly Basic Salary / 30

Annual Basic Salary = Monthly Basic Salary x 12


Example of  Overtime Circulation:

If Monthly Basic Salary is 3000

Daily Wage = 3000 / 30 = 100 SR

Hourly Wage = 100 / 8 = 12.50 SR

Working Hours Under Saudi Labor Law

 WORKING HOURS IN SAUDI LABOR LAW

As per article (98) in Saudi Labor Law. An employee or worker in Saudi Arabia should not work more than 8 hours in a single day, If the employer decided to re adjust the working hours due to any reason then it should not exceed more than 48 hours in a week. Similarly in Ramadan month working hours for Muslims should not axceed 6 hours in a single day or 36 hours in a week.


If you refer article (99) in Saudi Labor Law, It is mentioned that working hours can be raised to 9 hours in a single day for few workmen or employees in certain operations and industries, If the worker is not working continuously. Similarly working hours can be reduced to 7 hours for a few workmen or employees in a certain industries or operations of a harmful nature. The categories of employees or workmen in a few operations or industries shall be determined by Minister's decision.

As mentioned in article (100) of Saudi Labor Law, Employer may seek Minister's approval, If the work is in shift operations and the employer is increasing working hours more than 8 hours in a single day or 48 hours in a week on a  condition that average working hours in 3 weeks should not be less than or more than 8 hours in a single day or 48 hours in a single week.

Saudi Labor Law article (101), Working hours shall be scheduled that no employees should work more than 5 consecutive hours without taking rest or break for prayer and meals. Break or rest period should not less than half an hour during the working hours. Similarly an employee cannot work more than 12 hours in a single day.

Saudi Labor Law article (102), Break or rest period should not be included in working hours, An employee should not be in employer's authority during break time. It is not require to stay workmen or employee at employer 's workplace during break time or rest time.

The employer or sponsor may not comply with provision of Articles (98), (101) and Paragraph 1 of Article (104) of this law:
Read in Article (106) of Saudi Labor Law.

The provision of Article (98)-(101) shall not apply to a few cases:
Read in Saudi Labor Law Article(108).