Saudi Arabia’s new Executive Regulations for Labor Inspection, effective from September 1, 2025, aim to modernize workplace oversight by integrating digital tools, standardizing inspections, and aligning labor practices with Vision 2030. The regulations enhance transparency, protect worker rights, and support employers through structured compliance guidance.

In a significant move to modernize labor governance in line with Vision 2030, the Saudi Ministry of Human Resources and Social Development (MHRSD) has issued Ministerial Decision No. 120279 dated 28/8/1446H, approving the new Executive Regulations for Labor Inspection and its Organization.

This regulation was published in the Official Gazette (Umm Al-Qura) in issue number 5048 on 10/09/1446H and went into effect in conjunction with the amendments to the Saudi Labor Law outlined in Royal Decree No. (M/44) dated 08/02/1444H.

These new regulations mark a significant overhaul of the previous framework, replacing the earlier executive regulation issued by Cabinet Resolution No. (642) dated 24/08/1441H, and serve as the primary legal and procedural reference for labor inspections in the Kingdom. The reform comes as part of Saudi Arabia’s broader effort to enhance Saudi workplace inspections standards, ensure regulatory compliance, and align labor practices with the objectives of Vision 2030.

Key Objectives of the Regulation:

The Executive Regulations for Labor Inspection aim to create a transparent, balanced, and accountable framework for monitoring labor compliance in Saudi Arabia. The key objectives are as follows:

• Enhancing Inspection Efficiency and Professionalism: The regulation seeks to elevate the performance and capabilities of labor inspectors by standardizing qualifications, training requirements, and inspection procedures. This includes the integration of digital tools to streamline the processes and reduce manual errors.
• Ensuring Fair Enforcement of Labor Laws: One of the primary goals is to ensure that all labor laws, decisions, and executive regulations are applied uniformly and justly across all establishments, regardless of size, sector, or region.
• Balancing Regulatory Oversight and Employer Empowerment: The regulations emphasize a dual approach: upholding legal enforcement while also supporting employers with structured guidance, thereby fostering a culture of compliance rather than punitive control.
• Strengthening Governance and Transparency: Through clearly defined procedures, structured reporting, and electronic monitoring systems, the regulations aim to promote transparency, accountability, and data-driven decision-making in labor inspections.
• Safeguarding Workers’ Rights and Employer Interests: The regulations ensure the protection of both parties in the employment relationship. It helps maintain safe, fair, and lawful working environments while offering employers a reliable framework to operate within.
• Leveraging Digital Transformation: The implementation of electronic inspections and centralized databases allows the Ministry to conduct remote assessments, flag high-risk entities, and follow up on compliance efficiently. This aligns with the Kingdom’s national digital transformation strategy under Vision 2030.
• Achieving Vision 2030 Labor Market Goals: By modernizing labor oversight mechanisms, the regulation supports the broader goals of Saudi Vision 2030 labor compliance, particularly in enhancing labor market competitiveness, reducing violations, and improving the Kingdom’s overall regulatory landscape.

Key Provisions of the Regulation:

The Executive Regulations for Labor Inspection introduce a comprehensive framework that governs the scope, mechanisms, and enforcement of labor inspections in the Kingdom. These provisions serve to standardize practices across all regions and sectors, while strengthening legal certainty and operational efficiency.

Defined Terms and Legal Scope:

The regulation begins by clearly defining essential terms such as:

• Labor Inspection encompassing both physical and electronic inspections.
• Labor Inspector, an authorized official responsible for enforcement.
• Agency the supervisory division within the Ministry.
• Electronic Labor Inspections Saudi Arabia, which is the remote review of employer data and compliance indicators.

This foundational clarity ensures consistent application and interpretation of the regulation.

Saudi Labor Inspector Qualifications and Training:

To raise the standard of enforcement, labor inspectors must meet specific criteria, including:

• Saudi nationality.
• A university degree or at least two years of relevant experience.
• Completion of a structured training program approved by the Ministry.

Inspectors are also required to sign a professional code of conduct committing to neutrality, confidentiality, and integrity in their duties.

Inspection Authority and Responsibilities:

Labor inspectors are vested with powers to:

• Enter any establishment subject to the labor law during or outside of working hours.
• Examine employment contracts, payroll, attendance records, and other relevant documentation.
• Collect samples of materials or substances for safety analysis.
• Verify compliance with occupational health and safety requirements.
• Request the appearance of an employer or their representative to clarify findings or provide additional evidence.

Inspectors are obligated to display their official credentials during any inspection and must prepare a formal inspection report following each visit.

Categorization of Violations:

The regulation distinguishes between major vs minor labor violations KSA:

• Major Violations: serious breaches that may threaten worker safety or constitute repeated non-compliance.
• Minor Violations: infractions that are procedural or administrative in nature.

Employers are generally given a grace period of three working days to rectify minor violations following an electronic warning. In contrast, major violations are documented immediately and may trigger penalties without prior notice.

Electronic Inspection Mechanism:

The regulation integrates a digital oversight system that allows:

• Remote audits based on employer-submitted data.
• Risk scoring to identify high-risk establishments.
• Automated generation of alerts, notices, and follow-up tasks.

This approach not only accelerates inspection processes but also supports proactive enforcement through predictive analytics.

Inspection Scheduling and Types:

Inspections may be:

• Planned, based on the Ministry’s strategic inspection plan.
• Complaint-based, triggered by employee reports or third-party alerts.
• Unscheduled, particularly in high-risk or suspicious circumstances.
• After-hours, if necessary to investigate operations conducted beyond regular business times.

The regulation also encourages coordination between labor offices and other government agencies to maximize inspection coverage and reduce redundancy.

Employer Obligations During Inspections:

Employers are legally required to:

• Cooperate with inspectors and facilitate their duties.
• Provide accurate and complete documentation.
• Designate a representative to accompany inspectors when requested.
• Avoid any obstruction, delay, or attempt to influence inspection outcomes.

Failure to comply may lead to escalation under the violations and penalties framework approved by the Ministry.

Documentation, Reporting, and Follow-Up:

Each inspection must result in:

• A written report summarizing findings, classification of violations (if any), and required corrective actions.
• Electronic notifications to the employer, including deadlines for compliance.
• Referral to enforcement units in case of unresolved or repeat violations.

The regulation mandates the issuance of an annual national report detailing the scope, outcomes, and statistical trends of labor inspections across all regions.

Conclusion:

Saudi Arabia’s updated Executive Regulations for Labor Inspection mark a major step toward a more transparent, accountable, and digitally empowered labor ecosystem. By clarifying inspector roles and qualifications, distinguishing between major and minor violations, and embedding electronic inspection tools, the new framework balances rigorous enforcement with proactive support for employers.

Through standardized reporting, risk‑based targeting, and clear remediation timelines, these rules safeguard worker rights while giving businesses a structured path to compliance. As the Kingdom presses forward with Vision 2030, this regulation sets the foundation for a competitive, well‑regulated labor market where both employees and employers can thrive in a fair, modernized environment.