Saudi Arabian Labor Law amended to cover COVID-19

The Saudi Arabian Ministry of Human Resources and Social Development (“MHRSD”) has issued several resolutions and directives to deal with the measures taken in relation to employee entitlements during COVID-19. Notably, Article 41 has been inserted in the Implementing Regulation of the Labor Law, which enables the employer and employee – for a period of…

Dubai Court’s Decision No. (10) of 2020 – Virtual department for objections on payment orders established at the Commercial Court

On 13 May 2020, the Commercial Court of Dubai issued Decision No. (10) of 2020 concerning the establishment of a virtual payment order department at the Commercial Court (the Decision), which came into force on 17 May 2020. The Decision created a new limited-jurisdiction department called the Payment-Order Objections Department affiliated to the Commercial Court.…

KSA triples VAT amid COVID-19

The Kingdom of Saudi Arabia has announced that it will increase its VAT rate to 15% with effect from 1 July 2020. This is a result of the pressures upon the KSA economy from the very low oil prices and diminished VAT revenue caused by the COVID-19 emergency measures. The relief measures announced by the…

Saudi Ministry of Labor Decision to Regulate Contractual Relationship Between Employers and Their Employees

The Saudi Arabian Ministry of Labor and Social Development approved the reduction of working hours, or any other precautionary measures that limit the effects of the pandemic. This decision is aimed at limiting the application of the Labor Law in relation to employers severing the contractual relationship due to Force Majeure. These measures will be…