MLSD cancels company’s license and denies its access to services due to repeated violations

The Ministry of Labor and Social Development said on Thursday a company with a capital of SR1 million faced cancellation of its license and also stopped from practicing its operation, as well as being denied access to the ministry and related entities’ services due to failure to complying with the recruitment regulations and rules and offering labor services in the local market. Khaled Abalkhail, spokesman at MLSD, said the decision to cancel the license also includes cancellation of bank guarantee used to pay dues if the company faces insolvency or is reluctant to claim customers’ rights, pointing out the cancellation came after the ministry sent multiple warnings of violations to the company which failed to act. The revoking of the license comes as a result of multiple punitive decisions imposed on recruitment offices and companies as the ministry is keen on monitoring compliance of these offices and companies with the recruitment regulations through conducting inspection rounds and checking their status online, the spokesman added. A number of recruitment offices and companies are being under review to make sure they are adhered to the regulations and take penal action against those who violate the regulations, Abalkhail said as well. The labor official said the ministry is also keen on protecting rights of customers, ensuring fairness, serving the public interest and penalizing those who do not observe the regulations, urging the recruitment agencies to comply with the regulation. He called upon customers to deal with approved offices and companies whose data is published on the Musaned website (www.musaned.gov.sa).