Saudi Arabia has officially announced that salaries of all domestic workers will be paid through banks starting January 1, 2026, marking a major step toward strengthening labor protection and wage transparency across the Kingdom.
The decision was confirmed by the Saudi Ministry of Human Resources and Social Development (MHRSD) as part of a nationwide expansion of the Wage Protection System (WPS) for the domestic labor sector.
Why Saudi Arabia Is Introducing Digital Salary Payments
According to the ministry, the move aims to ensure timely salary payments, reduce disputes between workers and sponsors, and create a documented payment trail that protects the rights of both parties.
By shifting to bank-based salary transfers, authorities hope to eliminate cash-related issues such as delayed payments, underpayment, or lack of proof in case of disagreements.
Phased Implementation Explained
The policy has been introduced in multiple stages to allow employers and workers sufficient time to adapt:
-
First Phase (July 2024):
Applied to domestic workers entering Saudi Arabia on new visas, requiring salaries to be paid through bank accounts. -
Second Phase:
Extended to sponsors employing more than four domestic workers. -
Third Phase (October 2025):
Included sponsors with two or more domestic workers, expanding the system’s coverage significantly.
-
Final Phase (January 1, 2026):
Will apply to all domestic workers, making digital salary payments mandatory across the Kingdom.
Who Will Be Affected by the New Rule?
The regulation covers all categories of domestic workers, including:
-
Housemaids
-
Drivers
-
Cleaners
-
Caregivers
-
Cooks and household helpers
Both Saudi citizens and expatriate sponsors employing domestic workers will be required to comply with the new system.
Benefits for Workers and Employers
Officials say the system offers multiple advantages:
-
Ensures on-time salary payments
-
Prevents wage disputes
-
Creates official payment records
-
Improves financial inclusion for domestic workers
-
Strengthens fair employment practices
The ministry emphasized that digital payments will make it easier to resolve complaints and improve trust between workers and sponsors.
Strengthening Labor Protection in Saudi Arabia
Saudi Arabia has been steadily reforming its labor laws to improve worker welfare and align with international best practices. The expansion of the wage protection system reflects the Kingdom’s broader commitment to modernizing labor regulations and promoting transparency in employment relationships.
Authorities have advised employers to prepare in advance by ensuring domestic workers have access to bank accounts before the January 2026 deadline.
Quick Facts (Featured Snippet Friendly)
-
Policy: Digital salary payments for domestic workers
-
Country: Saudi Arabia
-
Effective Date: January 1, 2026
-
System: Wage Protection System (WPS)
-
Goal: Transparency, worker protection, timely payments
