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Gulf country to announce linking insurance to domestic work contracts

Riyadh: The Ministry of Human Resources and Social Development (MHRSD) in Saudi Arabia has decided to link the provision of insurance to domestic labour contracts at reduced prices.  The ministry informed that under the new law, the rights and benefits of both the employer and the worker will be guaranteed.

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The recruitment companies will inform the beneficiaries of the insurance coverage at the time of concluding contractual agreement between employers and domestic workers. As per the new law, in the event that the domestic worker escapes, falls ill, dies, or wishes not to complete the duration of the work contract, there will be insurance that preserves the right of the recruiter. The insurance coverage will compensate employer for the losses incurred due to the runaway of domestic workers.

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