The situation
Starting September, a tenancy agreement authenticated by the Ministry of Housing will be required for work permit renewals and at a later date, initial work permit applications.
A closer look
- Tenancy agreement requirements. The tenancy agreement must be written in the form of a standard template provided by Ejar (a housing agency program in Saudi Arabia) and must document the relationship between the landlord and tenant.
- Registration of agreement. Foreign nationals will be required to register their tenancy agreements through the online Ejar platform, which is linked to the Ministry of Labour and Social Development (MLSD)’s electronic system. This will allow the government to regulate the housing market in Saudi Arabia and guarantee the rights of both tenants and landlords.
Impact
The new requirement may increase the overall processing time for obtaining work permits in Saudi Arabia since it is an additional step in the work permit issuance process and will likely take a day to process.
Employees with tenancy contracts issued in the name of their sponsors may face additional challenges and delays, as it remains unclear whether such contracts will be accepted by the MLSD.
This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].
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