Rules and Procedures Regulating Amicable Settlement in Labor Disputes - 1445

Article 1

  • The following terms - wherever they appear in this Decision - shall have the meanings specified next to each of them:

  • The Ministry: Ministry of Human Resources and Social Development.

  • Friendly Settlement Administration: The administration responsible for amicably settling labor disputes between the parties within labor offices before referring them to labor courts.

  • General Administration for Labor Dispute Settlement: The administration within the Ministry that is technically linked to the friendly settlement administrations in the branches.

  • Friendly Settlement: The stage that precedes filing a labor lawsuit before the judiciary, during which an attempt is made to reconcile between the employer and the employee amicably before it is raised to labor courts.

  • Class Action: A group of lawsuits arising between an employer and a group of employees numbering no less than three, demanding their labor rights.

  • Representative Legal: The person authorized by law to plead on behalf of the legal entity.

  • The Mediator: The person who undertakes the tasks of friendly settlement in accordance with the provisions of these rules and procedures.

  • Competent Agent: The agent of the Ministry to whom the General Administration for Labor Dispute Settlement is linked.

  • Settlement Parties: The employee and the employer or their legal representative.

  • Settlement Document: A document prepared by the mediator that includes evidence of the amicable resolution of the dispute between the two parties.

Article 2

  • The conciliator in amicable settlement shall not undertake any action that falls within the scope of his duties in cases that concern his own interest, or that of his wife, or his relatives, or his in-laws up to the fourth degree.

Article 3

  • It is a requirement for the employees of the Ministry or others licensed by the competent authority to practice reconciliation tasks to have the following:

    • 1. To be of good conduct and behavior and not to have been convicted of a judgment that undermines trust and honor unless their status has been restored.

    • 2. To obtain the approval of the General Administration for the Settlement of Labor Disputes to practice reconciliation tasks.

    • 3. Any other conditions set by the General Administration for the Settlement of Labor Disputes.

Article 4

  • The existence of an arbitration clause between the parties to the settlement or the expiration of the legally prescribed period for filing a labor lawsuit shall not prevent the conciliator from completing the amicable settlement procedures within the designated period for settlement, even if one of the parties to the settlement raises this objection.

Article 5

  • 1. The procedures for amicable settlement and their sessions are confidential, and those who undertake the amicable settlement are prohibited from disclosing any secret they have been entrusted with or have learned through their work, even after the termination of their employment, unless there is a legal or regulatory requirement to do so.

  • 2. Attendance at the settlement sessions is limited to the following:

  • A. The mediator.

    • B. The parties to the settlement.

    • C. Those whom the mediator allows to attend before or during the settlement, such as interpreters and similar individuals.
      D. Those whom the mediator believes have an interest in the completion of the amicable settlement, with the consent of the parties to the settlement.

Article 6

  • 1. All procedures stipulated in these rules may be conducted electronically and shall have the same effect as written documents in accordance with the Electronic Transactions Law.

  • 2. Amicable settlement may be conducted remotely in all labor disputes that fall under the jurisdiction of the Amicable Settlement Department through the use of remote communication means approved by the Ministry, provided that it does not violate the territorial jurisdiction.

  • 3. The signature - as stipulated in these rules - may be replaced by approved electronic verification methods.

Article 7

  • The Arabic language is the official language before the amicable settlement.

Article 8

  • The General Administration for Labor Dispute Settlement may seek the assistance of experts, specialists, professionals, and relevant entities both within the Kingdom and abroad to contribute to the development of settlement procedures, exchange experiences, and acquire the necessary skills for mediators.

Article 9

  • An administration for amicable settlement shall be established by a decision from the competent Agent in the labor offices in the Kingdom, and its director and conciliators shall be appointed after the approval of the Director General of the General Administration for Labor Dispute Settlement, unless the ministerial decision stipulates otherwise regarding the delegation of powers.

Article 10

  • The Conciliation Administration considers all labor disputes, including:

    • 1. Disputes related to employment contracts, wages, rights, work injuries, and compensation for them.

    • 2. Disputes arising from termination of employment.

    • 3. Disputes related to the imposition of disciplinary penalties by the employer on the employee or related to requests for exemption from them.

    • 4. Disputes related to employees subject to the provisions of the Labor Law, including government employees.

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