Saudi Arabia enforces electronic wage transfers for all domestic workers

The mandatory electronic transfer of salaries for all domestic workers in Saudi Arabia came into effect on Thursday, 1 January, the Ministry of Human Resources and Social Development announced.

According to a statement, the Ministry said employers are now required to transfer domestic workers’ wages electronically through the Musaned platform. The electronic salary transfer service documents wage payments via approved banks and digital wallets.

The ministry said the decision marks a significant step towards safeguarding the salary-related rights of domestic workers and enhancing transparency in the contractual relationship between employers and their domestic workers.

The measure represents the fifth and final phase of the electronic wage transfer programme. With its implementation, the requirement now applies to all types of domestic workers and is mandatory for all employers without exception.

Phased rollout of salary transfer system

The rollout of the electronic salary transfer system was carried out in stages. The first phase began on 1 July 2024 and applied to domestic workers arriving in Saudi Arabia for the first time. The second phase, launched in January 2025, covered employers with four or more domestic workers.

The third phase was introduced in July 2025 and applied to employers with three or more domestic workers. This was followed by the fourth phase, which came into effect on 1 October 2025 and targeted employers with two or more domestic workers. The fifth phase, which took effect on 1 January 2026, completes the programme by extending the requirement to all remaining employers.

The ministry said the electronic salary transfer service allows wage payments to be documented through official financial channels, ensuring they are recorded through approved banks and digital wallets.

It added that the initiative forms part of efforts to regulate the labour market and improve digital services provided to beneficiaries. The measure also aligns with the objectives of Saudi Vision 2030, which aims to increase market efficiency, enhance the work environment, and promote fairness and stability in contractual relationships.

No exemptions to the requirement were announced, with the ministry confirming that electronic salary transfers are now compulsory for all employers of domestic workers across the Kingdom.