Privatization program rules offer options to employees, says HRSD official

Majed Al-Battal, undersecretary of Ministry of Human Resources and Social Development

Majed Albatta, undersecretary of the Ministry of Human Resources and Social Development (HRSD), said the rules and arrangements for how to treat employees and workers in the sectors targeted for transformation and privatization are not new.

In an interview with Al Saudiya TV, Albatta said that the rules issued recently will act as a compliment to what was done previously and are directed to the target sector for which the transformation decision will be issued.

The rules aim to provide more options to the employees, including transfer to the target entity in case of transformation and privatization. If the employee does not want to move, there are other options to contain the person in the same entity or sector in which he works and has not undergone transformation or privatization. The employee may also be transferred to another government entity.

Albatta also indicated that calculating the experience of the employee in case of transformation or privatization is regulated through the benefit exchange law, which dates back to 1424H. "The employee who has experience of 25 years will be added to the category of workers with 25 years and more," he added.

He explained that, after presenting the options to the employee, in terms of transfer and absorption, there will be six months to transfer the employee’s services to another government entity, with the possibility of extending it for an additional six months.

The transfer and absorption process has other procedures and is not limited to transformation and privatization.

The employee contracts, in case of transformation or privatization, are contracts based on the Saudi Labor Law and aim to protect the rights of both parties.

Commenting on the possibility of reducing the employee's salaries or dismissing him after the first two years, the official said the rules and arrangements provide for preserving the employee's financial rights, paying his dues and compensating him for his vacations.

He pointed out that the target entity's communication with its employees is part of the procedures that must be taken when the transformation or privatization decision is issued.

Albatta further noted the employee's basic and actual salary will be maintained upon the transfer, and after the transformation and privatization, the process becomes different for the operator as is the case in the private sector.

As for the medical insurance, promotions, and allowances, he said these regulations have procedures for registration and commitment, and are subject to the law to which they were transferred.

He concluded that the ministry recently launched an electronic platform for trial and will fully launch it on a gradual basis to support the employees in their transfer.