The Ministry of Human Resources and Social Development has formulated new rules for practicing the recruitment activity and providing labor services. According to the new rules, a large human resources company is required to submit a bank guarantee worth SR0 million and a paid-up capital amounting to SR100 million to obtain a license for a period of 10 years. The conditions included that medium-sized recruitment companies must have a bank guarantee of SR5 million and a paid-up capital of SR50 million to obtain a 5-year license, and the same license period for recruitment companies that have a bank guarantee of SR2 million and a paid-up capital of SR10 million. The small recruitment companies that have a bank guarantee of SR2 million and a paid-up capital of SR5 million will have the 5-year license period. The ministry also stipulated that the licensed company must be a joint-stock company with capital fully owned by Saudi individuals. A license is also granted to a foreign investor who meets the requirements for foreign investment in these rules, and meets the minimum paid-up capital and bank guarantee, taking into account of the provisions of the Companies Law. The ministry also seeks that companies have to […]