Saudi Arabia Introduces e-Salary System For Domestic Workers

From January 2026, the system will cover all domestic workers regardless of household size.

e-Salary System For Domestic Workers Edited by
Saudi Arabia Introduces e-Salary System For Domestic Workers

Saudi Arabia Introduces e-Salary System For Domestic Workers

Domestic workers in Saudi Arabia will receive their salaries through official electronic channels from January 1, 2026, the Ministry of Human Resources and Social Development of the Kingdom has announced. The move aims to improve wage protection, increase transparency, and streamline the employment process in the country.

Under the new system, employers must transfer salaries through the Musaned platform via recognised banks or digital wallets, instead of paying in cash.

The system will provide domestic workers with documented proof of payment, regular wages, and simplification of contract termination or travel process. Workers will also be able to transfer earnings to family members via the approved channels. Cash withdrawals will still be available using a Mada card issued to the workers.

Read also: End Of The 50-Year Kafala System: Analyzing Its Impact On Indian Workers

The e-salary system has been introduced in phases since mid-2024. The first phase, starting July 1, 2024, was applied to new domestic workers arriving in Saudi Arabia. Further phases extended the requirement to employers with four or more domestic workers in January 2025, three or more in July 2025, and two or more in October 2025. From January 2026, the system will cover all domestic workers regardless of household size.

As per the Musand guidelines, salaries must be paid at the end of each Hijri month as per the employment contract unless both parties agree otherwise in writing. For workers outside the Wage Protection System, salaries may still be paid in cash or cheque with proper documentation, unless the worker requests electronic payment.

The ministry said the measure will enhance payment transparency, lesser dispute, and promote professional development in the domestic worker sector.

The new regulation forms part of Saudi Arabia’s ongoing efforts to improve labour rights and increase transparency in the domestic employment sector.

Read also: What Is The New Contract-Based Employment System Replacing Kafala In Saudi Arabia?