KSA gets tough on jobseeker allowance exploiters
Those who steal from the system will be prosecuted, warn officials
KSA’s Ministry of Labour and the Human Resources Development Fund have issued a stark warning for those illegally exploiting the Hafiz unemployment benefit.
The scheme – only in its third month - was introduced to help Saudi job seekers as they search for employment. There are already 816,000 registered beneficiaries, 251,000 of which have been added within the last month, all set to receive their share of the $430m set aside for jobseeker’s allowance.
However, the system is already being exploited. Officials last month said that the names of 3,000 dead people were found on the list; while others claim the amount offered little incentive for workers to actually look for employment, particularly when the Hafiz payment far exceeded wages offered by the private sector.
Officials say that anyone found exploiting the system would be prosecuted. The Ministry said it was also looking at penalising those who turned down suitable job offers, and also penalising those who continue to receive Hafiz payments once they start working.