The end of the decades-old ‘kafala system’ by the Saudi Arabia authorities and the introduction of new reforms will prove a boon for the Pakistani workers, forming a major portion of labour force in the Kingdom.

“The reforms are expected to benefit Pakistani workers and we congratulate the Ministry of Human Resource and Social Development,” said Pakistan envoy to KSA, Raja Ali Ejaz, Ejaz, quoted Arab News.

The statement comes days after it was learnt that KSA is planning to get rid of the kafala system, and replace it with a new form of contract between employers and employees. The government would unveil the new rules governing foreign labour as early as next week, which would become applicable from the first half of 2021.

The new initiative will base the relation between employers and workers on a standard contract that needs to be certified by the government and will allow workers to apply directly for services via an e-government portal, instead of a mandatory employers’ approval.

The ministry aims to certify the contracts of all foreign workers by the end of the first quarter of 2021.

“The new initiative will alleviate the problems of those workers who sign work agreements in Pakistan and are then asked to sign another agreement in the kingdom,” Ejaz said. The diplomat added that the new system would also aid Pakistani workers searching for new jobs on the expiry of their contracts while still residing in the kingdom.

It is pertinent to mention, that the “kafala” system, which is applied to foreign employees working in Gulf Arab countries, under which the workers are requires to be sponsored by a Saudi employer and be issued an exit/re-entry visa whenever they want to leave the country.

The Kingdom currently resides over 10 million foreign workers with a majority from South Asian countries including Pakistan, India, and Bangladesh.