Saudi King orders to pay unpaid salaries; SR100 million to be deposited

[email protected] (ARAB NEWS)
August 8, 2016

Jeddah, Aug 8: Custodian of the Two Holy Mosques King Salman on Sunday issued a series of directives to agencies concerned to address once and for all the cases of distressed workers of companies who have contracts with the government.king web

The king directed the Minister of Labour and Social Development to take necessary measures, in coordination with the Ministry of Finance, to oblige contracting companies to pay the salaries of their employees in accordance with the government's Wage Protection Program that ensures workers' salaries are fully paid.

According to sabq.org, the directive is for the government not to release what it owes those companies unless the Labor Ministry confirms that the companies have paid on time what they owe their employees.

The king's directives comes amid increasing complaints by workers that they have not been paid their salaries for months. Construction giant Saudi Oger, for one, has been the subject of complaints by thousands of its workers for not paying their salaries for the past nine months.

The issue came to a head when hundreds of expatriate workers of the company marched on the streets in Jeddah to air their grievances, saying that Saudi Oger management has simply ignored them.

Accomodation, exit visas

In one of his directives on Sunday, King Salman authorized the labor minister to also immediately address the housing and accommodation services of the distressed workers by contracting with companies that provide such services.

While the government of India and the Philippines as well as their communities in the kingdom have rallied behind their compatriots at Saudi Oger by providing them food, those of other nationalities have reportedly not gotten the same attention.

According to the king's directive, the cost of these services for the distressed workers are to be deducted from the employers' receivables from the government.

The king also commissioned the labor minister to coordinate with the Saudi Arabian airlines to transport foreign workers who wish to return to their countries and to charge the cost to their employers. The labor minister is also authorized to contract with legal consultancy agencies to pursue the financial claims of the workers in local courts.

In the case of workers in distress who wish to leave the kingdom, the king directed the Passport Department to facilitate issuance of final exit visas in coordination with the Foreign Ministry and relevant agencies.

SR100 million fund

An amount of SR100 million is to be deposited in the Saudi Arab Fund account for use to fulfill the king's orders. The fund is to be under the disposal of the labor minister, who will provide the Ministry of Finance with all details of the expenditures and the amounts spent. The Finance Ministry will then deduct the spent amounts from the floundering companies' accounts.

The king also instructed the labor minister to meet with representatives of countries concerned to discuss the issue of unpaid salaries and to explain the steps taken by the kingdom to address such issues.

“King Salman also directed labor minister to coordinate with the minister of culture and information to highlight the kingdom's efforts aimed at ending the suffering of the distressed workers especially the Indian and the Filipino workers and to ensure that this case was a mere individual mishap by one company and the number of affected workers is insignificant compared with the millions of other expats who are working in the public and he private sectors in KSA,” Sabq.org said.

Comments

Mohammed SS
 - 
Tuesday, 9 Aug 2016

This is a true quality and nature of blood, there is no Gangasara and energy of Haram mixed with their blood like our Indian Bakwas ministers, long live KSA and King Salman for the prompt step and to prove that your country is a safest and peaceful in the world

Fairman
 - 
Monday, 8 Aug 2016

Dear Dombiah,

Please don't play dombarata.

Coastal Digest may pro-Saudi. But it is not anti national.

Though pockets of unrest here, Still Saudi is the safest and peaceful place to live on.

God bless KSA

Abdul Latif
 - 
Monday, 8 Aug 2016

Generosity...Al Hamdulillah

Irfan
 - 
Monday, 8 Aug 2016

May Allah bless kingdom and the King Salman for his kind gesture.
Even our Govt also did amazing job by reaching out to those hard working people.

Rikaz
 - 
Monday, 8 Aug 2016

Good job His Royal Highness! May Allah help you.....you are just doing exactly what is said in the Holy Book of Quran....

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News Network
July 30,2020

Bengaluru, Jul 30: Karnataka reported 83 deaths and 6,128 new cases in the state on Thursday. With this, the total number of cases in the state stood at 1,18,632, the state health ministry said.

Currently, there are 69,700 active cases, while a total of 2,230 people have lost their lives due to the pandemic till now.

There are 15,83,792 confirmed cases across the country. Of them, 5,28,242 cases remain active. While 10,20,582 have recovered, 34,968 patients have lost their lives due to the pandemic.

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News Network
June 6,2020

Jun 6: Private sector lender Karnataka Bank has reported to the RBI that it has been defrauded of over Rs 285 crore consequent to loans gone bad to four entities including DHFL.

A total of Rs 285.52 crore has been reported as fraud wherein the bank was one of the consortium lenders during 2009 to 2014 to Dewan Housing Finance Corporation Ltd (DHFL), Religare Finvest, Fedders Electric and Engineering Ltd and Leel Electricals Ltd, Karnataka Bank said in a regulatory filing on Friday.

The maximum is owed by DHFL at Rs 180.13 crore, followed by Religare Finvest Rs 43.44 crore, Fedders Electric Rs 41.30 crore and Leel Electricals Rs 20.65 crore.

"DHFL (defaulted entity) dealing with us since 2014 had availed various credit facilities under consortium arrangement wherein, we were one of the member banks. In view of Early Warning Signals (EWS) in the conduct of the account and other developments, the account was red flagged on November 11, 2019.

"The borrowing account was classified as Non-Performing Asset on October 30, 2019 and now, for misappropriation & criminal breach of trust & diversion of funds in the credit facilities extended earlier to the company, a fraud amounting Rs 180.13 crore has been reported to RBI," Karnataka Bank said.

Likewise, Religare Finvest Ltd (RFL) was dealing with the bank since 2014, availing various credit facilities.

Following classification of this account as non-performing in October 2019 by a consortium member, Karnataka Bank reported to RBI a fraud amounting to Rs 43.44 crore in the credit facilities extended earlier, on account of diversion of funds.

Leel Electricals was classified as NPA account in March 2019 and it reported to RBI a fraud amounting to Rs 20.65 crore in the credit facilities to the company on account of diversion of funds.

"In all the referred three non-performing accounts, necessary provisions have been made in full to be spread across four quarters," it said.

Fedders Electric and Engineering Limited was reported as NPA in July 2018 by a member bank in consortium, subsequent to which Karnataka Bank reported fraud of Rs 41.30 crore on account of fund diversion.

The account has already been fully provided for, it added.

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Agencies
February 12,2020

New Delhi, Feb 12: Senior Karnataka BJP leader Umesh Katti, who has been left out of the latest cabinet expansion, on Wednesday met party president Jagat Prakash Nadda over the issue.

On Tuesday, Karnataka Chief Minister BS Yediyurappa allotted portfolios to 10 newly inducted ministers. The leader was sulking after he was left out from the cabinet.

According to sources, Katti urged JP Nadda to consider his seniority in the party and give him a ministerial berth.

Earlier, Yeddyurappa had announced that Umesh Katti would be given a place in the state cabinet, but his name was dropped from the list of ministers at the last moment.

According to sources, Umesh Katti also urged Nadda for a Rajya Sabha berth for his brother Ramesh Katti.

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