Riyadh: In a historic reform, Saudi Arabia has officially abolished its decades-old Kafala (sponsorship) system, marking a major step toward improving the rights and freedoms of more than 13 million foreign workers living in the Kingdom.
The move, announced under the framework of Vision 2030, aims to modernize Saudi Arabia’s labour market, attract global talent, and align the country’s policies with international human rights standards.
For nearly 50 years, the Kafala system tied migrant workers’ legal status directly to their employers, restricting their ability to change jobs, travel abroad, or leave the country without permission. Critics have long described it as “akin to modern-day slavery.”
Under the new reforms, foreign employees will be allowed to switch jobs without employer consent, travel freely, and exit Saudi Arabia without the need for an exit permit.
The Ministry of Human Resources and Social Development confirmed that these changes are designed to “enhance the working environment, protect rights, and promote transparency.”
The decision has been widely welcomed by human rights groups and international organizations, calling it a “transformative moment” for migrant workers across the Gulf region. However, experts caution that effective enforcement will be crucial to ensure all workers including domestic and low-wage labourers fully benefit from the reform.
Saudi Arabia’s labour transformation forms part of Crown Prince Mohammed bin Salman’s Vision 2030, which seeks to diversify the economy, reduce dependence on oil, and make the Kingdom a more inclusive and competitive global market.
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Rights advocates believe the abolition of the Kafala system could inspire similar reforms in neighbouring Gulf countries, many of which still maintain sponsorship-based labour models.
“This decision represents a historic shift towards fairness and dignity for millions of workers who have long contributed to Saudi Arabia’s growth,” said a labour rights researcher in Riyadh.
With this bold step, the Kingdom has positioned itself as a regional leader in labour reform granting foreign workers newfound freedom, security, and respect after half a century of restrictions.