Saturday, May 31, 2014

Advances to Employees Policy in Saudi Arabia

1.   Every employee can apply for the cash advance from the Company provided that;
a.   He has completed one year in the Company
b.   He is under sponsorship of the Company
2.   An advance of up to 3 monthly basic salaries can be applied by an employee. However, approval will be made by taking into account the employment term of the employee.
3.   Amount given as advance to employees will be deducted from their subsequent salaries. The period of repayment of advance cannot exceed 12 months in any case.

Standard Procedures
1.   Employee will have to fill and submit “Form F” to the HR Department if he wants to take advance. In this application form, employee will mention the amount of advance and the period in which he wants to repay it.
2.   Request for Advance will be approved by Finance Manager or General Manager or CEO based upon the amount of advance.
a.   Finance Manager is authorized to approve advance up to SR 2,000/-
b.   General Manager is authorized to approve advance up to SR 5,000/-
c.   Only CEO can approve advance for more than SR 5,000/-
3.   Finance Department will issue the advance to the employee according to “Form F”.
4.   Finance department will be responsible to deduct the amount from the salaries of the employees on monthly basis as approved in “Form F”


Follow us in Google+