Monday, February 15, 2016

4 kinds of Death Compensations of Workers in Saudi Arabia

God forbids, if any of your family members dies in Saudi Arabia, his or legal heirs are entitled to get death compensation. Family members of most of the expatriates working in Saudi Arabia are not aware of the compensation for which they are entitled to in case of death of the worker in Saudi Arabia. Many families do not claim these rights after the death of the worker in Saudi Arabia due to their ignorance. Keeping this in mind, we have decided to write a detailed article about the compensation for which legal heirs of a worker are entitled to in case of the death of a worker. Workers in Saudi Arabia are entitled to following 4 types of benefits in case of death. We have explained the procedure to claim Death Compensation in this link.

  1. End of Service Benefits: It is the right of each and every employee to get End of Service Benefits at the end of the employment from its employer. There are certain rules governing End of Service Benefits of employees in Saudi Arabia and its calculation is a little complex.  Make sure you have recalculated the end of service benefits given to you by the employer. Recommended: End of Service Benefits Calculation
  2. Work Injury resulting in Death of Employee: If work injury results in death or total permanent disability, the employee or the legal heirs of the employees as the case may be; would be entitled to get compensation from the employer equivalent to 36 months salaries or wages. However, this amount should not be less than SR 54,000 as per Article 138 of the Saudi Labor Law. Further explanation has been given in the below link. Recommended: Compensation in case of Work Injury as per Saudi Labor Law
  3. General Organization of Social Insurance (GOSI): In case of permanent disability or Death of an expatriate or Non-Saudi Employee due to occupational injury, he is entitled to a lump sum amount equivalent to 84 months’ salary, calculated based upon average salary of last three months. However, this amount cannot exceed SR 330,000/-. In order to know about occupational injury or further details about these benefits, read in to the following link. Recommended: Benefits of GOSI to Expatriate and Saudi Employees
  4. Blood Money (Diyya): In case of accidental death or murder of the worker in Saudi Arabia, legal heirs of the deceased worker are entitled to get blood money (Diyya). Calculation of blood money depends upon many factors. For example, blood money in case of death resulting from a traffic accident amounts to SR 300,000. However, it can be reduced or increased in other cases. We have explained it in the following link. Recommended: Blood Money (Diyyah) and its Calculation
Non-Muslim Legal Heirs: It is important to mention here that Non-Muslim legal heirs are not entitled to get any benefit from the inheritance of a Muslim. In this way, they are not entitled to get any of the above benefits if the deceased worker was Muslim and they are non-Muslims. They are not even entitled to it if they embrace Islam after the death of the worker.

Resignation /Termination under Saudi Labor Law
  1. Can employer deduct Iqama Renewal Fee and Insurance cost at the time of Resignation?
  2. Retirement Age in Saudi Arabia
  3. Notice Period under Saudi Labor Law
  4. Resignation without Notice Period under Saudi Labor Law
  5. Termination without Notice Period under Saudi Labor Law


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