Understanding KSA Iqama Transfer Rules

Transferring an Iqama (residence permit) between companies is a common practice for expatriate workers in Saudi Arabia who wish to change jobs while continuing to reside in the Kingdom.

Understanding the requirements, procedures, and timelines involved is essential for employees pursuing new opportunities as well as for employers seeking to recruit experienced expatriate talent already based in Saudi Arabia.

This guide covers the required documents, associated fees, and important considerations for both employees and employers—whether already operating in KSA or in the process of business setup.

Navigating the Iqama Transfer Procedure

In recent years, Saudi Arabia's Iqama transfer procedure has undergone substantial reforms. making it easy for both the employer and employee to manage it entirely through digital portals, primarily Qiwa.

Here’s the Standard Procedure for Employment Sponsorship Transfer

1. Employment Offer and Contract Registration: The procedure begins when a prospective employer presents a formal job offer to the expat worker. The employer must then register the contract on the Qiwa platform. To qualify for initiating this process, the new employer must have an active registration with the Ministry of Human Resources and Social Development (MHRSD), maintain compliance with the Wage Protection System (WPS) over the previous three months, and hold an active commercial registration and GOSI certificate.
2. Worker Confirmation: The worker receives a Qiwa notification to review and accept the job offer and contract. Workers essentially have 10 days to accept or decline; failure to respond results in automatic cancellation.
3. Current Employer Alert and Action: After the worker confirms the new contract, Qiwa automatically notifies the current employer, who has 14 days to respond.
4. Notice Period Fulfillment (when required): Should the current employer approve the transfer with a notice requirement, the worker must complete this period before officially moving to the new employer. For resignations and terminations outside of transfers, monthly-paid employees must provide 30 days' notice when resigning or receive 60 days' notice for employer-initiated termination, while non-monthly employees require 30 days' notice from either party.
5. Transfer Completion by New Employer: After obtaining approvals and completing any notice period, the new employer must finalize the transfer by paying sponsorship fees and updating the worker's Iqama status via Absher or Muqeem within 12 to 24 days.
6. New Iqama Generation: Upon successful completion of all approvals and fee payments, the new employer issues the new Iqama under their sponsorship.

Transfer Eligibility Conditions for Workers

These are conditions that employees must meet if they want to prosper from job mobility services.

1. As an expatriate worker, you must be subject to the KSA laws.
2. Additionally, you should complete at least a year of employment with your present employer.
3. The employee must have a well-documented work bond or contract.
4. The new employer must submit the new job offer that the employee is receiving via the Qiwa portal.
5. You must issue a notice to your present employer regarding the Iqama transfer stating the notice period.

Conditions To Transfer Services Without Employer Consent

The new KSA labor laws of 2025 have clearly set the ground rules for transferring sponsorship without the current employer's approval under certain conditions. These provisions are designed to protect workers and ensure fair labor practices:

Employer's Work Permit or Iqama Expiration: Employees can initiate a direct transfer if their current employer's work permit or Iqama has expired and remains unrenewed.

No Work Permit Issued: Direct transfer becomes permissible when an employer fails to issue a work permit for the employee within 90 days of their arrival in Saudi Arabia.

Non-Payment of Salary: When an employer fails to pay an employee's salary for three consecutive months, this constitutes direct grounds for transfer without consent.

Contract Expiration: Upon expiration of a fixed-term employment contract, employees are generally entitled to transfer to a new employer without requiring their current employer's permission.

Employer Violations of Saudization Rules: When employers fail to adhere to Saudization regulations and the Ministry of Human Resources and Social Development (MHRSD) refuses to renew their work permits, affected non-Saudi employees gain the right to transfer to new employers without current employer consent, serving as an enforcement mechanism for national workforce development objectives.

Employer's Prolonged Absence: Employees may qualify for transfer without consent when their employer experiences prolonged absence due to travel, death, or imprisonment.

Employer Involvement in Illegal Activities: Transfer without consent is permitted when there is evidence of employer involvement in concealment (tattasur) or human trafficking.

Employer Failure in Legal Disputes: An employer's failure to appear for two court sessions during a legal dispute with the employee can enable transfer without consent.

No Contract on Qiwa: Although documented contracts are typically required for transfers, employees may transfer without employer approval when the labor contract has not been registered on the Qiwa platform.

How To Check Iqama Transfer Status?

Here are some quick steps that we have come up with to facilitate this procedure.

Step 1: The first step is to go to the official site of the Ministry of Labor, and since this site is only available in the Arabic version, it is essential to adhere to these instructions.

Step 2: Once the site loads, select the fourth option from the menu. The option translates to Naqal Kafala.

Step 3: Once you are directed to the next page, select the second option. Now, you must fill in your Iqama number and then enter the image code in the visible text box. Once you are done with entering these details, click on the option at the bottom right.

Step 4: Once all this is done, you will find your sponsor's name in the brackets. You can find other details like the Application Number and Date of Transfer on this page. By cross-checking these details, you can identify the status of your Iqama transfer.

What Happens If Your Transfer Application Is Unlawfully Denied?

When employers refuse or obstruct transfers, workers have clear legal remedies under the Saudi labor regulations.

Filing a Complaint with MHRSD: Workers can submit complaints through the Ministry of Human Resources and Social Development's online platform or mobile app.

Friendly Settlement Process: The MHRSD's electronic "Friendly Settlement for Labor Disputes" service serves as the first stage for resolving labor disputes between workers and employers, filed electronically through the ministry's website. The Amicable Settlement Department schedules sessions and conducts mediation within 21 working days from the date of the first session. If no settlement is reached within this timeframe, the labor office electronically submits the case to the labor court.

Saudi Arabia's employment framework aims to prevent unjustifiable job transfers while implementing strong conflict resolution systems that reflect the government's dedication to fostering a more equitable and transparent workplace landscape.

Transfer with Expired Iqama vs. Final Exit Visa

An expired Iqama creates a transfer opportunity with financial obligations, while a final exit visa eliminates transfer eligibility.

Expired Iqama as Transfer

Pathway: An expired Iqama, despite incurring penalties, can enable direct transfer to a new employer without the current employer's consent under specific circumstances. While the individual remains liable for fines and faces practical complications, the legal framework permits job mobility.

The new employer typically handles the expired status by paying accumulated fines during the transfer process, though proactive renewal is recommended to avoid escalating penalties.

Final Exit Visa Prohibition: Employees holding a final exit visa are explicitly barred from the Iqama transfer process and cannot accept new contracts or change employers, as the final exit visa represents termination of residency and permanent departure from the Kingdom.

How Much Will You Be Charged?

For New Employers:

• First-time transfer fee: SAR 2,000
• Each subsequent transfer: Additional SAR 2,000 (subject to cumulative increase)

To know more about the foreign business setup in Saudi Arabia, contact one of our expert consultants.