Qiwa: Mandatory Shared Housing for Establishments with 20 or More Workers Across 527 Occupations

The Qiwa platform stated that shared housing requirements cover four occupational categories comprising 527 occupations, including 53 occupations in agriculture, forestry, and fishing; 179 occupations in crafts and related trades; 218 occupations in plant and machine operation and assembly; and 77 occupations in elementary occupations, according to the Saudi Standard Classification of Occupations.

The platform explained that workers in these occupations fall under occupational classification codes six, seven, eight, and nine, with their numbers calculated at the establishment level. It added that establishments with more than twenty workers in the targeted occupations are required to provide licensed shared housing that meets technical and health standards.

The platform emphasized that paying a housing allowance does not exempt the employer from the obligation to provide licensed housing for workers in targeted occupations, unlike non-targeted occupations where the employer may choose between providing housing or paying a cash allowance.

This coincides with a circular issued by Dubai Municipality this week regulating shared housing in more than 44 areas across the emirate, meaning that employers in two major Gulf markets face clearer regulations regarding labor accommodation in the coming period.

What do these terms mean?

Qiwa Platform: A Saudi electronic platform that manages labor market services, such as contract authentication and regulatory requirements for establishments and employers.

Shared Housing: Accommodation shared by a number of workers or employees, subject to health and technical conditions and requiring a license before being used to house labor.

Housing Allowance: A cash amount paid to a worker instead of providing housing, which does not relieve the employer of the obligation to provide licensed accommodation for those covered by the requirements.