Saudia-Online the Net Gate to Saudi Arabia Market
 Business 
Saudi Arabia Business News
Business Opportunities
Business Guide
Companies Directory
Corporate Websites
Currency Exchange
Saudi Arabia Events
Local News
Saudi Stocks
Monthly Economic Reports
Saudi Arabia Travel
Saudi Arabia Weather
Submit Press Release
Read Press Releases
 
 COMMUNITY


Free Websites
 for Saudi
companies and Establishment
&
for Foreign companies 
interested in exporting
to Saudi Arabia


Community Sign Up

Email
Chat
Message Boards
Should women be in the army?

Classifieds
Events
 QUICK LINKS
About Saudi Arabia
About us

Advertising
Arabic cuisine
Arabic newspapers

Arabic radio and TV

Free downloads

Saudi Arabia ISP's

Science and Technology

Send us feedback

Travel

Traveling to Saudi Arabia

Phone Free
 
 
 

      
Top Saudi Arabia Business News& Press Comments

      

GOSI to enforce new insurance scheme by April
Riyadh,20th March 2001

    A new social insurance scheme covering private and government establishments will come into effect on April 1 and will include an increase in the subscription rate to 18 percent, the General Organization for Social Insurance (GOSI) announced yesterday.

  GOSI Governor Sulaiman ibn Saad Al-Homaid said the new system would be applied from Muharram 1 (March 26) for those businesses which use the Hijri calendar, and from April 1 for those rely on the Gregorian calendar. Other features of the system include a provision for early retirement, pension payment for families of prisoners and making the self-employed liable for social insurance.

  A package of instructions issued by GOSI to establishments joining the insurance system stipulated that the amount subject to deduction is based on the annual salary and house rent with the latter calculated at two month’s payment. The subscription rate should not exceed SR45,000 per month and should not be less than SR400.

  For the first-time subscribers, the age must be less than 60 years under the Hijri calculation (58 years, one month and 20 days under Gregorian) at the time of insuring.

  The 18 percent subscription is divided equally between the employer and the person covered. The 9 percent premium is being implemented in stages starting with 6 percent to be paid upon the introduction of the new system. The rate is then raised to 7.5 percent for another year and should reach the 9 percent target on April 1, 2003.

  The scheme added new categories to those covered by GOSI including people employed in the agricultural, forest and farming sectors in addition to sailors.

  State agencies and corporate ventures with government stakes will require establishments dealing with them to submit a certificate from GOSI stating that they are registered with the organization and have fulfilled all their obligations or clearly indicate they are not subject to GOSI system. This requirement is to be met if these establishments want to apply for government contracts, procurement, and subsidies or want to fulfill any transaction relating to their commercial register.

  The new system brings parity between the insurance contribution of private sector employees with those of the civil service and the military.

  GOSI has over the past 26 years given more than SR24.4 billion in pension and compensation. The organization has provided insurance coverage to 6.6 million subscribers and more than 24,000 establishments since its inception in 1970.


Source: Arab News

Send Page To a Friend  

  
Starting Business with Saudi Arabia Use the Saudi Business Guide
 

Join the Saudia-Online.com mailing list
Your Email Address:

Archives Section

Back to Business News

<Home

Free services in Saudia-Online
Free services

Free Websites for 
Saudi Arabia
 Factories

Free services

Free Websites for Saudi companies and Establishment

Free services

Free Websites for
Saudi Arabia Travel
Agencies and Companies

Free services

Free Domain
Registration

Free services

List your Saudi
Arabia Company in
our Directory

Free services

Subscribe to our
Newsletter

Free services Jobs......
Post a job!

Job Openings

  
Free services

Advertise Free
Classifieds section. 

Free services

Gift Reminder

Free services

eCards

Get Stock Quote: Enter Symbol(s)

Symbol Lookup
My Portfolio
Our Privacy Vow 

 


Make Saudia-Online My Start Page  -  Bookmark Saudia-Online
Contact Us -  Advertising Info -  About Us -  Terms Of Service -  Add My Site -  Privacy Policy 

© 1999-2000 by Horizon for Commercial Development Co., Ltd, All rights reserved.
  Saudia-Online,Malls2Save,JeddahMalls,RiyadhMalls,RiyadhShops,SaudiMade,Travel2Saudi and HDC are  trademarks of Horizon for Commercial Development Co. Ltd.  P.O. Box 14657, Jeddah 21434, Saudi Arabia
 Telephone 00966-2-6693585, Fax 00966-2-6693472
Webmaster@saudia-online.com

20 March 2001 06:07:27 PM

Click Here!