Saudi Arabia has dismantled the Kafala system, a controversial framework that bound millions of migrant workers to their employers. Announced in June 2025, this decision represents a historic step toward labour freedom and human rights reform in the Gulf. The change will impact nearly 13 million migrant workers, mainly from South and Southeast Asia.
What Was the Kafala System?
Introduced in the 1950s, Kafala—derived from the Arabic word for “sponsorship”—granted employers, or Kafeels, sweeping control over foreign employees. They could decide whether workers could switch jobs, travel abroad, or seek legal help. Over time, the system enabled exploitation, as employers often confiscated passports, withheld wages, and restricted movement.
Rights groups have long compared Kafala to “modern-day slavery,” citing cases of abuse, forced labour, and denial of basic freedoms.
Pressure from Rights Bodies and Global Watchdogs
The Kafala system faced growing global condemnation. Human rights organisations and the International Labour Organization (ILO) repeatedly urged Gulf nations to dismantle it. Domestic workers—especially women—were among the most affected, often facing isolation, long working hours, and limited access to justice.
Saudi Arabia’s decision follows similar reforms in Qatar, which revised its labour laws before hosting the 2022 FIFA World Cup.
A New Era for Migrant Rights
As part of Vision 2030, Saudi Arabia will replace Kafala with a modern, contract-based employment system. Workers can now change jobs freely, leave the country without an exit visa, and approach labour courts without employer approval.
The reforms are expected to align Saudi labour policies with international standards, improve migrant welfare, and boost the kingdom’s global image as a modern, worker-friendly economy.
