(Including Qiwa System & Electronic Employment Contract Process)

For expatriate employees working in the Kingdom of Saudi Arabia (KSA), the Iqama (residence permit) is the key document linking legal residence to employment status. When changing employers, the Iqama transfer process—also known as sponsorship transfer—must be completed properly to ensure legal continuity.

Here’s a step-by-step breakdown of the standard process, including the digital contract requirement via Qiwa, as used in real-world scenarios:

Standard Iqama Transfer Workflow

1. The New Employer Initiates the Transfer Request

(after the employee has accepted the offer)

1. The employee usually receives an Offer Letter or a draft contract first (not the official Qiwa version), which sets the foundation of agreement.
2. Once the offer is accepted, the new employer submits the Iqama transfer request in the government system.

Note: At this stage, no formal employment contract has been signed yet.

2. The Current Employer Approves the Transfer on Qiwa

1. The previous employer must log into the Qiwa platform, and approve the sponsorship transfer in the "Labor Mobility" section.
2. If the current employer refuses to approve, the process will be halted. The employee may need to wait for contract expiration or seek intervention if there’s a labor dispute.

3. Qiwa System Auto-Generates the Employment Contract

This is the core step, where the legally binding contract is created digitally. Contract generation flow:

1. The new employer enters job details: position title, salary, working hours, benefits, etc.;
2. Based on this input, Qiwa automatically generates a PDF employment contract;
3. Both the employer and employee must log into Qiwa to electronically sign the contract.

Signing via Qiwa is mandatory and recognized as an official legal contract in KSA.

4. Contract Signing = Transfer Completion

1. Once both parties have signed the contract in Qiwa, the transfer is considered complete;
2. The employee’s sponsorship is now officially under the new employer;
3. The new employer can now register the employee in GOSI (Saudi Social Insurance system) and begin salary payments.

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* This article is for informational purposes only and does not constitute legal advice. Please refer to official sources for the latest regulations.

Global Hiring, Made Simple

100+ Countries | EOR Services | Compliance Assurance

Scan to contact Remoly

* This article is for informational purposes only and does not constitute legal advice. Please refer to official sources for the latest regulations.