What Is an Iqama Transfer in Saudi Arabia?

An iqama transfer (نقل الكفالة) is the formal process by which an expatriate worker's residency sponsorship is transferred from their current employer to a new employer in Saudi Arabia. This allows the worker to change jobs and remain legally in the Kingdom without leaving and re-entering on a new work visa — a significant advantage for both worker and new employer.

Saudi Arabia's Labor Reforms and Iqama Transfer

Saudi Arabia's 2021 labor market reforms significantly liberalized the iqama transfer process as part of broader efforts to modernize the Kingdom's employment framework. Under the updated system, workers in the private sector can request an iqama transfer without needing their current employer's permission in certain conditions — a major departure from the previous system where employer consent was mandatory for all transfers.

When Can an Iqama Transfer Be Requested?

An iqama transfer can typically be initiated when:

  • The worker has completed their fixed-term contract period
  • The current employer gives consent to the transfer
  • The worker's iqama is valid and in good standing
  • The worker meets the conditions for transfer under the current MHRSD regulations
  • There are no outstanding penalties or violations on the worker's record

Iqama Transfer Process — Step by Step

  1. Submit an iqama transfer application electronically through the Absher Amal (business) platform
  2. Current employer consent is processed (or confirmed as not required under applicable conditions)
  3. Government transfer fees are paid
  4. Worker's data is updated across iqama and labor systems
  5. New iqama is issued under the new employer's sponsorship

Cost and Timeline

Iqama transfer fees include government processing fees and may involve additional charges if handled through a PRO service. Total costs typically range from SAR 200–600 depending on the worker's situation. Processing time, when documents are complete and there are no complications, is typically 1–3 weeks.

Occupation Matching — A Critical Requirement

The worker's new job title and actual duties must match the occupation category listed on their iqama. If the new employer needs the worker in a different occupation, a separate occupation change process may need to be completed alongside the iqama transfer — adding time and cost to the process.

For Employers — How Iqama Transfer Benefits You

For Saudi companies, accessing workers already in the local market via iqama transfer or the Ajir System is often faster and significantly cheaper than overseas recruitment. Instead of waiting 3–4 months for a new overseas worker and paying SAR 8,000–15,000 in recruitment costs, you can bring in a skilled, available worker within weeks.