Saudi Arabia Abolishes Kafala system, but not USA!
The historical Kafala System in Saudi Arabia and the current H-1B visa system in the United States share a fundamental structural feature: they both tie the worker's legal residence status directly to a specific employer!
Kafala System of Saudi Arabia
The Kafala system—derived from the Arabic word for “sponsorship”—was established in the 1950s across Gulf nations, including Saudi Arabia. Under this arrangement, a migrant worker’s legal status was tied to their employer, or kafeel, who held considerable authority over the worker’s ability to switch jobs, travel abroad, or seek legal protection. Human rights organizations have long condemned the system for fostering exploitation, abuse, and conditions akin to forced labor.
In a landmark move, Saudi Arabia has officially abolished the Kafala system as of June 2025. This reform affects nearly 13 million foreign workers, granting them the right to change employment and exit the country without needing employer approval—marking a significant advancement in labor rights and personal freedom.
See the details of the Kafala system in this article:
Employer-Sponsored Visa System of USA
Isn't the Kafala System in many ways similar to the employer-sponsored work visa system of the United States? While the much talked about visa system is the H-1B meant for specialty occupations (e.g., tech, engineering), there are other visa types such as H-2A for temporary agricultural workers and H-2B for temporary non-agricultural workers, all of which needs a US employer to petition on behalf of the foreign worker.
These American work visas are employer-sponsored, which inherently places significant restrictions on the employee and gives the employer a great deal of control. Here are the primary restrictions placed on the American work visa employee by the nature of the visa and the employer's sponsorship:
- You can only work for the specific employer that filed and was granted the visa petition on your behalf. You cannot work for any other employer, including taking on a second job.
- You are restricted to the job duties, title, and work sites described in the initial visa petition and the certified Labor Condition Application (LCA).
- If your employer wishes to make a "material change" to your employment—such as a significant change in job duties, a major pay cut, or moving you to a new geographic location (that requires a new LCA)—the employer is generally required to file an amended visa petition.
- If your employment is terminated (either voluntarily or involuntarily), you immediately lose your visa status.
- It is possible to change jobs, but only if the new employer file a new petition for the worker.
- You are generally granted a single 60-day grace period to either find a new employer, file for a change of status, or depart the United States. If you do not secure a new visa or status within this time, you must leave.
- You generally cannot begin working for a new employer until their visa petition has been officially filed and approved.
Human Rights Violations
One may wonder why the human rights organizations have long condemned the Kafala System of Saudi Arabia but not the similar employer-sponsored work visa system of USA?
While the Kafala System faces strong condemnation, human rights groups do criticize aspects of the US visa system, especially of H-2A and H-2B types. These programs have been flagged for poor housing, wage theft, and retaliation against workers who speak out. Critics of H-1B visas point to employer dependency and limited job mobility, which can lead to coercive conditions.
In the case of US visa programs, the workers are covered by federal labor laws, including wage standards, workplace safety, and anti-discrimination protections. While not perfect, workers can file complaints with agencies like the Department of Labor or seek legal aid. The US system is subject to judicial review, media scrutiny, and periodic reforms—though advocacy groups do raise concerns about exploitation, especially in agriculture and seasonal work.
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