The social security system in Qatar currently applies only to Qatari nationals working in the public sector and in select entities, such as joint stock companies and other organizations as determined by the Council of Ministers at the General Retirement and Social Insurance Authority (GRSIA). Employees in the private sector are not covered by the system unless they are Qataris employed by one of the few hundred entities required to participate by GRSIA. New legislation — Social Insurance Law No. (1) of 2022 — will expand participation to cover Qataris in the private sector unless their employer offers a private pension that offers better benefits than GRSIA. The law will take effect six months after its publication in the official gazette with the exception of select provisions on the registration of employees and other procedural requirements.
Changes to the social security system as a result of the new law include the following:
Implementing rules and regulations of the law are still pending and should clarify certain aspects of the new system. Qataris account for only around 10% of the private sector labor force, but the expansion of the social security system may make the private sector more attractive, in line with the government’s initiative — Qatarization — to ensure that 50% of the workforce is made up of Qatari nationals by 2030. That said, the cost of employing Qataris relative to foreign workers will also become that much higher.