ANÁLISIS DE RESULTADO

It could be argued that one of the expected advantages of using arbitration for labour disputes in Saudi Arabia is that it will decrease the number of labour cases and disputes considered by the CSLDs. This would ease the burdens of the CSLDs and help to expedite litigation before such commissions

As previously noted in Chapter 7, the official statistics of the Saudi Ministry of Labour indicates a significant increase in the number of labour disputes annually. In 2012 the number of labour disputes in the KSA increased by about 33% compared with 2011.675There is no doubt that the increase in the number of labour disputes in Saudi Arabia results in an increase in the number of labour issues and the burdens of the official authorities competent to resolve labour disputes currently in the KSA.

Moreover, using arbitration for resolving labour disputes in the KSA will decrease the burdens on the labour offices related to the Ministry of Labour, by decreasing the number of disputes to be resolved by amicable settlement.

8.4.2 Disadvantages

It may be argued that the major disadvantage of choosing the arbitration method in resolving labour disputes in Saudi Arabia is the cost of arbitration. Arbitration is not a free method of resolving labour disputes, as the parties to arbitration incur the arbitrators' fees and other costs of the arbitration.676 This is unlike litigation before the official labour justice (CSLDs) in the KSA that is free, as stated in Chapter 7.

According to Article 24,677 the parties to a labour arbitration, when appointing an arbitrator, shall conclude an independent contract with him or her stating the fees; if the parties to arbitration and the arbitrator do not agree on the fees, then the fees shall be determined by the HCSLD, and its decision is final.

Raghy confirmed this disadvantage when he says that:

One of the disadvantages of the arbitration method in resolving disputes is the cost that the parties to dispute bear, which includes the arbitrators and experts‟ fees, unlike resorting to the official justice in many countries which is free.678

675_{Ministry of Labour (Saudi Arabia), The Annual Statistical Book for 2012, above n 487, 54.} 676_{Omar, above n 624, 126.}

677_{Saudi Arbitration Law of 2012, above n 143,art 24,} 678

Elias Al-Rajhy, The Responsibility of the Arbitrator in the Saudi Arbitration Law (Master Thesis, Naif Arab University for Security Sciences, 2008) 30.

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Also, Dr Qahtan states that “One of the main disadvantages of arbitration is the cost of arbitrators.” 679

In addition, some researchers argued that another anticipated disadvantage of choosing the arbitration method in resolving labour disputes in the KSA is that the inability to object or appeal against the arbitration award in labour disputes. According to the researchers "Rajhi" and Dr Zaid, one of the disadvantages of arbitration is the inability to appeal against the arbitration awards, as it is considered risky and the consequences are depriving the opponents of the right to object and appeal in order to remedy errors in the award. 680

On the other hand, many legal experts believe that the most prominent feature of arbitration in modern regulations in general, and in the Saudi Arbitration Law for 2012 in particular, is the provision forbidding the right to object to or appeal against the arbitration awards, thereby providing another advantage of the arbitration method.

According to Dr Awa, one of the advantages of arbitration in most of the modern arbitration laws is the stipulation that there can be no appeal against the arbitration awards. This enables the prevailing party to obtain his rights unhindered by an appeal, since the right of appeal may be exploited by the losing party in order to delay giving rights to the prevailing party, as happens in cases of litigation before official courts. 681

In addition, Dr Suwailem believes that the main feature of the new Saudi Arbitration Law for 2012 is to safeguard the arbitration awards against objections and appeals, because this adds legal protection to the arbitration awards in the KSA and enables the arbitration method to resolve the disputes once and for all682

Also, it could totally support previous views which state that the inability to object to or appeal against arbitration awards is one of the main advantages of using the labour arbitration method. As discussed in this chapter, arbitration will help to expedite the resolution of labour disputes. Moreover, it can also be said that the Saudi Arbitration Law does not make the labour arbitration award without supervision or control; rather, it gives the parties to the labour arbitration the right to file a nullify suit against the arbitration award, and this suit shall not be accepted except for those cases specified in Article 50.683

679

Qahtan Al-Darawy, Arbitration Contract in Islamic Fikh and Law (Fourkan for Publishing and Distribution, 2002) 35.

680_{Zaid Al-Zaid, The Arbitrator Job in Islamic Figh (Al-Tadmreya, 2006) 50, 51; Al-Rajhy, above n 678, 30-31.} 681_{Muhammad Al-Awa, Studies in Egyptian and Comparative Arbitration Law (Arabic Centre for Arbitration,} 2007) 288.

682 _{Ali Suwailem , Lecture to Explain the New Saudi Arbitration Law (29 May 2012) Chamber of Commerce} and Industry in Riyadh

<http://www.riyadhchamber.org.sa/search/results.aspx/Results.aspx?k=%D8%A7%D8%B6%D9%88%D8%A7 %D8%A1%20%D8%B9%D9%84%D9%89%20%D9%86%D8%B8%D8%A7%D9%85%20%D8%A7%D9%8 4%D8%AA%D8%AD%D9%83%D9%8A%D9%85>.

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8.5 Conclusion

In this chapter, the method of arbitration was discussed in detail as an optional means of resolving labour disputes in the KSA.

In sub-chapter 2, the significance of arbitration in labour disputes in the KSA was discussed, and it was found that recourse to arbitration to resolve labour disputes in the KSA is optional; that is, arbitration is quasi-judicial, and is based on an agreement between the parties to a labour dispute. It was found that the Saudi Labour Law of 2005 stated clearly in Article 224 the right of the parties to a labour dispute to choose the method of arbitration as an alternative means to resolve all kinds of labour disputes, distinguishing this law from all other labour laws in the Arab and Gulf countries.

Moreover, this research discovered that compulsory arbitration in labour disputes, that is, arbitration that is quasi-legislative, is required by law to resolve the labour dispute and does not often require the consent of the parties to the dispute; nor do the parties to the dispute have the right to choose the arbitrators and the rules and proceedings of the arbitration. Furthermore, it was found that compulsory arbitration in labour disputes is used in some Arab countries to resolve collective labour disputes. However, there is no compulsory arbitration in labour disputes in the KSA.

Sub-chapter 3 presents the rules and proceedings of the arbitration method when used to resolve labour disputes under Saudi Arbitration Law.

It was found that when parties to a labour dispute choose the arbitration method to resolve the dispute, the Saudi Arbitration Law is the law applicable to the arbitration proceedings. Currently, the Saudi Arbitration Law of 2012 is the law applicable when the arbitration method to resolve labour disputes is chosen by the parties to a labour dispute in the KSA. It was found that the agreement to use the arbitration method in accordance with this law is stated in two forms: either through the existence of an arbitration clause before the dispute takes place, or through the arbitration agreement after the dispute takes place. In accordance with the Saudi Arbitration Law of 2012, in order for the arbitration agreement to resolve labour disputes to be valid, it must be stated in writing. It was found that when there is an arbitration agreement between the parties to a labour dispute, such an agreement is binding and, if the respondent holds to it, this dispute cannot be resolved by any means other than arbitration.

It was also found that the process of choosing arbitrators and defining the arbitration rules, such as choosing the arbitration venue, arbitration language and arbitration proceedings is carried out in accordance with the Saudi Arbitration Acts of 2012.

It became clear through the discussion that under the law of 2012 the HCSLD is the competent authority to settle a request for nullification of an arbitration award in labour disputes.

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In sub-chapter 4, the arbitration method used for resolving labour disputes in accordance with the Saudi Arbitration Law of 2012 was evaluated by examining the advantages and disadvantages of using arbitration to resolve labour disputes. It was found that arbitration as a means of resolving labour disputes in the KSA has many advantages.

The main expected advantage of using the arbitration method to resolve labour disputes in Saudi Arabia is the speed with which such disputes can be resolved.

Moreover, arbitration as a means of resolving labour disputes in accordance with the Saudi Arbitration Law of 2012 will give the parties to labour disputes many advantages. It was found that labour arbitration gives the parties to labour disputes in the KSA freedom to choose arbitrators and processes to resolve the dispute, such as the arbitration venue and arbitration language.

In addition, the application of the Saudi Arbitration Law of 2012 in labour arbitration is one of the advantages of using the method of arbitration in resolving labour disputes in Saudi Arabia. The Saudi arbitration law of 2012 is a well-developed law without the negative aspects of the old Saudi Arbitration Law of 1983.

However, through this discussion, it was found the main disadvantage of using the method of arbitration for resolving labour disputes in the KSA is that of cost.

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Chapter 9: Conclusion and Recommendations