Manama: King Salman Bin Abdul Aziz Al Saud chaired a weekly session on Sunday and decided that the Saudi Arabian government will curb some financial perks for public sector employees.

The decision comes as low oil prices have pushed energy-rich Gulf Arab states to rein in lavish public spending.

A royal decree announced a cut to ministers’ salaries by 20 percent and to members of the appointed Shura Council by 15 percent. No annual bonus will be given for the next Islamic year, due to start on October 2, and the renewal or extension of existing contracts will not include any salary increases.

The employees will have their bonuses, allowances and financial perks cancelled, amended or suspended according to their categories, the government added. Annual holidays for ministers will also be reduced from 42 days to 36 days.

Previously, an employee would receive an additional 25 per cent of their salary for work performed outside of normal working hours. It would reach 50 per cent if the work is performed on official holidays.

Public sector employees will not receive transport allowance during their holidays and if they don’t use their 60 off days during the year, they lose them under the new rules.

All public sector employees regardless of their nationalities and being in military will be applicable for the financial reductions. The government agencies will be given 60 days to amend their statutes to ensure full compliance with the new decree.