Saudisation initiatives have resulted in a “qualitative leap” in Saudi Arabia’s labour market, according to the Ministry of Human Resources and Social Development (HRSD).
In a statement, it said the number of Saudi workers in the private sector has now risen to more than 2.5 million, both male and female, based on the latest indices.
According to the Ministry, this was achieved through directed policies aimed at the empowerment of citizens from mere regulatory procedures into a national integrated project “that redistributes opportunities and raises the level of readiness of national talents for qualitative and future professions.”
In recent years, such resolutions have been expanded to include more than 600 professions, HRSD added.
Notable achievements include the advance of Saudi women in the labour market, which has risen from 23% in 2019 to more than 35% currently.
It also flagged new policies that have opened up opportunities in what it called ‘the future economy’.
“This transformation has contributed to a large segment of male and female youth obtaining jobs built on digital and cognitive advance skills…[to cope with]… transformations in emerging technologies.”
Collectively, these moves have had an impact in reducing the overall unemployment rate.
HRSD said its specialised programmes, in cooperation with other entities, have helped to close the gap between required skills and market needs, speeding up graduate employment.
The current focus of the Saudisation programme is focused on specialised professions within the fastest-growing sectors, it added, highlighting healthcare, engineering, technological, procurement, accounting, marketing and logistics.
As part of the enforcement of Saudisation resolutions, HRSD also noted that it is able to grant firms ‘grace periods’ from the announcement of a resolution and its enforcement.
Additionally, a mechanism for phasing enforcement will be adopted for some resolutions, it added.
“So, Saudisation ratios will raise gradually in each phase, which allows sufficient time for the private sector to fulfil requirements and complete its operating readiness without prejudice to business continuation.”
HRSD issues a procedural manual for each Saudisation resolution, via its website, stating the details of enforcement mechanisms, including penalties for violations.
