Saudization (also called the Saudi Nationalisation Scheme or Nitaqat) is a policy mandated by the Ministry of Labour, which requires Saudi companies to hire Saudi Nationals based on a predetermined quota system. In line with the government's 2030 vision, its aim is to empower Saudi nationals and encourage the employment of Saudi citizens across all companies. This initiative seeks to generate job opportunities for Saudis and foster economic growth.
Consequently, the government has implemented regulations pertaining to private sector employment. Private businesses are classified into six groups, each one given specific regulations regarding privileges such as Block Visas, Expedited Processing, Work Permit Renewals, and Sponsorship Transfers.
Why does it matter?
There has been a significant increase in the number of Saudi individuals joining the private sector workforceover the past decade. This growth can be attributed to the successful implementation of Nitaqat quotas in 2011, which have effectively promoted Saudization.
Looking ahead, there is a projected surge of new workers as around 5 million young Saudis are expected to graduate by 2030. At the same time, the government aims to reduce public sector employment and instead focus on creating 3 million private-sector jobs within the next 10 years. This strategic approach aims to accommodate Saudi nationals, reduce unemployment rates, and ensure the establishment of a sustainable and thriving economy.
The Benefits of Hiring Locals
Local professionals possess an in-depth understanding of the local culture and business practices. Native talents are well-versed in local rules and regulations, allowing them to navigate potential challenges with ease. Additionally, their fluency in the language and utilization of local resources ensure efficient and effective job execution.
Start your Saudization efforts with NADIA
Your organization has the power to actively participate in Saudization efforts and make a significant impact.
Invest in recruitment - To harness the full potential of Saudi talent and unlock your employees' capabilities, turn to NADIA Global. We offer a comprehensive range of recruitment, advisory, and talent management services. With our expertise, you can attract and retain the best talents in the industry, ensuring a skilled and dedicated workforce for your organization.
Invest in HR Training - Maximize the effectiveness of your Human Resource department through specialized training programs. NADIA Global provides HR management training and on-the-job training to equip your HR professionals with practical knowledge and real-world experiences. By empowering your HR team, they will confidently fulfill their daily responsibilities and provide exceptional care for your employees.
Invest in Employee Development - Ensure the growth and proficiency of your workforce by enrolling your current and new employees in corporate training programs at NADIA Global. Our institution offers a wide selection of immersive learning experiences and professional training certifications tailored to various career paths in Saudi Arabia. From logistics and supply chain management to data privacy and digital marketing, our courses cater to diverse industry needs.
Let NADIA Global be your trusted partner in driving the Saudization efforts of your business. Visit our website to explore our comprehensive portfolio of corporate training programs and professional courses. Our team of experts is also available to address any inquiries you may have. Together, let us empower the local workforce and pave the way for organizational success.
About the Author:
NADIA Global has been the leading consulting firm for recruitment and training in the GCC since 1983. We help businesses recruit the best talent and custom-train employees to enable progression within organisations. We also provide individualised training for career professionals and job seekers who intend career advancement or permanent employment in the GCC.
