Northman & Sterling

  • info@northmansterling.com
Get Started

Saudization and the Future of Employment in Saudi Arabia

Saudi Arabia is making big changes to its economy, and one important part of this is the Saudization program. Led by the Ministry of Human Resources and Social Development, it aims to increase the number of Saudi citizens working in various industries. This is a significant shift for the country and is part of Saudi Arabia’s Vision 2030 plan. Despite a strong economy driven by oil and gas, the country wants to make sure its people benefit from the growing private sector, rather than relying heavily on foreign workers and companies.

Diversifying Saudization Across Sectors

The Saudization program has expanded its scope to include sectors like project management, procurement, and sales, services for shipping and freight brokerage, as well as outlets for decor and women’s tailoring. This expansion signifies a strategic move to diversify the economy and promote self-reliance, aiming to increase Saudi participation in the labor market.

Incentives and Compliance

The Saudization drive offers incentives and programs through the Human Resources Development Fund (HADAF) to support private sector establishments. The MHRSD has issued procedural guides to ensure clear expectations and smooth implementation of Saudization policies.

The Future Vision of Saudization

Beyond being an employment strategy, Saudization represents a comprehensive national vision for Saudi Arabia’s socio-economic enhancement. It envisions a future where Saudi men and women actively contribute to the nation’s growth, creating a self-sustainable Saudi Arabia that serves as a global model.

Saudization is a crucial policy for Saudi Arabia’s future employment. Despite challenges, it plays a vital role in building a more diverse and sustainable economy. By planning strategically, continually assessing progress, and investing in people, Saudi Arabia is on track to transform its job market. This transformation will offer more opportunities to its citizens and contribute to achieving the goals of Vision 2030.