25% of private sector engineers must be Saudis: MHRSD of KSA
The Ministry of Human Resources and Social Development has announced a new policy requiring businesses to have 25 percent of their engineering workforce be Saudi nationals, with effect from July 21, 2024.
This significant decision, aimed at boosting employment for Saudi citizens, aligns with the Kingdom's Vision 2030 goals, which focus on increasing local talent participation in various sectors.
The Ministry’s official notification reads: “In its commitment to providing stimulating, productive, and stable job opportunities for citizens across various regions of the Kingdom, and to enhance their participation in the labor market, the Ministry of Human Resources and Social Development is following its approach to Saudize sectors and target activities and professions in line with the goals of Vision 2030. According to Ministerial Decision No. (99895) dated (09/07/1445H), which pertains to the Saudization of engineering professions, a quota of 25% of engineers in each establishment must be Saudi nationals, starting from 15/01/1446H corresponding to 21/07/2024. This guide has been prepared to clarify all the details of the targeted Saudization decision, including the imposed quotas, targeted activities and professions, the mechanism for calculating the percentage of employees, penalties, and the support programs provided by the Human Resources System and specialized bodies to assist the private sector in implementing the decision. It also addresses the most frequently asked questions.”
The Ministry also posted on LinkedIn, "As part of the effort to raise the participation of national cadres in the labor market, learn about the decision to localise engineering professions for private sector establishments employing 5 or more workers."
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According to the new procedural guide, private sector employers must meet a quota of Saudi engineers to support Saudization in the profession. The guide details how to calculate the percentage, outlines penalties for non-compliance, and describes support programmes available to help integrate Saudi engineers into the workforce. This initiative is part of a broader strategy to enhance job opportunities for Saudis and boost their presence in key professions. The policy reflects the Ministry's commitment to creating stable, meaningful employment and fostering economic growth. Businesses are advised to review the guide and prepare for the upcoming changes to ensure smooth compliance.
The ministry will implement the Saudization of engineering profession initiative in partnership with the Ministry of Municipal and Rural Affairs and Housing.