COVID-19 has changed the global employee marketplace forever. Read here to see how companies can benefit from modifying their recruitment and hiring strategies to win in the fight for workers with new expectations for flexible work styles.


2021 Q1 Labor Statistics Released: Saudi unemployment rate decreases

Saudi General Authority for Statistics (GASTAT) has released the first quarterly labor market bulletin of 2021 through its official website. The press release features estimates based on the Labor Force Survey and statistics from the Ministry of HR and Social Development, GOSI (General Organization for Social Insurance), the HR Development Fund, and the National Information Center.

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Saudi Arabia introduces Labor Reform Initiative

In the 1950s, the sponsorship program (Kafalah in Arabic) emerged to regulate contractors’ and workers’ relationships. Under Kafalah, a migrant worker's immigration status was bound to a sponsor (Kafeel in Arabic) for a certain period. Over the period, the employer was given extensive rights regarding the mobility of migrant workers. The expat was permitted to work within the Kingdom as per the agreement with the sponsoring employer. However, they could not transfer or change the employer or leave the country without obtaining written permission from their current employer.   Besides the government, only the sponsor had the authority to secure the worker's residency and work permits and cancel such permits. The employer was expected to report to the immigration authorities if the migrant worker had quit his/her job to confirm that they had returned to their home country after the employment period's termination. If a worker was reported as absconding to the authorities, the worker might get deported to their home country. 

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GOSI in Saudi Arabia: Everything you need to know

The Government Organization for Social Insurance (GOSI) is a premium government institution in Saudi Arabia that deals with social insurance in the country. Headquartered in Riyadh, GOSI is a financially and administratively independent organization that is supervised by a board of thirteen directors. The board of directors consists of insured persons, employers as well as officials from government departments. Since its inception in 1973, GOSI has constantly worked towards improving social insurance benefits meted out to the contributors and their family members. 

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Nitaqat: Stay Green

As a business in the Kingdom, you might be wondering how to stay green within the Nitaqat guidelines that have accompanied Saudization. It is important to know that red-zone companies face business limitations as a result of non-compliance, and as of February 2020, the yellow band of Nitaqat has been canceled; if you do not stay green, you are in the red.  Nitaqat and Saudization are essential components of operating in the Kingdom, and without proper knowledge and application of the program, your company is at risk of unnecessary consequences. Many companies are unsure of their Nitaqat requirements and with recent changes such as the cancelling of the yellow zone in Nitaqat make it vital to know. 

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Compliance: Tourist visa vs Business visa

Compliance is an important part of business in Saudi Arabia; from company set up to payroll to visas. When businesses move or individuals visit the Kingdom, there are legal requirements that must be followed when acquiring a visa. Visa compliance encompasses choosing the right visa for your purpose of visit, ensuring you follow the restrictions on your visa during your visit, making sure your duration of stay and number of entries into the Kingdom are according to your issued visa.

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Doing Business In Saudi Arabia 2019

Saudi Arabia is the world’s largest oil producer and exporter and controls the world’s second largest hydrocarbon reserve. It's the only Arab country to be a part of the G20 countries, the Organization of Islamic Cooperation and OPEC. The country’s global standing has created substantial business opportunities and has become a preferred destination for many foreign investors. 

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