According to the latest news on Saudization plans, the Kingdom of Saudi Arabia (KSA) plans to implement it at the beginning of 2021.
The yellow band of Nitaqat has been canceled, effective January 26, 2020, to stimulate the Nitaqat system and encourage companies to check their compliance.
The Saudization ratios show the number of Saudi nationals are needed for your company size and industry. In addition to ratios, companies need to consider professions that are Saudized, some of them are listed below.
Saudization is an important part of operating in the Kingdom and is applicable to all companies. It is the nationalization scheme the government introduced to increase the participation of Saudi nationals in the private sector workforce.
Many companies struggle with Saudization and achieving high compliance in the hi-green and platinum levels. Multinationals and SMEs have different challenges related to Saudization because of their size and their advantages when it comes to Saudization.
As a part of Vision 2030, to increase Saudi national participation in the private sector, the government developed TAQAT. The portal allows companies to search through hundreds of thousands of profiles to find suitable hires.
Recruiting in Saudi Arabia can be challenging, especially for those in the private sector. The regulations of Saudization, finding expatriate workers and trying to remain compliant is challenging for most. Additionally, most smaller companies do not have an in-house human resources team, therefore unqualified employees are tasked with recruiting for the company hence, working outside their expertise. This can lead to greater issues down the road if not resolved. In this article, we break down some common recruitment and hiring issues in Saudi Arabia and how they can be resolved.
Outsourcing Saudization needs can help companies get on the right track with their Saudization and stay compliant for the long term. Outsourcing is a common solution for companies internationally, but outsourcing Saudization is an option that only about a quarter of companies are investing in.
Saudization is an initiative that gives Saudi nationals fair opportunities in the workforce. For companies, that means that there’s a percentage of Saudi nationals that each company must hire depending on the company’s industry and size.
Private sector companies are often confused and frustrated with the Saudization requirements, however, they can be used as an advantage.