12 May 2013
More malls and small and medium-sized retailers are recruiting young Saudi men to replace expatriate workers before the end of the three-month grace period on July 3. Only 16 percent of the retail sector's 1.5 million workers are Saudi.
Yaqoob Hafez, who works as a supervisor for a private company selling perfumes, said: "We are looking for Saudis to work as salespersons to avoid the high cost of hiring expat workers. We previously hired Egyptians. We have some branches where our expat salespersons are working without having transferred their sponsorships. This could cause problems with the labor authorities. Therefore, we have to hire Saudi staff to work at all our branches across the Kingdom before the end of the three-month grace period."
Farooq Al-Khateeb, a professor at King Abdul Aziz University, said: "The retail sector can provide more than 700,000 jobs for Saudis. At the same time, the cost of hiring Saudis is less than for expat workers. Small- and medium-sized businesses previously had to pay for expats' visas and living costs." Saudis have a great chance to occupy this sector. Many Saudis have proven they have skills to work as salespersons. However, companies that own stores in malls do not offer salary incentives to attract Saudis," Al-Khateeb said.
An obstacle for Saudi men is that they will likely start working at around the age of 21 and have little experience. This is in contrast to Saudi women who are only allowed by law to start work at age 30. Many perfume stores in Jeddah have already started hiring Saudi women as salespersons. The Technical and Vocational Training Corporation (TVTC) has been training Saudis to take up these positions.
Saudi Arabia has the second largest retail sector after the United Arab Emirates. The Kingdom's huge projects have increased the number of commercial malls and stores.
The current retail trade space totals 4.45 million square meters and is expected to increase because of rising Saudi spending. Riyadh and Jeddah have the largest share of retail space. The Gulf Cooperation Council (GCC) currently comprises 200 shopping center projects worth $ 65 billion, recording $ 30 billion in sales and contributing about 5.5 percent to the gross domestic product of GCC countries.
This percentage is likely to increase in light of consumption and expenditure growth of individuals, according to statistics published by the Riyadh Chamber of Commerce and Industry.
More malls and small and medium-sized retailers are recruiting young Saudi men to replace expatriate workers before the end of the three-month grace period on July 3. Only 16 percent of the retail sector's 1.5 million workers are Saudi.
Yaqoob Hafez, who works as a supervisor for a private company selling perfumes, said: "We are looking for Saudis to work as salespersons to avoid the high cost of hiring expat workers. We previously hired Egyptians. We have some branches where our expat salespersons are working without having transferred their sponsorships. This could cause problems with the labor authorities. Therefore, we have to hire Saudi staff to work at all our branches across the Kingdom before the end of the three-month grace period."
Farooq Al-Khateeb, a professor at King Abdul Aziz University, said: "The retail sector can provide more than 700,000 jobs for Saudis. At the same time, the cost of hiring Saudis is less than for expat workers. Small- and medium-sized businesses previously had to pay for expats' visas and living costs." Saudis have a great chance to occupy this sector. Many Saudis have proven they have skills to work as salespersons. However, companies that own stores in malls do not offer salary incentives to attract Saudis," Al-Khateeb said.
An obstacle for Saudi men is that they will likely start working at around the age of 21 and have little experience. This is in contrast to Saudi women who are only allowed by law to start work at age 30. Many perfume stores in Jeddah have already started hiring Saudi women as salespersons. The Technical and Vocational Training Corporation (TVTC) has been training Saudis to take up these positions.
Saudi Arabia has the second largest retail sector after the United Arab Emirates. The Kingdom's huge projects have increased the number of commercial malls and stores.
The current retail trade space totals 4.45 million square meters and is expected to increase because of rising Saudi spending. Riyadh and Jeddah have the largest share of retail space. The Gulf Cooperation Council (GCC) currently comprises 200 shopping center projects worth $ 65 billion, recording $ 30 billion in sales and contributing about 5.5 percent to the gross domestic product of GCC countries.
This percentage is likely to increase in light of consumption and expenditure growth of individuals, according to statistics published by the Riyadh Chamber of Commerce and Industry.
© Arab News 2013
