Saudization in malls to come into force on August 4

RIYADH — The Ministry of Human Resources and Social Development issued on Wednesday the procedural guide for the decision to implement Saudization in closed commercial complexes (malls) in all regions of the Kingdom. The new decision will come into force on Aug. 4 (Dhul Hijjah 25) this year, 120 days after the issuance of the guide.

In the guide, the ministry unveiled all the relevant details regarding the implementation of the decision in all its phases, including the grace period, the time period for implementing the decision, the activities targeted for Saudization, and the percentage of exemptions.

Minister of Human Resources and Social Development Ahmed Al-Rajhi announced on Wednesday the decision to Saudize most jobs in malls. He issued three ministerial decisions to Saudize a number of activities and professions in the labor market that aim to create 51,000 jobs for Saudis.

The first decision is to allot 100 percent of jobs to Saudis in all activities and professions in malls as well as at mall management offices, excluding a limited number of activities and professions. The exempted activities and professions include cafes and restaurants where the rate of Saudization shall be 50 percent and 40 percent respectively. The exempted activities also include hypermarkets and supermarkets.

The professions that are excluded from 100 percent Saudization are cleaning work, loading and unloading, maintenance of recreational facilities, and barbershops. However, the percentage of employees should not exceed 20 percent of the entire workforce at the mall. There should also be identical uniforms for the workers.

The ministry said that punitive measures will be taken against the violators after the end of the grace period. There will be penalties for two types of violations: hiring non-Saudis in professions restricted for Saudis and penalty for the failure to implement the percentage of Saudization.