Financial

EikonEikon MessengerMENA Company DataIslamic FinanceMENA Projects AppKnowledge DirectLipperFXTDatastreamElektron

Risk

Enhanced Due DiligenceWorld-CheckAutoAuditConnected Risk
You are on:
  • MENA - ENGLISH
  • UAE - ENGLISH
  • KSA - ENGLISH
  • الشرْقُ الأوسَط
  • السعودية
  • الإمارات
ZAWYA

Economic News

Global EconomyGCC EconomyLevant EconomyNorth African EconomyMore

Regional News

Indian Sub-ContinentEurope, UK & USAsia Pacific

Other News

Press ReleasesTop NewsLatest NewsMultimedia

Financial & Risk

Financial ServicesIslamic FinanceEquities NewsCurrencies NewsCommodities News

Sectors

Real EstateConstructionEnergyTechnologyMore

Legal

Government PolicyCorporate LawPersonal LawMore
Opinions Home

Insights

Economic InsightsMarkets InsightsBusiness InsightsLegal Insights
Wealth HomeInvestment GuidesWealth ManagementFundsAlternative Investments
Markets HomeMarket AnalysisMorning BriefingsEquitiesCurrenciesCommoditiesStock ScreenerFundsFunds Screener

Eikon

Quickly uncover hidden opportunities with comprehensive data and content.

MENA Company Data

Access the most comprehensive database of companies and officers in the Middle East and North Africa, covering all major sectors and industries, from Refinitiv.

Companies HomeBig Ideas for Small BusinessesNew CompaniesUpdated CompaniesFind Companies

MENA Projects App

Screen, analyze and compare projects in the Middle East and North Africa across Infrastructure, Real Estate, Industrial and Energy sectors with Refinitiv’s Eikon.

Projects HomeBelt & Road Initiative CoverageNew ProjectsUpdated ProjectsFind Projects
You are on:
  • MENA - ENGLISH
  • UAE - ENGLISH
  • KSA - ENGLISH
  • الشرْقُ الأوسَط
  • السعودية
  • الإمارات
  1. Home
  2. Economy
  3. GCC
  4. Article
jobs|02 September, 2018

SMEs to employ more Saudis as hiring expats gets expensive

Saudis receive a monthly salary ranging between SR3,000 and SR5,000

  
Image used for illustrative purpose. A Saudi woman is interviewed at a campany's booth during the first annual Bab Rizq Jameel, a three-day job opportunity fair for Saudi youth, where candidates are interviewed by companies and can be instantly hired, at the Riyadh Convention Center in Riyadh, Saudi Arabia.

Image used for illustrative purpose. A Saudi woman is interviewed at a campany's booth during the first annual Bab Rizq Jameel, a three-day job opportunity fair for Saudi youth, where candidates are interviewed by companies and can be instantly hired, at the Riyadh Convention Center in Riyadh, Saudi Arabia.

Getty Images
By Staff Writer, Saudi Gazette

JEDDAH — The rate of Saudization in small and medium enterprises (SMEs) is expected to increase as a result of high cost of employing expatriate workers, according to traders and market analysts.

Mohammed Al-Johani, deputy chairman of the food committee at the Jeddah Chamber of Commerce and Industry (JCCI), said the new strategy of the Ministry of Labor and Social Development (MLSD) seeks to achieve a balance between the number of jobseekers and the current economic situation of private firms.

“SMEs that represent 90 percent of firms in the private sector will be forced to employ more Saudis as a result of a substantial increase in the cost of employing foreign workers,” Al-Johani told Al-Madina Arabic daily.

Saudis receive a monthly salary ranging between SR3,000 and SR5,000.

Decision-makers represent 15% to 20% of workers in a company. They receive a salary of SR10,000 to SR15,000 monthly. Saudis should work on these positions as there are about 100,000 Saudis who have graduated from foreign universities under the King Abdullah Foreign Scholarship Program.

“These highly qualified Saudi graduates can replace those highly paid expats,” Al-Johani said.

Dr. Khaled Al-Maimani, head of human resource department at Faculty of Economics in King Abdulaziz University in Jeddah, said the main reason why many Saudis leave private companies is the lack of confidence between Saudi employees and management. “This happens mainly because of the absence of Saudis in top or middle management in major companies,” he told Al-Madina newspaper.

He urged the ministry to change its Saudization strategy as it should focus on increasing the efficiency of workers.

He expected unemployment rate to fall from 12.9 percent as a result of increase in the cost of employing foreigners.

Nidal Ridwan, president of the Federation of Labor Unions, said all jobs are important and the government wants to Saudize jobs in all sectors without any exemption.

Ridwan said the Saudization program was going ahead in the right direction despite the challenges posed by the illegal tasattur (cover-up) businesses and some employers. He urged the private sector to support the government’s efforts to create suitable job opportunities for young Saudi men and women.

Economist Dr. Essam Khalifa emphasized the need to employ Saudis in senior managerial positions to facilitate employment of Saudis in the private sector.

 

© Copyright 2018 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.
Related Topics:
jobssaudi arabiasme

More From GCC

Stable outlook for GCC banks; but profits under pressure again: Fitch

Stable outlook for GCC banks; but profits under pressure again: Fitch

GCC capital markets show signs of recovery: PWC

GCC capital markets show signs of recovery: PWC

$318.3mln Tamkeen support for employment of Bahrainis

$318.3mln Tamkeen support for employment of Bahrainis

Bahrainis lead the way at new airport

Bahrainis lead the way at new airport

Putin praises Saudi Arabia, Russia and U.S. for stabilising energy markets

Putin praises Saudi Arabia, Russia and U.S. for stabilising energy markets

Kuwait ups spend; deficit at $40bln

Kuwait ups spend; deficit at $40bln

Zawya Coverage

financial services

Stable outlook for GCC banks; but profits under pressure again: Fitch

Stable outlook for GCC banks; but profits under pressure again: Fitch
financial services

Hana Al Rostamani is the first woman CEO at UAE's biggest lender

Hana Al Rostamani is the first woman CEO at UAE's biggest lender
equities

ADX plans new listings, derivatives trading in drive to double market cap

ADX plans new listings, derivatives trading in drive to double market cap
financial services

UAE banking sector still 'in good health': Emirates NBD

UAE banking sector still 'in good health': Emirates NBD
equities

Dubai's Emirates NBD full year profit plunges 52%; board recommends dividend

Dubai's Emirates NBD full year profit plunges 52%; board recommends dividend
More

Reuters Coverage

economy

Cuba needs deeper economic reform, creditors say

Cuba needs deeper economic reform, creditors say
investment

BlackRock CEO says bullish on outlook for green investment

BlackRock CEO says bullish on outlook for green investment
olympics

Insurers face 'mind-blowingly' large loss if Olympics cancelled

Insurers face 'mind-blowingly' large loss if Olympics cancelled
education

UK PM Johnson pushes back school reopening until March 8

UK PM Johnson pushes back school reopening until March 8
industrial

Bangladesh garment sector struggles as pandemic empties order books

Bangladesh garment sector struggles as pandemic empties order books
More

Most Read

Stock Market Data

Powered By  Knowledge Direct
  • Saudi SE
    8,784.12
    142,287,553(-0.07% )
    27 JAN 2021 12:19
  • Nasdaq UAE 20
    3,445.86
    0(1.40% )
    27 JAN 2021 10:01
  • Dubai FM
    2,726.35
    97,442,184(1.05% )
    27 JAN 2021 09:55
  • Abu Dhabi SE
    5,661.838
    88,823,886(1.42% )
    27 JAN 2021 10:00

Most Active Stocks

More

Have news to share?
Email us at editorial.zawya@refinitiv.com, or send us your company press releases to pressrelease.zawya@refinitiv.com

ZAWYA
About zawyaContact us
RefinitivCopyright © 2021 Zawya. All Rights Reserved.  Privacy Statement. Terms & Conditions.  Do not sell my info.
Our Privacy Statement & Cookie Policy

This website uses cookies to improve your online experience. They were placed on your computer when you launched this website. You can change your cookie settings through your browser.

Privacy StatementCookie Policy