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SAUDI ARABIA – Saudization Ratio for Engineers
February 27, 2024
By: Vivek Radhakrishnan, Immigration Manager, Middle East & Africa Operations
The Saudi authorities have announced continued plans to increase Saudization in companies operating in Saudi Arabia. The Kingdom aims to increase the percentage of Saudi engineers in companies that employ five or more accredited engineers from 20% to 25%.
Engineers that do not meet the below criteria will not count towards the Saudization percentages:
- Non-accredited engineers
- Accredited engineers who earn less that SAR 7,000 per month
Employers that fail to meet the minimum percentage when the new rules are implemented could be faced with financial penalties and suspension by the Ministry of Human Resources and Social Development Services, which can affect their existing sponsored permits.
Newland Chase Insight
Companies affected by the new percentages should review their employee population and, where required, make any necessary adjustments.
The increase in Saudization is not unexpected, as other countries in the region have implemented long term plans to increase the ratio of locally hired nationals. Please see our alert regarding the Emiratization ratio.
This immigration update is for informational purposes only and is not a substitute for legal or scenario-specific advice. Furthermore, it is important to note that immigration announcements are subject to sudden and unexpected changes. Readers are encouraged to reach out to Newland Chase for any case or company-specific assessments.
