Saudi Arabia: Private Sector Nationalisation Rate Up to 22.75 Percent in Q1 2021 Published April 29th, 2021 - 01:00 GMT
Around 63 percent of subscribers were males, while 37 percent were females. (Shutterstock)
Highlights
Saudi Arabia’s Eastern Province witnesses the most progress in this regard with 25.7 percent
Within the Kingdom’s private sector, the Saudization rate the percentage of workers who are Saudi nationals rose to 22.75 percent in the first quarter of 2021, compared to 20.37 percent during the same period last year.
According to a recent report by the National Labor Observatory (NLO), around 1.84 million Saudi employees have subscribed with the General Organization for Social Insurance (GOSI) in Q1 of 2021.
JEDDAH: Within the Kingdom’s private sector, the Saudization rate the percentage of workers who are Saudi nationals rose to 22.75 percent in the first quarter of 2021, compared to 20.37 percent during the same period last year.
According to a recent report by the National Labor Observatory (NLO), around 1.84 million Saudi employees have subscribed with the General Organization for Social Insurance (GOSI) in Q1 of 2021.
Around 63 percent of subscribers were males, while 37 percent were females.
The Eastern Province came first with a Saudization rate of 25.7 percent, followed by Riyadh (24.5 percent), Makkah at (21.4 percent), Madinah (19.3 percent), and Asir (17.5 percent).
Saudi Arabia has the lowest dependence on foreign labor among Gulf Cooperation Council countries at around 77 percent, while Qatar has the highest, at about 94 percent, according to data from S&P Ratings.
Sales director (retail): 45,000-70,000
Senior finance and tax
Big4 partner (mid to senior): 75,000+
Strategy
Partner (tier 1 & 2 firms): 125,000+
Technology and telecommunications
Chief digital officer: 90,000-135,000 The Riyadh skyline in Saudi Arabia. Shuttershock
Saudi economic outlook
The International Monetary Fund estimated in its most recent World Economic Outlook update that the Saudi economy contracted 3.9 per cent in 2020, but is set to grow 2.6 per cent in 2021 and 4 per cent in 2022.
This compares to an estimated 5.4 per cent fall in 2020 for Germany, 10 per cent for the United Kingdom and 5.1 per cent for Japan.
The Institute of International Finance said this week that the kingdom is poised for a modest recovery this year, led by the non-oil sector.
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The Covid-19 pandemic has caused major upheavals around the world – not least in the jobs market.
The tumultuous events of 2020 have affected millions of workers worldwide, including in the UAE, where many companies made staff redundant and reduced salaries in an effort to trim costs and remain operational.
While uncertainty remains, a brighter picture has been forecast for the Emirates, with the Central Bank of the UAE projecting the economy will grow 2.5 per cent in 2021.
So, what is the salary outlook for jobseekers this year?
Pay levels in Abu Dhabi, Dubai and other emirates
The data from HR and recruitment specialist Cooper Fitch (see slideshow above) is based on surveys with 200 companies in the UAE.
DUBAI: Following in the footsteps of retail and engineering, the Saudi government recently added accountancy to the list of professions set to be Saudized. While analysts welcomed the decision and its long-term benefits, many believe that, in the short-term, there may be a shortage of available candidates to fill the roles and measures need to be put in place to upskill Saudi accountants in line with international standards.
The decision to nationalize 30 percent of accounting jobs will impact all local private entities in the Kingdom with at least five accounting professionals. It will come into effect from the first of Dhu Al-Qi’dah, 1442 AH (June 12, 2021), according to a decision announced by Saudi Arabia’s Minister of Human Resources and Social Development Ahmed Al-Rajhi.