RIYADH: The Ministry of Human Resources and Social Development has announced two decisions to raise Saudization rates in the engineering and procurement professions, the aim being to boost national workforce participation and create sustainable job opportunities throughout the Kingdom.
The ministry said the Saudization rate for engineering professions will increase to 30 percent, while the minimum monthly salary in the private and nonprofit sectors will rise to SR8,000 ($2,130).
The decision was issued in cooperation with the Ministry of Municipalities and Housing, the Saudi Press Agency reported on Sunday.
It will apply to companies employing five or more engineers, based on approved job titles and professional classifications, covering 46 engineering roles, including architectural, power generation, industrial, electronics, vehicle, marine, and sanitary engineering.
Engineers will also be required to register with the Saudi Council of Engineers. Implementation begins six months from the date of issuance, allowing companies time to prepare and ensure compliance.
The second decision raises the Saudization rate for procurement professions in the private sector to 70 percent and applies to companies employing three or more workers in the relevant roles.
It includes 12 procurement positions, such as purchasing manager, contracts manager, procurement specialist, tenders’ specialist, warehouse manager, logistics services manager, e-commerce specialist, and market research specialist.
As with the engineering decision, this measure will be implemented six months after issuance, giving companies time to meet the required localisation targets.
The ministry said the decisions are based on detailed studies of labor market needs and the number of job seekers in relevant specializations.
It added that the measures are expected to improve the work environment, create higher-quality employment opportunities for Saudi men and women, and increase national participation in key sectors, including the nonprofit sector.
The ministry also published a procedural guide on its website outlining the targeted professions, Saudization calculation methods, and compliance requirements, urging affected businesses to use the grace period to prepare and avoid penalties.
Private sector companies will also benefit from support programs offered by the human resources and social development system, including assistance with recruitment, training, job stability, and priority access to localisation support initiatives provided by the Human Resources Development Fund.
