Saudi Arabia’s programme to localise engineering jobs in the kingdom went into effect this week.
Starting from 21 July, 2024, private sector establishments with five or more engineering professionals are required to hire Saudis for 25% of all engineering roles.
The programme was first decreed in January 2024 jointly by the kingdom’s Ministry of Human Resources and Social Development and Ministry of Municipal and Rural Affairs and Housing (recently renamed to Ministry of Municipalities and Housing). Similar initiatives to boost local employment in the private sector have been launched in recent years in other sectors, such as healthcare, education, retail, and telecommunications.
The policy is part of a drive “to provide more stimulating and productive job opportunities for male and female citizens,” according to the former ministry.
In May, the Ministry of Human Resources and Social Development issued a procedural guide for the private sector clarifying details of the new rules, and has stressed the need for compliance to avoid the statutory penalties that will be applied against violators.
According to the rules, Saudi nationals who are uncertified and working in a non-engineering related role will not count towards fulfilling a company’s Saudisation quota requirements.
Saudi national engineers who are certified and earn less than SAR7,000 per month will also not count towards the quota.
Prior to 21 July, the required quota for Saudi jobs in the engineering professions was 20%.