‘Green’ push for Saudization

The Ministry of Labor will bar sponsorship transfers and new visas for companies in the lower end of the green (safe) zone of the Kingdom’s nationalization scheme in a bid to encourage these companies to further enhance Saudi-to-expat ratios.
The decision was also taken to prioritize services and incentives provided to companies with a healthier margin within the green zone.
One source at the ministry confirmed that halting visas and transfers onto these companies would make them hire even more Saudis in order to avail of more services through the Human Resource Development Fund (HRDF).
The HRDF helps establishments fill more vacancies through various employment channels.
“Other services to companies in the lower end of the green zone will continue as usual,” he said, adding: “The decision will push companies with sound nationalization policies to go beyond doing the bare minimum.”
Nationalization initiatives increased the number of Saudi workers in the labor market by 115 percent to more than 1.5 million, according to figures.
The ministry also tackled low wages by introducing a minimum wage of not less than SR3,000 for Saudi workers.
They also launched a wage protection program to guarantee that workers are paid on time.
The ministry had also stipulated that workers register with the General Organization of Social Insurance in order to be able to include them within nationalization figures and to ensure that they are insured.