Abu Dhabi: Recent statistics revealed an increase in the rates of Saudisation in the private sector during the third quarter of this year to 21.54 per cent compared to 20.40 per cent in the same quarter of last year.
The financial and insurance sector had the highest rate of Saudisation at 83.5 per cent, and its workers constitute 0.90 per cent, while workers in the construction business accounted for 26.87 per cent, as the highest activity by the number of subscribers, but with a Saudisation rate of 13.5 per cent, the statistics, released by the Human Resources Development Fund, showed.
The eastern region came the highest with a Saudisation rate of 25.2 per cent, while Al Jawf was lowest with 13.6 per cent.
COVID-19 crisis
The statistics showed an increase in the Saudisation rates of total insurance subscribers and workers in the private sector — a good indication of the support that the Kingdom gives in helping those who was affected during the COVID-19 crisis.
Saudisation, officially known as the Saudi Nationalisation Scheme or Nitaqat, is a policy implemented by the Ministry of Human Resources, whereby Saudi companies are required to hire Saudis on a quota basis.
It has been ongoing since 1985. However, over the past five years the Saudi government has made certain roles exclusively for Saudi citizens.
Private sector
Foreigners make up around 10.5 million of Saudi Arabia’s total population of 34.8 million. The Government has moved to localise 20 per cent of engineering professions in private sector businesses.
Saudi Ministry of Human Resources said the decision aims to provide 7,000 jobs for Saudi engineers, which cover all engineers looking for jobs, their number is currently close to 5,000.
The ministry has joined hands with the Human Resources Development Fund and the Marketing Association to groom and employ Saudis in marketing jobs in the private sector as the country is seeking to replace migrant workers with citizens.
Saudisation rates in regions
Regarding the percentage of Saudisation in the private sector in regions, the statistics showed that the Eastern Region came in the highest rank with 25.2 per cent, followed by Riyadh with 21.9 per cent, Mecca with 21.5 per cent, and Medibnah with 19.3 per cent.
The rates of Saudisation in other regions varied between 17.5 per cent to 13.6 per cent, with the Al Jawf region being the lowest rates of Saudisation in private sector workers.
Economic activities
Regarding the rates of Saudisation in economic activities, Saudis in the mining and quarrying sector accounted for 63 per cent, while in international organisations Saudis were 54.3 per cent, the supply of electricity, gas, steam and air conditioning 50.4 per cent, the information and communication 49.9 per cent, education 48.9 per cent and Saudis in administrative and support services reached 11.9 per cent, the lowest economic sector in terms of Saudisation rates.
Saudisation rates in the private sector
Third quarter 2019 (20.40%), fourth quarter 2019 (20.90%), first quarter 2020 (20.37%), second quarter 2020 (20.16%), third quarter 2020 (21.54%).
