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The Financial Express

Saudi Arabia seeks to employ citizens over migrants

| Updated: February 03, 2021 18:40:00


Migrant workers, who work for Saudi Binladin Group, gather as they ask for a final settlement over salary issue, in Riyadh, Saudi Arabia, March 29, 2016 — Reuters/Files Migrant workers, who work for Saudi Binladin Group, gather as they ask for a final settlement over salary issue, in Riyadh, Saudi Arabia, March 29, 2016 — Reuters/Files

Saudi Arabia will reserve customer service centre jobs for Saudi citizens to “offer greater opportunities” and “improve their income potential”, officials said, as the oil exporter battles economic headwinds, Al Jazeera reports.

The kingdom, the Arab world’s economic powerhouse, has increasingly sought to employ its nationals over migrant workers, a trend that has grown across Gulf monarchies since a 2014 oil price plunge, according to the broadcaster.

“Jobs in remote customer service roles will from now on be reserved for Saudis,” the Human Resources and Social Development Ministry was quoted to have announced in a statement on Monday.

“This decision is intended to create job opportunities for Saudis, help them improve their income levels and support the Saudi economy.”

Ahmed Alrajhi, minister of human resources and social development, was quoted as saying on Twitter that the decision was part of the country’s Saudisation plan.

“An extension of the ministry’s endeavors to expand Saudisation, with the aim of enabling the nation’s sons and daughters to have job opportunities; We issued a decision restricting work in the professions and jobs of remote customer service to Saudi men and women, whether through direct or indirect contracting,” Alrajhi’s tweet was quoted to have said.

The edict will apply to all client-facing roles that use telephone contact, email, social media and other “modern means”, the ministerial decree was cited as saying.

 

Double economic hit

Unemployment in Saudi Arabia reached 14.9 per cent in the third quarter of 2020, approaching the record 15.4 per cent jobless rate recorded a year earlier, AL Jazeera also reports citing official data.

Some 60 per cent of unemployed Saudis are aged between 20 and 29, according to the report.

The statistics authority attributed the unemployment figures to the coronavirus pandemic, which “continues to affect the Saudi job market and its economy”, the broadcaster reports.

The world’s leading exporter of crude oil has faced a double hit from the global health crisis and the collapse in oil prices on the international market, the report notes.

Last week, according to the report, de facto ruler Crown Prince Mohammed bin Salman announced the Saudi Public Investment Fund would invest $40 billion in economic stimulus annually over the next five years, as the kingdom combats soaring unemployment.

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