Saudi Arabia or the Kingdom of Saudi Arabia rather, a country that proudly lies amidst the mystic Arab lands as the largest state in the region. There’s no denying the fact that the country blossoms with impeccable results on the economic front globally, with developments being witnessed in every sphere.
Be it the proliferating energy sector that lately has been seeing a multitude of global investors making large-scale capital spending to build new capacities and expand the existing ones, or the massive petrochemical and power generation projects hitting the notch of USD 90 billion , the facts have always vouched for a strong economic progress in this exotic Arab country. Hence, the section to follow will build on the same line of thought and talk about the present employment scenario in the country. Considering the fact that general perceptions regarding the country being a tax free state are quite prominent, it seeks to deal with other pertinent issues for you to gain a clearer insight.
The Non-Oil Sector Making Immense Growth
In a country where natural gas related projects have seen investments mounting up to USD 50 billion, it’s quite unthinkable to see an efficient career progression in any other sector. But, you’d only be a layman if you’re still moved by the concept, when in the country.
Might be astonishing, but sectors which merely existed 5 years ago, like transportation and logistics have taken a strong stand in the Saudi economy today. A sector that bases 60% of its growth on basic demands only has seen immense competition flocking from various corners of the world.
As unaffected as the government might seem, even after plunging the oil prices and using the massive fiscal reserves to compensate for the same, signs to support the non-oil sector boom are quite conspicuous. Plus, the king assigning funds as high as USD 23.9 billion to pay all public sector employees with two months of bonus salary, clearly indicates the amount of growth that can be expected in the Saudi job market.
To add to the aforementioned, the non-oil growth in the country jumped to a four month high during March 2015. A robust growth in the non-oil sector has been majorly accompanied with betterment in operating constraints, a steep growth in the output levels and a surge in employment opportunities in the country. Firms operating the non-oil sector space in the kingdom are still on an hiring spree, with additional staff being hired for the next seven months as well. Sounds like a good enough reason to try your hand at the Saudi job market, right?
Reconsideration Over The ‘Nitaqat System’
While most of the expatriates have lost their sleeps, pondering over the ‘Saudisation’ that’ll take place in certain sectors to support the locals, by providing them with employment quota, the regime seems to have taken a different stand, of late. After numerous authorities having requested the government to re-think over the quota set aside for locals in different sectors, there are chances that an expatriate might grab a gasp and still wish for a high paying job in the country.
It’s quite indicative, putting a cap on expat labor in various businesses like retail, construction and manufacturing will definitely affect the respective efficacies in these spheres, hence compromising with the non-oil growth the Saudi regime is pushing so hard for.
By the third stage, the localization of jobs in sectors like retail would step up to 44% from the earlier number of 29% in wholesale firms and to a high notch of 66% in commercial firms. As vouched by private firms, following this, the profit levels would take a great dip, hence affecting the overall economy. But, with the ministry giving it a second thought, an alternate arrangement for the talented expats is sure to follow. Hence, the chances of strong expat employment figures are sure to kick-off in the country, once again.