Do you already or intend to have business in Saudi Arabia. After that, you must understand how Saudization may become the most important framework under the vision of 2030.
What is Saudization?
The Saudi Nationalization Scheme, also known as Saudization or Nitaqat, is an initiative of the Ministry of Labor that mandates Saudi businesses recruit a set number of Saudi citizens.
Saudization is an old practice. Since 1985, the campaign has been continuing on. The Saudi government has, however, restricted certain positions to citizens of Saudi Arabia during the past five years. The General Authority for Statistics (GaStat) announced 2017 population numbers showing that the overall population rose by 2.52% over 2016 when the kingdom was home to approximately 32 million Saudis and foreigners. Saudi nationals make up 63 percent of the 32 million inhabitants of Saudi Arabia.
What is Nitaqat?
The Nitaqat initiative was launched in 2011 with the goal of increasing Saudi national employment in the private sector. Based on the three parameters listed below, companies in Saudi Arabia are given a special company-specific Nitaqat status.
- The percentage of Saudis
The percent of Saudi citizens that are working with your firm.
- Entity Size
Saudi Arabian firms' entity sizes are divided into seven categories. Your Saudization quota will change according on the entity size of your business as indicated by the following category list.
- Classification of Entities
The operations for which your business has a license in the Kingdom will also affect the Saudization quota for your Saudi firm. You can use the ISIC activity sheet, which includes more than 4000 activity codes, to identify what your organization will be doing.
Nitaqat Ranges and their Significance
The Nitaqat Ranges' hues are categorized here along with the meanings behind each color. The collection of services provided by the Ministry of Labor (MoL) that your firm will be qualified to get depends on which of these ranges your company falls into. Each of these ranges corresponds to a degree of Saudization rate. Soon, we'll go into more detail about these features and services.
There are just two ranges—Red and Green—for the entity size category of Small Entities under Category (A). The distinction between the two is the presence of at least one Saudi employee at your business. Unless you have one Saudi native on your books to alter your Nitaqat status from Red to Green, your company's general manager's visa or Iqama will not be renewed if they are not a citizen of Saudi Arabia. Before the expiration of the current Visa/Iqama, it's critical to enter the Green range. You should constantly strive to be in the Platinum range for your Saudi Arabian organization.
To advance local nationals into management, technical, and other qualified roles, RFS Consultancy has made a significant investment in their education. Saudization is the name given to this procedure. In the Kingdom and across the Arab world, it is anticipated that the young men and women engaging in this will create leadership for the future.
One of the largest private sector employers of Saudis, RFS Consultancy employs Saudis at a rate of 57 per cent of its entire Saudi workforce. As skills continue to advance, the percentage and number of locals working progressively expand each year. For example, years ago, the company employed 700 Saudis, making up just 15% of the workforce at the time.
The business prioritizes employee growth in all areas and helps them pursue their professional goals. Training includes task-related exercises, management programs, and more general business topics including safety, ethical behavior, and the development of cross-cultural understanding. These three themes are covered as typical induction material for new employees.
What We Provide
Tailor-made vocational programs are becoming more and more popular as a means of balancing the demands of the various economic sectors with those of the educational system. One of the pillars of our success as a services organization's company is our dedication to the advancement of regional human resources, in our opinion. As part of our social duty, we have run vocational training programs for young Saudi citizens through for more than 3 years now. More than 2,000 Saudi citizens have received help from our programs so far in order to launch their careers in the commercial and semi-public sectors.
Graduates of our induction program get knowledge about:
- Application of accounting and auditing standards
- Application software auditing
- The principles of cooperation and customer service
- Presentation-making abilities, good communication, and innovative thinking are examples of soft talents.
- The Kingdom of Saudi Arabia's new legislation and regulations regarding VAT and taxation
Graduates begin a continual training and development process based on the demands of the auditing and consulting operations after the induction period.
How to Use
You must have the following in order to be considered for the Induction Program:
- A current CV with a picture.
- A copy of your most recent academic transcript
- Awards and certifications obtained over your career
- A copy of your passport
All businesses operating in Saudi Arabia have made Saudization a subject of discussion in recent years. Vocational training for Saudi citizens is growing quickly in the Kingdom of Saudi Arabia as a result of issues in its economic system and human resource development plans. RFS Consultancy has created a vast portfolio of specialized programs to assist companies and individuals in overcoming these obstacles.
The core of local organisations' demands for vocational training is served through our Staff Development Programs (SDPs). The SDPs are designed to provide budding local talent the chance to improve their professional and vocational skills in a variety of sectors. RFS Consultancy collaborates with NGOs, governmental organizations, and our clients to create programs that meet the requirements of all stakeholders as part of our approach.
Each program follows a route of concept design and operational testing to verify long-term objectives will be met, depending on client needs, external conditions, and the availability of eligible individuals. Many other courses, including ones in English, health and safety, work ethics, and other technical training pertaining to their chosen area of specialization, will be available to students.
Why to choose us?
We provide and foster richer partnerships at RFS Consultancy.
Richer in terms of knowledge, depth, and genuine collaboration. And as a result, relationships become richer in a prosperous sense. We can better assist our clients in realizing their objectives and ambitions if we have a deeper understanding of their enterprises and personal lives. Because for us, it's more than simply a job; it's a way of life.
The way we view, hear, and consider our customers sets RFS Consultancy different from rival firms. No of the economic climate, we are able to produce connections and outcomes that are noticeably unique because to our commitment to our customers.
RFS Consultancy treats each of its clients uniquely since we are aware of this. They respond by telling us that what sets us apart from them is our attitude and method of interaction. Therefore, we are pleased to let our clients, as well as our breadth of service and our track record of success, speak for us.