Saudi Arabia has begun implementing a decision to localize work in enclosed shopping malls exclusively for Saudis, following the end of the specified grace period. The Minister of Human Resources and Social Development, Engineer Ahmed bin Suleiman Al-Rajhi, issued three ministerial decisions in April to localize several activities and professions in the labor market. The localization decision comes into effect 120 days after its publication on 25 Sha'ban 1442 AH, and according to the procedural guide for the decision, legal penalties will be applied after the grace period ends to all establishments not complying with the decision. Violations included in this decision will incur two types of penalties: hiring non-Saudi workers in professions restricted to Saudis and failing to adhere to localization percentages.
The first decision restricts work to Saudis in all activities and professions within enclosed shopping malls, and management offices of these malls, with a few exceptions for limited activities and professions. The second decision covers increasing localization percentages in the sales outlets of restaurants and cafes according to the specified titles, percentages, and conditions in the issued procedural guide. The third decision includes increasing localization percentages in major central supply market outlets according to the definitions, professions, percentages, stages, and conditions specified in the issued procedural guide.
These decisions are expected to provide 51,000 jobs for Saudis, and the ministry emphasized the necessity of adhering to the issued decisions and compliance by commercial establishments to avoid penalties for violators. Employers can access the procedural guides for these decisions through the ministry’s official website.
