Saudi Arabia

Implementation of the Engineering Localization Decision in Saudi Arabia

Implementation of the Engineering Localization Decision in Saudi Arabia

The Saudi Ministry of Human Resources and Social Development, in partnership with the Ministry of Municipal and Rural Affairs and Housing, announced the commencement of the implementation of the decision to localize engineering professions at a rate of 25% starting from 21/07/2024. This localization rate will be applied to private sector establishments employing five or more workers in engineering professions.

This decision is part of the efforts by both ministries to provide more stimulating and productive job opportunities for citizens across various regions of Saudi Arabia. The Ministry of Municipal and Rural Affairs and Housing stated that it will monitor and execute this decision, which aims to enhance participation in the labor market, ensuring that the implementation aligns with the demands of the labor market and the specialization of engineering professions.

Moreover, the Ministry emphasized that private sector establishments would benefit from the incentives and support programs offered by the Human Resources and Social Development system to assist in employing Saudis. These include support for recruitment and finding suitable workers, training and necessary qualification support, employment and job continuity assistance, in addition to priority access to all localization support programs available within the system and employment support programs through the Human Resources Development Fund (Hadaf).

The Ministry of Human Resources and Social Development has issued an operational guide detailing the localization and the required professions and rates on the ministry's website, stressing the necessity for establishments to comply with the regulations to avoid any legal penalties that will be applied to violators.

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