Saudization' plan praised
Prince Alwaleed bin Talal, chairman of the Kingdom Holding Company (KHC) and chairman of the Board of Alwaleed Bin Talal Foundation, commended the Council of Ministers' decision to charge a fee on private companies employing more foreign workers than Saudis
He noted that Saudi Arabia is one of the few countries in the world that has not applied fees on foreign labor despite this law being applied in countries around the world.
Furthermore, these regulations and fees create a balance in the labor market and decrease the unemployment rate.The total amount of expatriate money transferred out of the Kingdom is around SAR 100 billion annually. The foreign labour population percentage in Saudi Arabia is considered the third highest in the world.
Prince Alwaleed said there should be a national vision with regard to having an effective law, fees and limitations for companies.This in turn will create a competitive marketplace for companies in Saudi Arabia because the labor cost will be relatively higher for companies that have less than 50 per cent Saudisation, which, in turn, will positively benefit citizens.
The Ministry of Labour's strategy aims at lowering its dependence on foreign labor in Saudi Arabia which will benefit the country.
"The SAR 200 monthly fee on business owners employing less than 50 per cent Saudis is a very small amount to pay by them for the benefit of their country. "Any company or organisation that wants to avoid paying those fees can do so by employing 50 per cent Saudis," the prince said. "As for contractors and maintenance companies, it is time for them to contribute a very small part of their profits to our beloved Kingdom, especially companies that have direct long-term contracts and tender. "Even if costs rise, the private sector should comply with the government's drive for Saudisation," Prince Alwaleed added.It is not the first time that Prince Alwaleed has supported this initiative.
Alwaleed Bin Talal Foundation and Rotana Media Group were chosen by the Ministry of Labour as media partners in this campaign, and to do their part to effectively execute Custodian of the Two Holy Mosques King Abdullah's vision to improve, develop, and benefit the women and men of Saudi Arabia.
- IMF report details the crippling economic effects of conflict in MENA
- Saudi Arabia's plastic consumption 20 times higher than global average
- VAT in Egypt: A guide to taxed and exempted goods
- Go big or go home: Expat salaries soar in Dubai
- Lebanon: Financial analysts warn of long-term economic repercussions after BLOM Bank attack
- He's worried, rightfully so: Al-Waleed Bin Talal asks his country to stop 'huge mistake' and establish sovereign wealth fund
- Palestinian Minister praises Saudi plan; thanks Kingdom for contributions to Peace Process
- Recruitment of 100 Saudi youth complements Saudization plan of Custodian of the Two Holy Mosques
- Executive calls for supporting Saudization even if it 'impacts businesses negatively'
- Oryx Rotana holds annual swimming competition for the third year in a row