Nearly 1.3 million Indian expatriate workforce in Saudi Arabia will be hit by a proposed move by the government to replace them with its nationals in 21 job categories.
The Saudi Crown Prince Abdullah, Deputy Premier and Commander of the National Guard, has ordered a government committee to work out the modalities for replacing foreign workers in 21 different job sectors with Saudis in a phased manner in a move to create employment.
The jobs where the expatriates will be replaced are in the fields of readymade clothing, children’s toys, furniture, electricaland household appliances, car show-rooms, auto spare parts, construction materials and mobile phones. Other job sectors to be ‘‘Saudised’’ include bookstores and stationery, footwear, perfumes, car decoration, paints, tailoring materials, abayas, sheep market, frozen chicken, and shops renting materials for special ceremonies.
Labour and Social Affairs Minister Ali al-Namlah has already proposed a gradual replacement of expatriate workers employed in these jobs over the next three years, an Arabic daily said. In the first year, each shop must appoint at least one Saudi, and Saudis should constitute 50 percent of employees in the second year and 100 percent in the third year.
In a related development, the Interior Ministry reminded taxi companies that Saudi drivers must constitute 30 percent of all staff within 10 days as a prelude to complete ‘‘Saudisation’’.
The authorities had earlier banned expats from working as Limousine drivers but the Limousine companies petitioned the government seeking more time to implement the same.
Saudi Arabia implemented last month a decision barring foreigners from working as salesmen and administrators in jewellery shops; the decision is aimed at creating 20,000 job opportunities for Saudis.
The Labor Ministry has also instructed banks to ‘‘Saudise’’ as soon as possible some 9,770 jobs currently held by expatriates. At present Saudis constitute 66 pc of the banking workforce. The rate of Saudisation ranges from 58 to 75 pc with the National Commercial Bank leading with 75 pc Saudisation. Unemployment among Saudis has been rising steadily with a recent unofficial study indicating that the rate is more than 30 pc. Interior Minister Prince Naif, however, put the figure at less than 10 percent.
About three million out of a total of seven million foreigners in the Kingdom will be phased out within 10 years.
A government decision in February limits the number of foreign workers and their families to less than 20 percent of the Saudi population by 2013.