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Know your sponsor's 'color' in Saudi Arabia

by Expatguru - 01/08/2012

"This article explains some recent changes to hiring rules in Saudi Arabia"

Some important changes to the rules have been sweeping the Saudi Arabian job market. For long, Saudization (or replacing expatriates with Saudi nationals) has been a high point of debate in the kingdom. Recently, the Government of Saudi Arabia has introduced a new scheme called 'Nitaqat'. The intention of this program is to provide more employment opportunities to Saudi citizens.

Under the new scheme which took effect from November 26, 2011, all sponsors in the kingdom have been put under three different categories or 'colors' - Red, Yellow or Green. The classification under these three colors is done based on the number of Saudi citizens employed by the employers. Those sponsors who have adequate number of Saudis employed in their roles come under the 'Green' category. They would be given preferential treatment such as expedited services while handling foreign workers' visas. Also, employees of these organizations would be allowed to change their professions except for those professions reserved exclusively for Saudi nationals.

Organizations under the 'Yellow' category are somewhere in between 'Red' and 'Green' categories. What this means is that although there are Saudi nationals working in these organizations, the number is still less than the minimum set limit as compared to Green category. What this means to expatriates is that their work visas would not be allowed to extend beyond six years. Of course, an organization can always move from Yellow to Green category, which would automatically lift all such restrictions. However, they need to do so on or before February 23, 2012.

If an organization falls under the 'Red' category, it means that it is the worst performing one as far as Saudization is concerned. Such organizations would not be allowed to hire any foreigners nor would they be allowed to extend the visas of existing expatriates. In other words, virtually they have to shut down unless they move into Yellow and eventually into Green categories.

Expatriates working in red and yellow category organizations need not worry. They would automatically be relieved from obtaining No Objection Certificate (NOC) from their employers. In other words, they could easily be absorbed in Green category and their current employers would have no say in objecting to their employees' transfer of sponsorship. The new scheme is in fact a blessing in disguise for expatriates, as it eliminates fly-by-night companies.

There are plenty of new projects coming up in the kingdom and thousands of new jobs are opening up. Several organizations have set up training departments where skilled expatriates are required to teach young Saudis. There is a huge demand for such teachers to impart their skills and train these youngsters. As long as you check your potential employer's credentials and get employed with the right organization, working in the kingdom would be a rewarding experience.

Expatguru

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