I bet that no reader, including me, can tell the real figure for unemployment in our country. When I say the “real figure”, I mean the actual number of unemployed people based on reliable and comprehensive facts and figures.
In the absence of reliable figures, we can do no more than guess — and we all know that mere suppositions often lead to incorrect conclusions. Applying unreliable means to arrive at such sensitive issues as unemployment figures means the problem will worsen and become even more difficult to solve.
The Arab Labor Organization puts the average rate of unemployment in Arab countries at 15 percent. At the same time, experts question this figure since most countries do not use methods and mechanisms which guarantee reliable results. If we assume that the Kingdom’s unemployment rate is 7 percent, this is the highest figure that our economy can tolerate, according to Saudi economist Ehsan Bouhleiga. The rate in fact is much higher because, according to the writer, in its very composition, the Saudi economy depends heavily on a foreign workforce whose direct cost exceeded $14.5 billion in 2001.
On the other hand, if the rate of national employment were increased by a mere 1 percent, this could save $140 million in foreign transfers — enough money to build more than 100 schools and replace rented ones.
By the end of 2002 foreign workers are expected to account for 52 percent of the total workforce in the country, which stands at 5.5 million. Of this total figure 3.3 million are expatriates including 600,000 women. Saudis represent 3.1 million including 400,000 women. As for the number of Saudi job seekers of both sexes, their exact figures remain unknown.
Bouhleiga called for what he termed a “national program to stem unemployment among Saudis and curb foreign transfers”. This calls for defining clear targets, timetables and responsibilities while ensuring transparency and accountability. If successfully enforced, the program could secure 98,000 jobs annually for Saudis and save millions in foreign transfers. Those responsible for any failures or shortcomings must be punished.
For such a project to succeed it must not be left entirely to the private sector to implement since it requires an annual expenditure of at least four percent of the GDP. This is not a difficult task since what is needed is the restructuring of the current expenditure allocated to human resource development. The real challenge will be fulfilling objectives and this will only be possible through strong determination and will. I am optimistic the necessary medicine will be both prescribed and taken as long as this serves the objective of ensuring the welfare and prosperity of the Kingdom’s people. This will also help strengthen our position. Time has changed and the 21st century has opened our eyes to new challenges and realities. In many cases researchers and analysts may not live to see their hopes materialize. Let us not delay today’s work until tomorrow.
Arab News From the Local Press 13 January 2003
