JEDDAH, 31 October 2004 — Crown Prince Abdullah has instructed the Labor Ministry to issue a final warning to employers showing leniency in implementing Saudization regulations, the ministry said in a half-page advertisement published in a local Arabic newspaper.
“As per the crown prince’s instructions, we would like to alert all on the inevitability to abide by the Saudization rules strictly,” the ministry said, adding that it would start punishing violators from next Hijrah year.
The advertisement said that the ministry had observed that employers were not implementing the Cabinet decision taken on 21/4/1415 related to Saudization and that there were attempts to circumvent the decision by one way or another.
A survey of 75 companies in the Kingdom, conducted by the Riyadh-based Gulf Management Services, has revealed that the overall level of Saudization went up from 18 percent in 2000 to 23 percent this year — an increase which falls short of the annual five percent target set by the Ministry of Labor.
The ministry yesterday named the members of the consultative council, which it set up recently. Chaired by Labor Minister Dr. Ghazi Al-Gosaibi, the council includes prominent businessmen.
The council, which was set up to advise the minister on labor issues, especially employment and recruitment in the private sector, will start its activities shortly.
The formation of the panel comes after many businessmen complained that some of the decisions taken by the Labor Ministry as part of its Saudization drive were adversely affecting their businesses and causing them heavy losses.
