Incentive scheme targets industry giants

Incentive scheme targets industry giants
Updated 15 December 2013

Incentive scheme targets industry giants

Incentive scheme targets industry giants

The Ministry of Labor wants to give large companies in the Nitaqat System’s green and platinum zones incentives to increase their Saudization quotas, particularly telecommunication, petrochemical and contracting firms.
The plan is contained in a draft document distributed to the chairmen of the Council of Saudi Chambers’ (CSC) national committees during a three-hour meeting this week with Labor Minister Adel Fakeih, according to a ministry official.
Fakeih met the businesspeople to get their views on labor laws and policy. Some of the businesspeople wanted more time to consider the proposals before getting back to the minister.
During the meeting, the committee chairmen called on the ministry to increase visas for workers in the contracting, construction and agriculture sectors in the wake of the government’s correction campaign, the official said.
Many participants said the minister understood their demands and promised to consider all their recommendations. The two sides agreed to hold regular meetings in future on particular industries, the official said.
Abdullah Radwan, head of the Jeddah Chamber of Commerce and Industry’s contractors committee, said the meeting between the ministry and the CSC committees produced many helpful suggestions including increasing and reducing Saudization quotas for various industries based on market needs.
“The construction industry is one area where we need to reduce the Saudization quotas because there is a need to hire more expatriate workers. At the same time, we should increase the Saudization quotas for operation and maintenance industries after training Saudis,” Radwan told Arab News.
According to Nitaqat data, non-Saudis make up 85.6 percent of the private sector workforce, with Saudi women only comprising 3 percent. The study showed that 84.5 percent of the Saudi private sector is employed in the construction, wholesale, retail, manufacturing, agriculture, forestry, hunting and fishing industries.
The delegates agreed to hold periodic meetings with relevant directorates in the ministry. The respective sectors sought early resolution to their problems caused by the amnesty offered to undocumented expatriates, in order to meet the expectations of the ministry as well as contribute to economic growth.