JEDDAH, 10 November 2002 — “What to do next” is the question haunting expatriates engaged in the taxi trade as well as gold & jewelry business . This follows strict adherence to the Kingdom’s recent pronouncements of Saudization of jobs.
“Some of us are exploring the possibility of finding jobs as drivers with truck operators and families,” Arshad Ahmed, a Pakistani cabbie, said at Sitteen Street here yesterday. “These seem to be my last days here and I hope to make the best of it so I’ll have some money to take back home,” he added.
Limousine companies say they will lose heavily as a result of Saudization of the taxi trade. “We estimate a loss of SR4 billion for a total of 282 limousine companies in Riyadh, 260 in Jeddah, 80 in the Eastern Province and some others in smaller cities and towns,” Al-Watan said in a report quoting a study conducted by a group of limousine companies.
At present they are earning a revenue of SR1.56 billion annually. “As a result of the new regulation, our activities will come to a standstill as we’ll not be in a position to pay our installments toward the cars that we have purchased.
In all probability, we’ll end up in jail due to non-payment of installments,” one of them said.
The limousine firms are said to have purchased 50,000 new cars on installments going up to SR70,000 per car, according to Musfir Abdulhadi Alyami, who heads a committee of limousine companies. “These companies will lose a whopping SR1.56 billion with the implementation of the new regulation. At present each of the 50,000 drivers pays SR100 daily to his limousine company — a total of SR130 million monthly,” he said, adding that the limousine firms had already contracted the purchase of new cars.
He complained on behalf of the companies that they had no official communication from the ministry concerned about the new regulation. “Considering the financial implications involved in the implementation of the new regulation, we’ve requested Crown Prince Abdullah, deputy premier and commander of the National Guard, to reconsider the move,” he added.
In October, the crown prince gave six months to implement the ban order on foreign taxi drivers.
Expats working in the gold & jewelry business are in the same predicament as their counterparts in the taxi trade. Inquiries show that Indians and others from the Subcontinent form a majority of expats working as shop assistants in various gold and jewelry shops, markets and workshops, notably in downtown Balad, Kandara and Makarona Road.
There are an estimated 1,100 gold & jewelry shops across the Kingdom in which thousands of expats work. An estimated 10,000 skilled workers are engaged in about 360 workshops in Jeddah alone.
The order for Saudization of jobs in gold and jewelry shops by March 4 has encouraged some members of the Jeddah Chamber of Commerce & Industry to set up an institute to train Saudi youth in skilled jobs related to the manufacturing and sale of gold and jewelry. Studies show that as many as 13,500 jobs are awaiting Saudis in this sector.
Expats are known to earn SR450 million a year from the trade.
The proposed institute is said to have been supported by the World Gold Council. “What we’re planning initially is a short diploma course for Saudis so that they are able to replace expats within the stipulated time,” a spokesman of the gold & jewelry committee at the JCCI, said.
