The "Recruiting Top Graduates in Saudi Arabia"
research released Sunday was based on a survey conducted during June and July
of 2,440 recent graduates and final-year students at six leading universities
in the Kingdom — King Fahd University of Petroleum & Minerals, King
Abdulaziz University, Jubail University College, Prince Sultan University,
Alfaisal University and Effat University.
The list of the top 50 most popular employers in Saudi
Arabia includes multinationals, Saudi private companies, state-owned companies
as well as government ministries.
Among local firms, after Aramco and SABIC, the most popular
employers were found to be Saudi Arabian Airlines (No. 4), Samba Financial
Group (8), Saudi Telecom Co. (9) and the National Commercial Bank (10).
Some of the major companies, ministries and hospitals which
are on the list include Mobily (7), National Guard Hospital (11), King Faisal
Specialist Hospital (12), SABB (14), Al-Rajhi Bank (15), Saudi Electricity Co.
(17), Rabigh Refining and Petrochemical Co. (21), Capital Market Authority
(23), Ministry of Education (25), King Abdulaziz University Hospital (29),
Saudi Binladen Group (31), Royal Commission for Jubail & Yanbu (32), Maaden
(35), Ministry of Interior (38), Saudi International Petrochemical Co. (41),
Marafiq (43), Communications and Information Technology Commission (44), Ministry
of Health (45), King Fahd Armed Forces Hospital (47) Savola (48) and Olayan
(49).
According to the survey, multinationals that came close to
the top of the popularity rankings include oil services firm Schlumberger,
consumer goods company Proctor & Gamble, and industrial conglomerate
General Electric.
Among government departments and ministries, the Capital
Market Authority had the highest popularity with graduates.
The survey finding shows Saudi graduates cited the quality
of a company's training and development program as the main attractions for
joining them.
"They give you courses and let you learn. They send you
to Dubai and to the US to develop yourself so you can advance in your
field," said Abdul Rahman, a graduate of King Fahd University of Petroleum and Minerals who was
interviewed by GulfTalent.com about why he had chosen Schlumberger as his top
choice.
Other factors ranking highly for graduates were the
opportunities to do interesting and challenging work, the company's public
image and reputation, as well as the salary offered.
The survey shows average salary expectation of male
graduates was found to be SR10,000 per month, while the figure for female
graduates was half of that — SR5,000. The gap reflects greater competition
among female graduates for a smaller number of vacancies currently available.
Women graduates also showed much greater interest than men
in joining government organizations, citing higher job security, more flexible
working hours and the infrastructure to absorb a female work force.
Commenting on the survey, Basil M. Al-Ghalayini, chairman
and CEO of BMG Financial Advisors, said: “Although there are still many job
opportunities around in the private sector, there is more supply than demand in
the job market. It is an employers’ market these days and young Saudis will
face a lot of challenges to get quality jobs.”
He said: “Apart from their qualifications, they have to work
extra hard with a strong commitment to their employer to stick around for a
minimum of two years.”
The survey findings come at a critical time for the private
sector. Following the introduction of the government's Nitaqat system earlier
in the year, companies in the Kingdom are required to meet ambitious quotas of
Saudi employees.
Faisal Alsayrafi, a financial adviser, said the perception
of the job market is changing in the Kingdom. “Young fresh Saudi graduates are
looking for big companies to earn good income rather than to go for small
companies. There are Saudi graduates who also eye good career opportunities in
local companies as well as multinationals,” Alsayrafi said.
He said the Nitaqat program announced by the Labor Ministry
recently is a part of motivation tool to attract young Saudis into the job
market. “The program will help reduce unemployment among Saudis in the long run
once it is fully implemented,” Alsayrafi added.
According to the survey, job location was an important
factor for many graduates, with most stating a preference for taking up a job
close to their city of origin where they had grown up, rather than relocate to
other regions of the country.
The survey shows there was significant interest in gaining
international exposure — by working, traveling or training abroad. Based on the
survey results, over 63 percent of males and 35 percent of female graduates
would like the opportunity to live and work for a few years outside the
Kingdom, and would be attracted to employers that offered them this
opportunity.
The study also reveals that graduates' employment decisions
are heavily influenced by their families. Over 76 percent of males and 91
percent of female graduates said their families were somehow involved in their
choice of employer. Most families were reported to play an advisory role, while
a minority of families made the final decision for their children — 3 percent
for male graduates, and 12 percent in the case of female graduates.
However, Jarmo T. Kotilaine, chief economist at the National
Commercial Bank, said young Saudis enter the labor market in an environment of
uncertainty this year. “The prospects for the Kingdom’s economy are generally
favorable and the growth prospects are improving on the back of a significant
increase in government spending in key areas but the uncertain global backdrop
is in no doubt exerting a negative influence on a number of companies,” he
said.
“Nitaqat should in general have a positive impact on job
creation but it is only one of many factors. Even if the chances of employing a
Saudi over an expat have increased, the key issue is the overall willingness to
hire which, while rising, is checked by the reality of global uncertainty. Over
a medium term, however, the increased investments in education and job creation
can be expected to benefit young Saudis more and more sustainably,” Kotilaine
said.
Money spent on education and supply-side policies is a
long-term investment which should not be viewed in the context of one business
cycle, he added.
