Investors in the domestic recruitment sector warned against an emerging domestic recruitment crisis in Saudi Arabia due to the limited exporting markets and the conclusion of the legalization period. Shortages are expected to reach 60 percent in the domestic labor sector and 10 to 20 percent in the labor market in general.

Investors told local media that the crisis would deepen because new recruitment companies can’t meet the growing demand for domestic labor. They called on the Ministry of Labor to open up new domestic recruitment channels, and sign agreements with countries that stopped exporting workers.

“The Ministry of Labor’s campaign to correct the status of violating expatriates caused shortages in the labor market in the Kingdom, especially after halting labor export from Indonesia,” said Mutalq Mohammad Al-Hazimi, a member of the Recruitment Committee at the Jeddah Chamber of Commerce and Industry.

“New licensed companies in the recruitment sector have just begun operations, but they are unable to meet the huge demand for domestic labor,” he added.

He said many people are awaiting Indian domestic workers since recruitment from the Philippines too is becoming increasingly difficult.