Labor Minister Adel Fakeih has said that the minimum wage system is a multidimensional issue with economic implications that must be reconsidered before making decisions that might affect the profitability and economies of the private sector.

During a visit to Tabuk, Fakeih said that programs of his ministry are focusing on achieving aspirations of the unemployed.

“The minimum wage for a worker in Nitaqat is SR 3,000,” he said.

He said that if the wage is less than this figure, a worker will not be counted as one individual working for the entity.

“This is why more numbers of the entities of the private sector raised wages of its workers to the SR 3,000 the system demanded to avoid consequences of the red range.”

The minister’s visit aims to plan and develop a number of initiatives for the region. The ministry also plans other development programs with the joint work between the ministry and the related government agencies from one side, and businessmen, chambers of commerce, universities and other interested parties from the other.

He stressed the fact that the ministry intends to hold a national dialogue between the three parties concerned — the government, the workers and employers — to discuss this decision.

“The National Observatory of Work has been established to measure outputs of universities and technology institutions in a scientific way,” said Fakeih following his meeting with Tabuk Gov. Prince Fahd bin Sultan.

The objective of the observatory is to document the periods that graduates spend during the time of their graduation and acquiring a job with a salary.

“A regular dialogue is being held between universities, technology and training institutes from one side, and businessmen and firms of the private sector from the other to find the needs of the job market,” he said.

The minister that there is currently coordination with the Ministry of Interior to activate this decision, in addition to reactivating the committees of Saudization in order to track violators of the employment and residency system.