Nitaqat certificate must for govt bids

Nitaqat certificate must for govt bids
Updated 28 December 2012

Nitaqat certificate must for govt bids

Nitaqat certificate must for govt bids

The deputy chairman of the commercial committee at the Eastern Province Chamber of Commerce and Industry, Ali Barman, said the government would soon announce a decision linking contractors’ ability to enter government tenders with the company’s position in the Nitaqat program, which is being implemented since last year.
A company that wants to place bids in a government project would be required to present a certificate from Nitaqat showing its position in the system in terms of Saudi employees — whether it is in the red, yellow, or green zone. Contracting companies would receive correspondences obliging them to present the certificate when applying for tender specification documents, he said, adding that government departments had already stopped accepting transactions of companies that do not include the certificate in their documents.
However, obtaining the certificate can be a problem for companies. Having it issued by the Ministry of Labor would take seven days, which is slow, and several companies lost their chance to enter the bidding because they did not obtain their certificates in time, he said.
Barman called for expediting the procedures for issuing the certificate. Not receiving the certificate within a few hours would cause companies problems.
Nitaqat is a program that assesses establishments’ performance in terms of nationalization of jobs. It categorizes them into four categories comprising excellent, green, yellow and red. It awards those in the first two and deals more strictly with those in the red, while companies in the yellow zone are given grace periods.