RIYADH: Saudi Arabia introduces a new permit system focused on skills to attract foreign talent and align foreign workers with the Kingdom’s economic goals. Ahmed Al-Rajhi, Minister of Human Resources and Social Development announced the initiative, classifying expatriate workers into three categories: high-skill, skilled, and basic. Classification depends on factors such as qualifications, experience, technical ability, wage level, and age. The system started on July 1, 2025, for new workers and June 18 for existing expatriates.
This initiative supports Vision 2030, which seeks to increase productivity, minimise skill mismatches, and encourage innovation. This is a needed step, especially as the country has undertaken innovative projects such as NEOM, the Red Sea Project, Qiddiya, and Diriyah Gate, which requires specialised expertise.
The new system has adopted a digital evaluation process through the QIWA platform, which aligns with Saudi professional and educational standards. It aims to enhance transparency in workforce planning and assist businesses hire employees who are better-qualified, while gradually lessening reliance on low-skilled labor.
This move aligns with favourable employment trends. The overall employment rate fell to a record low of 2.8% in Q1 2025 and non-Saudi unemployment at 0.8%. Expatriates constitute 44.4% of the population, with most in the working-age group.
The initiative is also connected to the Professional Verification Program, which verifies the credentials for foreign workers in main sectors. Employers are asked to reclassify employees via QIWA, and employees can ask for a reassessment. Detailed instructions are available on the ministry’s website.
