Saudi Gazette Report
RIYADH — The Ministry of Human Resources and Social Development has taken a significant step towards enhancing the role of national talent in the private sector. As part of broader efforts to empower local workers and expand employment opportunities for citizens, the ministry has approved the localization of key procurement-related professions in the private sector.
The decision, issued on November 30, 2025, applies to private-sector establishments that employ three or more workers. It sets a 70% localization requirement for targeted procurement roles. This initiative is part of ongoing efforts to strengthen the participation of national talent in the labor market, particularly in functions that are central to business operations and supply chains.
According to the ministry, the policy aims to provide high-quality and motivating job opportunities for citizens. It also seeks to increase the contribution of national talent to the private sector and enhance the overall competitiveness of the workforce within the national economic system.
To support the implementation of this policy, a range of assistance programs will be made available to affected establishments. These include:
- Support for recruitment, onboarding, and employee retention
- Access to training and qualification programs
- Wage support through the Human Resources Development Fund
- Initiatives to promote professional stability
The policy is intended to support national competencies, create sustainable career paths for citizens, and ensure long-term employment growth driven by skilled national talent. This aligns with broader human capital development and private-sector growth objectives.
Key Impacts of the Policy
This new regulation is expected to have several key impacts on the private sector and the labor market:
- Increased Employment Opportunities: By requiring a 70% localization rate for procurement roles, the policy ensures that more citizens will have access to these positions, thereby increasing overall employment rates.
- Enhanced Skill Development: The availability of training and qualification programs will help local workers acquire the necessary skills to fill these roles effectively.
- Strengthened Workforce Competitiveness: With a focus on developing national talent, the policy aims to make the workforce more competitive within the national economy.
- Improved Business Operations: By ensuring that procurement roles are filled by local professionals, businesses may benefit from better understanding of local markets and supply chains.
Support Programs for Affected Establishments
To ensure a smooth transition and successful implementation, the ministry has outlined several support programs for affected establishments. These programs are designed to assist businesses in adapting to the new requirements while maintaining operational efficiency.
Some of the key support measures include:
- Recruitment Assistance: Businesses will receive guidance and resources to identify and hire qualified local candidates for procurement roles.
- Onboarding and Retention Strategies: The ministry will provide tools and strategies to help businesses integrate new employees and retain them over the long term.
- Training and Qualification Programs: Access to specialized training programs will help local workers gain the necessary expertise to excel in procurement roles.
- Wage Support: Through the Human Resources Development Fund, businesses will receive financial support to offset the costs associated with hiring and training local talent.
- Professional Stability Initiatives: Additional initiatives will be introduced to ensure that local employees have stable and secure career paths within their organizations.
Conclusion
The approval of the localization of procurement-related professions marks a significant milestone in the country’s efforts to develop its human capital and strengthen the private sector. By prioritizing the employment of national talent, the policy not only supports the growth of the local workforce but also contributes to the long-term sustainability of the economy.
With the support of various assistance programs, businesses are well-positioned to adapt to these changes and continue operating efficiently. The ultimate goal is to create a robust and competitive labor market where skilled national talent can thrive and contribute to the nation’s economic success.
