Saudi Gazette report

RIYADH — The National Labor Observatory (NLO) revealed that the second quarter of 2023 recorded the highest participation of Saudis in the labor market compared to previous quarterly periods.

The number of Saudi citizens employed in private sector establishments rose to 2.2 million employees, with a total growth of approximately 210,000 employees compared to the same quarter in 2022, averaging around 42,000 employees per quarter until the second quarter of 2023.

The growth in the number of Saudi citizens working in the private sector can be attributed to the positive economic growth rates in the Saudi economy. These rates contributed to increasing the overall labor market size, strengthening demand for labor, and boosting productivity rates in the market.

The National Labor Observatory issued a Saudization report for the second quarter of 2023, reviewing changes in the labor market and Saudization rates in private sector establishments.

The report provides an analysis of Saudization rates based on economic activities and administrative regions, along with a comparison of Saudization rates in the second quarter of 2023 with the previous quarter and the same quarter in 2022. It also examines the net growth of citizens’ jobs.

According to the report, the number of male employees reached 1.3 million, while there were around 900,000 female employees in the private sector by the end of the second quarter of 2023, resulting in a total Saudization rate of 22.3%.

The numbers also revealed that the Eastern Province recorded the highest Saudization rates at 27%, followed by Makkah with 24%, and then the Riyadh and Al-Madinah regions with 21%, all in the second quarter of 2023.

Additionally, the information and communications sector achieved the highest participation rate for male citizens at 60%, while the education sector had the highest participation rate for female citizens at 53%.

It is worth noting that the Saudization report issued by the National Labor Observatory is published quarterly. Established in 2010, the observatory serves as the primary and reliable source for labor market data and insights.

It issues various products and reports throughout the year, focusing on analyzing indicators and data to support strategic decision-making by designing policies supported by facts and figures, evaluating their impact, and anticipating the future of the labor market.