Employers in the Kingdom of Saudi Arabia (KSA) now need to assess their foreign workers in accordance with a new points-based work permit system that has begun operating in the country.
The new system, published on 3 July, is being introduced in two phases. The first phase took effect on 5 July and applies to non-Saudi workers currently employed in the KSA. The second phase takes effect on 3 August and applies to workers entering the KSA for the first time.
Under the new system, workers will be categorised as at a ‘high-skilled’, ‘skilled’, or ‘basic’ level.
Employers will need to assess the level each of their non-Saudi workers is at, based on specified criteria.
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In the first phase, employers will need to establish the skill level of their existing non-Saudi workers based on an assessment of “their professions and wages”.
In the second phase, a wider range of criteria will need to be factored into the assessment of new non-Saudi workers coming to work in the KSA for the first time. Those factors include the person’s educational qualifications, professional experience, professional skills, remuneration, and age.
“The points-based system evaluates applicants based on three main criteria: academic qualifications, professional experience, and wages,” the KSA Ministry of Human Resources and Social Development (MHRSD) said in guidelines on the new system. “A specific number of points are allocated to each criterion based on the applicant's performance. If the total points earned by the applicant exceed a certain threshold set by the MHRSD, they will qualify for a high-skilled work permit.”
“This system is characterised by flexibility, allowing applicants to compensate for not meeting some criteria with stronger performance in others. For example, if an applicant has extensive experience but does not meet the education/experience requirements, they can still qualify for a high-skilled work permit based on their performance in the remaining criteria,” it added.
The new criteria will operate alongside existing frameworks, such as the Saudi Standard Classification of Occupations (SSCO), which divides occupations into nine categories and imposes wage thresholds, as well as an accreditation scheme that serves to impose professional skills requirements and a system for verifying that a person meets those requirements.
The MHRSD said that how a worker is classified will be determined on an automated basis, based on the information employers share about their workers. It will be possible for employers to request a reclassification if a worker’s skill level displays as incorrect, provided they meet the criteria.
Riyadh-based Sairah Narmah-Alqasim of Pinsent Masons Saudi Arabia said: “Employers in the KSA must now classify all non-Saudi workers – both current and new hires – into one of the three skill categories based on qualifications, experience, licenses, job roles, and salary, as mandated by the MHRSD’s updated guidelines. Employers must ensure job titles match actual duties and align with the SSCO, and workers may need to pass skill verification tests or meet specific criteria. All classifications must be submitted through the MHSRD’s digital platforms, supporting broader goals of labour market efficiency and Vision 2030.”
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