Saudi Arabia has introduced a new skill-based work permit system, effective July 1, 2025, designed to streamline its labor market and attract global talent. The initiative, announced by Minister of Human Resources and Social Development Ahmed Al-Rajhi, classifies foreign workers into high-skill, skilled, and basic categories. This reform is part of Saudi Arabia's Vision 2030 and National Transformation Program.
The system aims to meet the Kingdom's growing demand for skilled professionals, particularly for large-scale projects like NEOM and the Red Sea Project. Key factors for classification include qualifications, experience, technical ability, wage level, and age. Employers are encouraged to reclassify staff through the Qiwa platform.
The Professional Verification Program, launched in 2021 and expanded in 2024, verifies the credentials of foreign workers in key fields. The program currently covers 128 countries and is set to expand to 160. This aims to ensure that expatriate workers possess the necessary skills and qualifications.
The expected impact includes enhanced workforce quality, attraction of global talent, and support for long-term economic objectives. The new system is expected to enhance transparency in workforce planning and help businesses access better-qualified workers. The Ministry has published a detailed guidance manual outlining classification criteria.