A large number of workers from India and other South Asian countries are likely to lose their jobs in Saudi Arabia as the kingdom will ban foreigners from 12 activities and occupations. The move has been taken by the Saudi government to provide more jobs to its citizens.
Ali Al-Ghafees, labour and social development minister, issued a directive last month excluding expatriates from certain jobs from the next Hijri year under the Islamic calendar that begins on September 11, reports the state-run Saudi Press Agency reported.
The government bans expatriates from outlets selling watches, eyeglasses, medical equipment, electrical appliances and electronics, car spare parts, building materials, carpets, automobiles and motorcycles, furniture and ready-made office materials, ready-made garments, children’s clothes and men’s wear, household utensils and pastries.
As per reports, the ban will be rolled out in three phases between September this year and January 2019. SPA reported that the order will “enable (Saudi) citizens to work and raise their participation rates in the private sector”.
The move is viewed as the comprehensive changes being made by the ambitious crown prince Mohammed bin Salman. The decision was taken to revamp the Saudi economy and reduce its dependence on oil revenues.
In Saudi Arabia, the unemployment rate crossed 12% last year following the impact of low oil prices. The country, which is home to 3.2 million Indians, the largest expatriate community in the kingdom, and a majority of them are blue collar workers.
Khaled Aba Al-Khail, a Saudi labour ministry spokesman, stated that the regional governorates are also allowed to go ahead with their own moves to restrict some jobs to Saudi nationals.
Increased employment of women in shops selling perfumes, shoes, bags, stockings and garments too will continue as planned, he said.