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Saudi Arabia is a country in the Middle East bordering the Persian Gulf and the Red Sea. Extensive coastlines provide leverage on shipping, especially crude oil, through the Persian Gulf and Suez Canal. Neighboring countries include Iraq, Jordan, Kuwait, Oman, Qatar, United Arab Emirates, and Yemen. The geography of Saudi Arabia is primarily desert with rugged mountains in the southwest. The government system is a monarchy; the chief of state and head of government is the king and prime minister. Saudi Arabia is a member of the League of Arab States (Arab League) and the Gulf Cooperation Council (GCC).
The Kingdom of Saudi Arabia recently launched its first permanent residency program for certain expatriates, allowing them to reside in the country with their families without a Saudi sponsor. Applications can be made through the Premium Residency Card (PRC) online application platform. This idea was first announced in 2016 by Crown Prince Mohammed bin Salman but was only approved by the Shura Council in May 2019, with services starting in June.
Expats are normally sponsored by a Saudi employer and require visas to enter and leave the country, making this a landmark decision considering the country is home to over 10 million expats.
There are two types of residency offered: a permanent residency for a fee of SAR 800,000 ($213,000) and a renewable temporary residency for an annual fee of SAR 100,000 ($27,000). The program requires applicants to be at least 21 years old, submit a valid passport, prove financial stability, have a clean criminal record and provide evidence of medical reports proving they are healthy. This program is expected to generate around SAR 37 billion ($10 billion) in annual revenue by 2020.
The rights and benefits enjoyed by PRC holders include travelling in and out of the Kingdom without restrictions and a separate visa, sponsoring residence and visitor visas for their families, recruiting domestic workers from abroad and sponsoring employment visas, owning real estate and private means of transportation, working in private sector companies and changing jobs. However, they are not subject to free movement within the GCC and are prohibited from working in positions that are limited to Saudi nationals.
If the PRC is cancelled or withdrawn, the expat can remain in the country for up to 60 days unless an extension is approved by the President of the Premium Residency Center (approvals are not granted for more than 180 days).
The new residency program makes it clear that the Kingdom aims to attract long-term foreign investment to help diversify its economy in response to fluctuating oil prices. The Kingdom aims to increase domestic spending by attracting wealthy and high-skilled expats and entrepreneurs, who will play an active role in supporting the Kingdom’s economy and strengthening state revenue.
In addition to offering permanent residency in Saudi Arabia, the Premium Residency visa permits expats to use airport lanes dedicated to Saudi nationals, to conduct businesses, to sponsor visit visas for relatives, to buy and own real estate, and to employ domestic workers such as housemaids.
In order to apply for the permanent residency or limited-term residency without a sponsor in Saudi Arabia through the Premium Residency programme, expats will need to:
In addition to being permitted to live in Saudi Arabia indefinitely under the permanent residency SP1 scheme, holders of the Saudi Premium Residency visa under both the SP1 and SP2 schemes will also enjoy a host of benefits, including:
Under Unified National Platform for Visas’ Premium Residency Centre, expats can apply for the visa in three simple steps, which include filling out a form, request processing of the visa, and receiving the issued residency visa.
There are opportunities in Saudi Arabia for those with the expertise that it seeks, but it is not easy to get a job there straight after university. You will also find it incredibly difficult to secure a job that could be filled by a citizen of Saudi Arabia due to the country’s focus on ‘Saudization’ in a drive to increase national employment rates.
Your best chance is to get a job with an international company that has offices in Saudi Arabia. It would be easier still to join the company in the UK and transfer to a position in Saudi Arabia once you have gained some specialist skills and knowledge.
Arabic is the main business language, so having an understanding of it and the ability to speak it will boost your chances of getting a job offer.
As expected, the majority of job opportunities are in Saudi Arabia’s oil and gas industry. However, as part of its ‘Vision 2030’, efforts are being made to develop other industries in order to diversify its economy and reduce its reliance on oil.
Apart from the oil and gas industry, other prominent industries are:
Looking at the industries that Saudi Arabia is hoping to develop as part of ‘Vision 2030’ gives a good idea of the range of areas that graduates may find work in. These include defence, renewable energy and tourism.
Aramco, a state-owned oil and gas company is, unsurprisingly, one of the largest Saudi employers. Others include:
UK graduates may, however, find it easier to secure jobs with international companies that have offices in the country. These include: BAE Systems, Cisco, EY, IBM, J.P. Morgan, Nestle, Procter & Gamble, PwC, Schlumberger and Siemens.
It can be difficult to land a job in Saudi Arabia straight after you graduate, as its policy is only to permit recruitment of foreign nationals who bring in specialist skills where there is a shortage. Skills in demand include engineering, IT, teaching, healthcare and construction professionals, so graduates in these areas stand the best chance.
Specialists in water resource management and transport infrastructure are particularly needed, while the introduction of VAT in 2018 has created a call for tax professionals.
Arabic is the language used across Saudi Arabia and it will be a significant help to have some understanding of it. As well as learning while still in the UK, you could attend a private language school in Saudi Arabia.
English is widely spoken and understood, especially in business.
Employers in Saudi Arabia generally recognize UK qualifications (especially the large, international companies), but you should check with your prospective employer or the relevant professional body.
The British Council employs English language teachers in its centres. Candidates need a relevant qualification such as the Cambridge CELTA or Trinity Certificate in TESOL (CertTESOL) and around two years of experience in teaching.
If you have a teaching degree and experience, you could look for full-time work at one of the privately-run international schools based in Riyadh, Jeddah and Dammam.
Working hours: You can expect to work from Sunday through to Thursday, with the weekend falling on Friday and Saturday. Employees are legally not allowed to work for more than eight hours a day. Many businesses stop working during prayer times.
Working hours are reduced to six hours a day during Ramadan.
Holidays: Your holiday allowance will depend on your employer but the law states that employees should be given annual leave of no less than 21 days after completing one year of employment.
Employees in Saudi Arabia are given time off for the three public holidays each year: Saudi National Day, Eid al-Fitr (celebrates the end of Ramadan) and Eid al-Adha (celebrates the sacrifice during the pilgrimage to Mecca).
Christmas is not recognised in Saudi Arabia and most expatriates are expected to work on Christmas Day unless they book it off.
Income tax: Overseas workers are not required to pay income tax in Saudi Arabia. Remember to check your UK tax and national insurance position with HM Revenue & Customs (HMRC) to make sure you’re not losing any UK pensions rights.
Employment in Saudi Arabia
At a Glance:
There are more than ten million foreigners based in the Desert Kingdom. Most of them are from South East Asia and find employment as manual laborers. Roughly 125,000 foreign residents from Western nations are estimated to be working in Saudi Arabia as well.
These numbers are unlikely to decline in the near future, although the government is busy improving job prospects for its own people, by investing in the education system and introducing quotas to regulate the number of expats in Saudi businesses. Since November 2012, employers were forced to pay heavy fines if they hired too many foreigners, and not enough Saudis. On top of this, the government has just launched a new ‘Saudization’ plan that will support Saudis from a young age, preparing them for working life. The hope is that expats will no longer be needed if the Saudi population is properly trained.
Holding about 18% of the world’s proven petroleum reserves, it is unsurprising that the kingdom’s economy is heavily based on oil. To be precise, petroleum accounts for 85% of export earnings, 73% of budget revenues, and 50% of the GDP. This partly explains why Saudi Arabia is one of the few high-income countries with a very strong industrial sector.
Thanks to recent diversification efforts to reduce the economic dependency on oil exports, the service sector in Saudi Arabia has really taken off. In 2015, the service sector generated roughly 51.8% of the GDP, thus making the tertiary sector one of this most important sources of income for the national economy. Given the climate and topography, agriculture doesn’t stand a chance of playing a major role, although there have been some government efforts to make the populace less dependent on food imports.
The manufacturing industry has also benefitted greatly from the diversification attempt. In addition to the local petrochemical industry, particular attention has been given to power generation, telecommunications, and natural gas exploration. The government is also investing over 70 billion USD into the building of six economic cities. The hope is that creating a sort of “industry huddle” will motivate the firms, boosting productivity and creativity.
While it is not the easiest country to find work in, there are plenty of opportunities for working in Saudi Arabia if you can offer a high level of expertise and experience. Large numbers of expats have jobs in engineering (particularly in the oil industry), IT, healthcare and medicine, banking and financial services, teaching (especially women), telecommunications, or construction. Since Saudi Arabia is also increasing investment in urban planning, transport infrastructure, food processing, and water resource management, foreign specialists with experience in such jobs might also have good chances.
Most expats working in Saudi Arabia were contracted while still in their previous city of residence. It is very rare, indeed almost impossible, for foreigners to come to, say, Riyadh or Jeddah without an offer in order to start looking for work there. The Saudi government’s new push for “Saudization” has also further complicated the situation.
The recruitment for managerial positions is mainly done by private consultants or agents representing Saudi employers in big cities across the globe. Intra-company transfers within multi-national corporations also account for a considerable share of assignees from abroad. A good first step for anyone interested in working in Saudi Arabia would be to contact their country’s chamber of commerce.
You cannot secure a work permit unless you have a concrete employment offer. In fact, individuals cannot apply for a permit themselves; their sponsor must apply for one on their behalf. Every expat has a sponsor – usually their employer – who acts both as a guardian and a guarantor during their time working in Saudi Arabia. The function of a sponsor can be held by individuals, companies or institutions, such as your chamber of commerce in Saudi Arabia, or a business associate or partner. Some individuals may expect remuneration for their services.
Your sponsor will probably be your main contact in the kingdom, and can help you with many of the issues you may encounter, from getting your visa to helping you find accommodation. At the same time, they are responsible for you and thus have a strong interest in both your well-being and your good behavior. Any offence you cause while living and working in Saudi Arabia may reflect badly upon your sponsor.
Expat spouses need their own work visa if they want to take up employment in Saudi Arabia. Female expat spouses who accompany their husbands to Saudi Arabia don’t have it easy. It is, however, possible for foreign women to find temporary work in fields like healthcare, teaching (with the right qualifications), or real estate. A local recruitment agent may be able to help you find a job and sort out your work permit. Please note that you always need your guardian’s (read: husband’s) official permission to take up employment.
If you are a native English speaker and have relevant qualifications, you can apply for work as an English teacher in a private school or a language school. Once you have a work visa, you can also give private English tuition, for which there is great demand. The British Council in Saudi Arabia also recruits and employs English teachers and may be able to give you further advice on the subject.
Working in Saudi Arabia comes with some considerable financial benefits. Not only may salaries be higher than for the same kind of work in Europe or in the US, but your net income receives a significant boost through the absence of personal income tax.
As there is no social security system, either (at least not for foreigners), there will be virtually no deductions from your monthly salary. However, you may want to make good use of your high income: Not only do you have to take out private health insurance, but you should also contribute to a personal or corporate pension plan during your time working in Saudi Arabia.
Another perk awaiting expat employees upon conclusion of their contract is the “end of contract” bonus, which they are usually entitled to after two or more years of working for the same employer. This indemnity can amount to a significant sum. However, Arab companies are slowly moving away from employing expats for limited periods of one or two years only and are beginning to offer long-term contracts instead.
Non-Muslim expats working in Saudi Arabia must accept that religion is the underlying principle in all aspects of life. Allah and his Prophet are everywhere, even in business meetings. There is no strict division between religion and other areas of life. Religious rituals are to be observed, never mind if you’re in the middle of important business negotiations. If Allah wills it, the deal will be concluded. If it doesn’t work out, it simply wasn’t meant to be.
The other characteristic of doing business in Saudi Arabia that Westerners often fail to appreciate is the importance of family ties. Nepotism is not a sign of corruption but of a healthy business structure. After all, why wouldn’t you give a responsible position in your company to someone you can trust, and who can you trust if not a member of your family?
This policy is aided by the fact that many businesses are built around family units, with senior positions often being held by senior family members. The importance of maintaining a wide network of connections and contacts can therefore not be stressed enough. You never know whose favorite nephew you are talking to! On a similar note, entertaining is an important part of Saudi business culture. You need to invest time into the relationship between you and your business partners.
Foreign workers are required to have the proper visas and work permits in Saudi Arabia, as established by immigration laws. Work permits must be secured for employees, and sponsored by a locally licensed and incorporated entity, which can be a problem for companies just entering the Saudi Arabian market.
1. Black toppers
2. Engineers for agricultural machinery
4. Technicians with a higher level of training (engineers) for power engineering technology
5. Graduates in power engineering
6. Pavers
7. Special(ist) power engineers
8. Concrete fitters
9. Technicians with a higher level of training (engineers) for data processing
10. Carpenters
11. Special fitters
12. Graduate engineers for data processing
13. Technicians with a higher level of training (engineers) for mechanical engineering
14. Construction joiners
15. Physicians
16. Floor and wall tilers
17. Building plumbers
18. Graduate nurses
19. Pipe installers, pipe fitters
20. Graduates in weak-current and telecommunications engineering
21. Electrical installers, electrical fitters
22. Welders, cutting torch operators
23. Cost accountants
24. Metal turners
25. Graduate mechanical engineers
26. Milling machinists
27. Ophthalmic opticians
28. Special graduate engineers
29. Technicians with a higher education (engineer) for civil engineering
30. Special floor layers
31. Construction and furniture joiners
32. Special fitters
33. Bricklayers
34. Other civil engineering specialists
35. Specialist technicians for mechanical engineering
36. Payroll accountants
37. Wood machine workers
38. Graduate engineers – special professions
39. Varnishers
40. Motor vehicle mechanic
41. Glaziers
42. Train conductors, stokers
43. Building fitters, sheet metal fitters, construction fitters
44. Engineers/technicians for rough mechanicals
45. Special technicians for low voltage engineering and communication engineering
46. Other technicians for fuel and gas technology
47. Restaurant chefs
48. Painters, house painters
49. Stove fitters, potters, stove makers
50. Technicians with a higher level of training (engineer) for technical chemistry, chemical engineers
51. Plastic processors
52. Special technicians in business administration
53. Special technicians for civil engineering
54. Toolmakers, cutters and punchmakers
55. Dealers and sales clerks for iron and metal goods, domestic and kitchen appliances
56. Certified public accountants
57. Special technicians
58. Butchers
59. Vehicle body and radiator sheet metal workers
60. Machine fitters
61. Medical technology specialists
62. Special(ist) technicians for data processing
63. Stone masons, stone sculptors
64. Furniture makers
65. Qualified healthcare assistants
66. Healthcare assistants
67. Estate managers, other hotel and restaurant professionals, residence managers
68. Waiters / Waitresses
| Category | Description of Visa |
|---|---|
| Business Visit Visa | Business visa is to conduct limited business transactions with a sponsor (Saudi person or company). Theoretically this is restricted to activities like conducting negotiations or holding business meetings. The business visa is commonly used by individuals providing short term or intermittent services like technical services or management consulting and the Saudi authorities have tolerated that. With the advent of the temporary visa work visa this may change. |
| Work Visa | Work Visas are issued through the Ministry of Labour |
| Temporary Work Visa | This is a recent addition which allows employees of a foreign entity to do temporary work in Saudi Arabia. The foreign entity cannot have a presence in Saudi Arabia. |
Coraledu’s mission is to empower internationals to thrive in their lives abroad. We offer tailored work and settlement solutions designed to facilitate success for individuals and their employers worldwide, with a particular focus on Saudi Arabia. Contact us to discover how we can support you or your employees in achieving both professional and personal fulfillment abroad.
