Unemployment and challenges in saudi arabia

Consequently, the Saudi security forces have been placed on high alert. More recently, Saudi Arabia faces a major challenge in its quest for regional leadership.

Improve the compliance with the required Saudization quota 3. A possible thaw in US-Iran relations, combined with US commitment to traditional regional allies Jordan and Turkey, could diminish Saudi influence in the region. They resort to using social media networks; over forty per cent of all Internet users in Saudi Arabia use Twitter, making the country the highest user of the medium, relative to population, in the world.

We will now go into slight detail about each of the three initiatives and their effect on the wage rate. Moreover, they expect the more senior physicians to be accountable for their development by mentoring and coaching them. Further, it required companies to have a minimum wage for Saudis and it subsidizes some of that increase in cost through Hadaf program.

Saudi concerns over the Muslim Brotherhood in large part stem from the fear that it could pose a political threat within the Kingdom, and incite a revolution similar to the Egyptian revolution.

As the development and effective implementation of options often requires the support of a multitude of stakeholders, it is essential that these stakeholders hold a level of shared understanding of both the challenge and potential solutions.

Finally, when the minimum wage was introduced, unemployment increased for females because they had a lower wage rate than men, and so the gap widened between those who wanted to work and those who actually found a job.

With their potential to foster a sense of being isolated, closer ties between the US and Turkey and, possibly, Iran, do not bode well for Saudi Arabia. Millennials also want to grow in their careers, so offering them more opportunities to participate in international conferences to keep them abreast of changes in their field is important.

Still, the main issue that many private sector companies are facing today is the high turnover rate of Saudi employees. Figures for GCC countries are for nationals only. Despite billions of dollars being invested, amendments to legislation and compulsory training courses, the quality of teachers remains problematic.

Saudi Labour Market Challenges

In GCC countries, youth unemployment rates are more than twice as large as overall unemployment rates Source: The social dynamic of the Saudi labour market, wage disparity between Saudi nationals and migrant labourers, and excessive dependence on foreign labour are challenges that will not be resolved overnight.

The most recent movement involved per cent Saudization of the telecom sector which led to a shutdown in several small-scale businesses in the sector. For a list of countries included in aggregates, see Endnote In Riyadh, for instance, 50 million cubic metres of water annually is pumped over 40 kilometres to irrigate 15, hectares of wheat, fodder and palm trees.

Being a desert country, water is extremely scarce. The recent designation by Riyadh of the Muslim Brotherhood as a terrorist organisation has placed increased strain on relations within the Middle East.

Difficult Times Ahead: The Challenges Facing Saudi Arabia

This means decisions must take into account not only present contexts and risks, but also future ones, which are likely to be very different from the current. Finally, they addressed the issue of reluctance to work because of low wages by introducing a minimum wage for Saudis. Even though employment rate grew by 3.

Saudi Arabia: Labor market challenges and opportunities

It also embarked on a major reform to build technical and vocational education and training TVETand it increased its spending Unemployment and challenges in saudi arabia training and education of Saudis to develop the skills required by the private sector.

If the House of Saud works to alleviate the issues this paper has highlighted, it is likely they will be perceived by their citizens as truly having their welfare in mind. As a result, fertility rates have remained high over the past decades.

These factors support the complaints of some Saudi citizens that they are disadvantaged educationally. Labour migration began following the initial discovery of oil, but increased substantially only after the oil boom and subsequent initiation of ambitious development projects.

Meanwhile, the US is urging Europe to diversify its energy sources and develop a local gas supply; recently discovered major natural gas deposits off the coasts of Greece and Cyprus could aid Europe to do just that.

Yet, Gulf countries still face persisting high youth unemployment rates, particularly for young women see Figures 1 and 2suggesting that economic expansion is not enough to solve the youth unemployment challenge in the region.

International Labor Mobility in Theory The theory of international labor mobility suggests that workers will move from their home countries to foreign countries searching for higher wages immigration.

A lack of technical skills among Saudi nationals and disinclination towards labour-intensive private sector jobs creates skewed demand for migrant labourers.

The effect of insufficient water is already being felt in cities such as Jeddah, an important economic hub, where water, due to extreme shortages, needs to be trucked in, and deliveries that used to take one hour now take three days. Most non-Saudis are employed in the allied engineering field By comparison, private schools favour a teaching style where critical thinking is encouraged, European and North American curricula are followed, and there is no gender segregation in the classroom.

In barrel terms, Saudi Arabia exported an estimated 7. Furthermore, large oil revenues have enabled the provision of a generous social contract, so that GCC governments do not need to tax their citizens to ensure social welfare.

This can only be done with socio-economic cooperation and a creation of employment opportunities to efficiently absorb the influx of labour.Unemployment, and challenges in Saudi Arabia Is it not strange to hear of the unemployment problem from the largest oil exporter in the world?

The problem of unemployment in Saudi Arabia began to appear at the beginning of the last century. Saudi Arabia: Labor market challenges and opportunities Date: October 8, Author: deloittemiddleeast 0 Comments The IMF recent report about Saudi Arabia’s economy sheds some light on the challenges that Saudi Arabia will face because of the falling oil price and its impact on its fiscal revenue and increasing fiscal deficit.

Unemployment in Saudi Arabia, especially among its youth (47% of the Saudi population in was aged under 25), is high, with jobless estimates of around twelve per cent.

Youth unemployment one of toughest challenges for Saudi Arabia, IMF official says

Women’s Employment in Saudi Arabia A Major Challenge. 2 Booz & Company Contact Information Abu Dhabi Richard Shediac significant­challenges.­The­Kingdom’s­ SAUDI ARABIA Exhibit 1 The Unemployment Rate for Saudi Women Is Significantly Higher Than for Saudi Men Male Female Social enterprise to target youth unemployment in Saudi Arabia.

Social challenges. Saudi Arabia is among the richest countries in the world, but many of its challenges mirror those of the. Dec 08,  · Unemployment in Saudi Arabia rose to % in the third quarter of this year, marking a four-year high.

Unemployment and challenges in saudi arabia
Rated 0/5 based on 9 review