The first phase of the localising of consulting sector employment in all of Saudi Arabia has begun, according to the Kingdom’s Ministry of Human Resources and Social Development (MHRSD).
After the grace period for jobs in the industry expired on April 6, the localisation of the consulting sector went into effect.
This was done as part of MHRSD’s ongoing initiatives to give Saudi Arabia men and women an atmosphere that is stimulating and productive at work, increase their involvement in the labour force, and boost their economic contribution.
The decision targets all professions in the sector, most notably: Financial advisory specialist, business adviser, cybersecurity advisory specialist, project management manager, project management engineer, and project management specialist.
Finance Minister Muhammad Al-Jadaan in 2022 also issued a ministerial decision amending the terms of consulting services and obligating consulting companies to ensure the percentage of localization.
The cooperation between MHRSD and the governing bodies, represented by the Ministry of Finance, the Local Content and Government Procurement Authority, the Expenditure and Project Efficiency Authority, and the Human Resources Development Fund, includes localising the consulting industry and professions (HADAF).
To grow local participation in this strategically important sector, the partnership intends to boost the presence of human cadres in the industry, increase the proportion of Saudi Arabia’s working there, and manage the labour market, as per reports.
MHRSD will assist private sector businesses in Saudi Arabia in several ways, including recruitment, assistance with employee training and qualification, employment procedures, and other areas.
The Local Content and Government Procurement Authority will follow up on the promise to incorporate localisation requirements in consulting contracts. It has also published a guide that explains the specifics of localising the consulting industry and professions and the implementation process.
To avoid the sanctions that will be applied to those who violate the rules, establishments must commit to following them.