Saudi Arabia Implements Major Saudization Drive, Restricts Key Roles for Expatriates
In a significant policy shift that has created waves across the expatriate community, Saudi Arabia has officially restricted four high-ranking professional roles exclusively to Saudi nationals. The decision, confirmed on January 29, 2026, represents a major step in the Kingdom's ongoing Saudization efforts aimed at boosting local employment and reshaping the private sector workforce.
Qiwa Platform Enforces New Restrictions
The Saudi government's central labor services platform, Qiwa, has stopped accepting requests from expatriates to change their professions to these specific senior roles. This administrative change effectively blocks foreign workers from accessing these positions through official channels, creating immediate implications for both current expat employees and future hiring plans.
According to reports from Okaz and Yemen Press, the most notable restriction involves the complete reservation of the "General Manager" title for Saudi citizens. This prestigious leadership position has been entirely removed from residency options available to foreigners, signaling a fundamental shift in how the Kingdom views corporate leadership structures.
The Four Restricted Roles for Expatriates
The Ministry of Human Resources and Social Development (MHRSD) has identified four specific roles that are now subject to strict localization requirements:
- General Manager: Completely reserved for Saudi nationals, with existing expat managers urged to transition to alternative titles like "CEO" or "Chairman" if they meet stringent commercial registry requirements.
- Sales Representative: Faces substantial localization targets as part of broader Saudization initiatives.
- Marketing Specialist: Subject to a new 60% Saudization rate, requiring companies to significantly increase their Saudi workforce in marketing departments.
- Procurement Manager: Now restricted to ensure local oversight of supply chains and procurement processes.
Immediate Impact on Companies and Workers
Starting this month, companies with three or more employees in marketing and sales departments must ensure that at least 60% of their team consists of Saudi nationals. Furthermore, these local employees must receive minimum monthly salaries of SAR 5,500 for sales and marketing roles, or SAR 8,000 for engineering and technical positions, to count toward the company's localization quota.
For expatriate workers, these changes create substantial barriers. Employers are now legally prohibited from offering or updating certain job titles for non-Saudi workers, even after successful interviews. When a job category becomes fully Saudized, the work permit process cannot proceed for foreign candidates in those roles.
System-Wide Quotas and Compliance Requirements
The new system also implements limits on the total number of expatriates that can be employed within each profession. Once these quotas are filled, companies cannot issue additional work permits (iqamas) for more foreign workers, regardless of demand or skill level considerations.
For employers, this necessitates a complete overhaul of recruitment strategies with a renewed focus on prioritizing Saudi nationals. Companies must rethink their staffing plans to comply with evolving labor regulations, with non-compliance potentially resulting in hiring blocks, financial penalties, or operational setbacks.
Strategic Vision Behind the Policy Shift
This initiative represents more than just numerical employment targets; it reflects a strategic emphasis on employment quality and leadership development. Under the guidance of Minister Ahmed Al-Rajhi, the Saudi government is actively working to transition citizens from entry-level positions into strategic, decision-making roles.
By prohibiting expatriates from holding "General Manager" titles, the Ministry aims to ensure that the leadership culture within the private sector becomes fundamentally Saudi. This transformation forms a core component of Vision 2030, the Kingdom's ambitious development plan that seeks to reduce citizen unemployment by providing high-value career paths historically dominated by foreign talent.
Timeline and Transition Period
For thousands of expatriates currently working in these fields, the policy changes have immediate consequences. While current employees have a brief "corrective" period to adjust their status, no new visas or profession changes will be granted for these restricted titles.
Businesses have received a three-month grace period to align their staffing with the new 60% marketing and sales quotas. This transition period allows companies to restructure their workforce while maintaining operational continuity.
Broader Implications for the Labor Market
For the average resident, these changes signal a more competitive job market for foreigners in specialized roles while clearly demonstrating the Kingdom's commitment to prioritizing its youth for influential desk jobs. The policy represents a deliberate effort to reshape Saudi Arabia's economic landscape by ensuring that nationals occupy positions of authority and influence within the private sector.
As Saudi Arabia continues to implement its Vision 2030 objectives, such labor market reforms are expected to play a crucial role in developing local talent, reducing dependency on foreign expertise, and creating sustainable career pathways for Saudi citizens in the nation's evolving economy.
