Saudi Arabia Tops Global Job Growth Index
According to the Global Competitiveness Yearbook 2024, Saudi Arabia has ranked first among 67 countries in both the employment growth index and the labor market growth index. This marks a significant achievement for the Kingdom, continuing its trend of impressive performance in labor market measures.
Continued Excellence in Labor Market Indicators
Despite previous high rankings, including topping the G20 in labor force participation from 2016 to 2021, Saudi Arabia has maintained its leading position. The Global Competitiveness Yearbook 2024 highlights the Kingdom’s strong performance in various indices:
- Skilled Foreign Labor Index: Saudi Arabia ranked fourth.
- Labor Market Effectiveness Legislation Index: The Kingdom was ranked third.
- Employee Training Index: Saudi Arabia placed tenth.
- Working Hour Index: The Kingdom was sixth.
- Overall Labor Market Field: Saudi Arabia achieved fifth place.
Recent Reforms and Legislative Changes
To align with its labor market objectives, the Saudi government is enacting reforms and revisions to labor laws. Recent amendments to the Saudi Labor Law, approved by the Council of Ministers, aim to enhance job stability, improve training opportunities, and expand job opportunities for citizens.
Positive Impact of Labor Law Amendments
Eng. Ahmed Al-Rajhi, Minister of Human Resources and Social Development, emphasized that the Cabinet’s decision is part of the government's ongoing support for the labor system. The revisions reflect a commitment to analyzing and updating labor market systems in accordance with global best practices. The collaborative efforts include contributions from labor committees, the Saudi Chambers Federation, and private sector HR professionals.
Increased Private Sector Employment
The number of Saudi residents entering the private sector for the first time surged to over 34,600 last month, up from 16,500 in June. The total number of employed citizens reached 2.342 million in July, an increase from 2.340 million the previous month. Additionally, employment in private companies rose to 11.473 million from 11.409 million in June.
