Saudi Arabia Modernizes Labor Market with New Expat Classification System

11/07/2025

Saudi Arabia Modernizes Labor Market with New Expat Classification System

RIYADH, July 11: Saudi Arabia’s Ministry of Human Resources and Social Development (HRSD) has announced the implementation of a new framework to classify expatriate work permits into three categories: high-skill, skilled, and basic.

The initiative, unveiled on the Ministry’s official X (formerly Twitter) account, aims to regulate the labor market, enhance workforce development, and foster a more competitive and innovative business environment. It aligns with the strategic objectives of Saudi Vision 2030 and the National Transformation Program.

Implementation Timeline and Classification Details

The reclassification process for current expatriate workers began on June 18, 2025, with full rollout set for July 6, 2025.
New expatriates entering the Kingdom will be subject to the classification system starting August 3, 2025.

The classification system is based on a range of factors, including:

Educational background
Relevant work experience
Professional skill level
Wage scale
Age

A detailed guide outlining the new classification process is available on the Ministry’s official website.