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Friday, July 11, 2025
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Saudi Arabia Modernizes Labor Market with New Expat Classification System

publish time

11/07/2025

publish time

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.