Saudi Arabia has achieved remarkable growth in its private sector workforce and economic participation over the past five years.
The number of Saudi workers in the private sector rose by 35% in the last five years, reaching 2.34 million. The Minister of Human Resources and Social Development Ahmed Al-Rajhi highlighted this during a panel at the Riyadh Economic Forum. The workforce increased from 1.7 million in 2019 to 2.34 million in 2024.
Unemployment Falls and Job Growth Efforts
The overall unemployment rate fell to 3.3% in the second quarter of 2024, compared to 5.6% in 2019. Among Saudis, the unemployment rate dropped to 7.1% in 2024, down from 12.3% in 2019. This reflects the Kingdom’s efforts to enhance employment opportunities for its citizens.
Saudi Arabia’s economic participation rate rose from 57.9% in 2019 to 66.2% in 2024. Saudi men’s participation increased from 45% in 2019 to 50.8% in 2024, while women’s participation surged from 23.2% to 35.4% over the same period.
Private Sector Compliance and Global Rankings
Compliance with the Wage Protection System (WPS) in the private sector reached 87.6% in 2023, surpassing the 75.5% target. The Kingdom improved significantly in global rankings, advancing 23 places in the Labor Regulations Index to 22nd globally. It also climbed 22 places in the Skilled Labor Index, securing 19th place.
Workforce Productivity, Equal Pay
Saudi Arabia moved up 18 places in the Workforce Productivity Index, attaining 11th place globally. Additionally, it ranked 15th globally in the Equal Pay for Work of Equal Value Index. These achievements demonstrate the Kingdom’s commitment to fair and productive labor practices.
The Kingdom’s strategic reforms and initiatives continue to drive significant progress in employment and global competitiveness.
