Why will deportation of Expats not create jobs for Saudis?

The Kingdom of Saudi Arabia is amongst the richest countries in the world which employ people from around the globe in order to maintain and stabilize its economy all year round. Not only does the Kingdom have the rarest and important natural resources such as gold and oil, but it tries to utilize and gain full advantage from the underdeveloped and developing nations in a way that it benefits both parties. Due to this, every year there is a large number of people from countries like the Philippines, Indonesia, and Pakistan, India etc. who come to the Kingdom with the hope of stabilizing their career in the small and medium sectors.[irp]

This year, the Kingdom has been facing extreme criticism by its own people who claim that Saudis remain unemployed in their own country while expats continue to flourish and mark territories on foreign land. The criticism isn’t just on a hunch, but merely on facts that prove that within the Kingdom Saudis continue to remain unemployed while the expats are called in each year and continue to exploit all the resources available. Reasons, why companies within the Kingdom do employ expats over Saudis, are because they think that they cannot work as hard as them. Apart from that, it is important to keep into account that the expats do not demand a better pay. What they are offered within the Kingdom is a lot more than what they were offered back home.

According to the Ministry of Labor, they have begun replacing expats with Saudis. They think this will help solve the problem of unemployment of Saudis within the Kingdom. According to statistics, it has been evident that this will not do any good. The problem will remain the same. According to Abdulghani al-Ansari who is a member of the board of directors of the Madinah Chamber of Commerce and Industry, deportation of expats will not open opportunities for Saudis.

He also said that it is important to look at facts and figures such as how 8 million expatriate workers reached over an annual remittance of SR 129 billion which if calculated through simple arithmetic means an expat earns around SR 1343 a month.  He asked that would Saudis ever think of replacing the expats on such meager salaries.

Al-Ansari said that a lot needs to be done in order for the Saudi youth to become an active part of the economy and workforce of Saudi Arabia. The minds of the Saudis have been set high and they themselves wouldn’t even think of replacing expats working in small and medium sized industries.[irp]

Instead, he said that the young Saudis should invest in small enterprises which will, in turn, create jobs and open up a range of opportunities. Al-Ansari also said that the Saudi Savings and Credit Bank had extended SR55 billion in social loans while small scale projects were only SR 3.5 billion! He said that the failure of these projects proves that there is an urgent need of restructuring.

Source: Al Arabiya

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Steve has been living in Saudi Arabia since 2013 and writing about Saudi rules, regulations, guides, and procedures since then.