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Saudi Arabia Will Raise Nitaqat Wage Thresholds to SR5,000 and SR6,000

The increase will be phased in, with the second threshold taking effect 12 months after the first.

Updated 1 min read
Employees enter a private-sector workplace in Riyadh, Saudi Arabia, at the start of the day. / EconoTimes.ai
Employees enter a private-sector workplace in Riyadh, Saudi Arabia, at the start of the day. / EconoTimes.ai

Saudi Arabia will raise the pay requirement for full credit toward private-sector Saudi hiring quotas in two stages, changing how employers meet Nitaqat localization rules.

King Salman directed the change on a proposal from Crown Prince Mohammed bin Salman, the Saudi Press Agency (SPA) reported. Under the first phase, a Saudi employee will need monthly pay of at least SR5,000 to count fully in an employer’s Nitaqat calculation. The threshold will rise to SR6,000 in the second phase, 12 months after the first increase takes effect.

SPA said the policy is intended to lift wages and support continued employment of Saudi nationals by private-sector businesses.

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