The Ministry of Human Resources and Social Development has announced the commencement of the 60% Saudization (Nitaqat) requirement for marketing and sales professions in the private sector, effective April 19, 2026, following the expiry of the grace period previously granted to private sector establishments.
Following this update, the Ministry has issued a further decision expanding Saudization requirements to procurement-related professions. The 70% Saudization rate for procurement roles became effective 31 May 2026, applying to establishments employing three or more workers in the covered occupations, in accordance with the Saudi Standard Classification of Occupations.
This update applies to any establishment employing three or more workers in the listed marketing or sales roles and forms part of the Ministry's broader Labour Market Strategy aligned with Saudi Vision 2030.
Saudization Rate and Salary Threshold
The revised requirement raises the mandatory Saudization rate for marketing and sales professions to 60%. To be counted toward this quota, a Saudi national employed in a marketing role must receive a minimum monthly salary of SAR 5,500.
Covered Marketing Professions
The following roles are subject to the 60% Saudization requirement under the marketing category:
- Marketing Manager
- Advertising Agent
- Advertising Manager
- Graphic Designer
- Advertising Designer
- Public Relations Specialist
- Advertising Specialist
- Marketing Specialist
- Public Relations Manager
- Photographer
Covered Sales Professions
The following roles are subject to the 60% Saudization requirement under the sales category:
- Sales Manager
- Retail Sales Representative
- Wholesale Sales Representative
- Sales Representative
- ICT Sales Specialist
- Sales Specialist
- Commercial Specialist
- Commodity Broker
Procurement Sector: 70% Saudization Effective 31 May 2026
The Ministry of Human Resources and Social Development has announced the commencement of the 70% Saudization requirement for procurement-related professions in the private sector, effective 31 May 2026. The decision applies to establishments employing three or more workers in the covered occupations.
Covered Procurement Professions
The following 12 roles are subject to the 70% Saudization requirement under the procurement category:
- Procurement Manager
- Purchasing Representative
- Contracts Manager
- Storekeeper
- Logistics Services Manager
- Warehouse Manager
- Tender Specialist
- Procurement Specialist
- E-Commerce Specialist
- Market Research Specialist
- Warehouse Specialist
- Private Label Sourcing Specialist
The Ministry's inspection teams have begun monitoring implementation across targeted establishments and verifying compliance with the prescribed Saudization percentages. Statutory penalties will be imposed on establishments that fail to comply after the grace period has expired.
Implementation and Compliance Obligations
The Ministry has published procedural guidelines on its official website detailing the covered professions, calculation methodology for Saudization rates, and the penalties applicable for non-compliance. Employers should review these guidelines and take the following steps:
- Audit current workforce composition within marketing and sales departments
- Verify job-title registrations on the Qiwa platform
- Review employment contracts tied to affected roles
- Assess whether the SAR 5,500 minimum salary threshold is met for Saudi hires counted toward the quota
- Update recruitment pipelines to meet the 60% localisation target
- Review procurement department headcount and job title classifications against the 12 covered roles effective 31 May 2026
Establishments that fail to meet the Saudization threshold risk adverse Nitaqat classification, which can affect the ability to issue work permits, renew visas, and carry out other government transactions.
Strategic Context: Vision 2030 and Labour Market Strategy
These Saudization decisions reflect the Ministry's ongoing work, in partnership with relevant government entities, to expand employment opportunities for Saudi nationals — both men and women — across all regions of the Kingdom. They sit within the framework of the Labour Market Strategy and Saudi Vision 2030, which seeks to increase Saudi participation across diverse private sector functions.
Scope of the Updated Saudization Requirements
The new 60% Saudization requirement applies across multiple marketing and sales job classifications, including management and specialist roles. Establishments meeting the threshold of three or more employees in these functions must ensure that their workforce composition aligns with the updated percentage. A further 70% requirement has since been introduced for procurement-related professions, effective 31 May 2026, covering 12 specific roles under the Saudi Standard Classification of Occupations.
Affected companies should review:
- Workforce distribution within marketing and sales departments.
- Employment contracts in Saudi Arabia tied to affected roles.
- Job-title registration within Qiwa Saudi Arabia.
- Recruitment pipelines and localization planning strategies.
Failure to meet updated Saudization percentages in Saudi Arabia may affect regulatory classification status and operational flexibility.
Operational and Compliance Implications
The increase in Saudization is not solely a hiring matter, it directly influences:
- Workforce planning and restructuring
- Employment contract compliance
- Job classification alignment
- Qiwa registration accuracy
- Long-term company operations in Saudi Arabia
Companies that delay compliance planning may face operational constraints when processing employment updates or expanding business activities. Integrating HR compliance in Saudi Arabia reviews into workforce planning cycles has therefore become essential.
Strategic Workforce Compliance Advisory
As Saudization frameworks continue to expand across sectors, organizations increasingly require structured advisory support to manage workforce alignment and regulatory compliance.
Conclusion
The expansion of Saudization requirements to marketing, sales and now procurement-related professions reflects the Ministry's accelerating pace of workforce localisation across the private sector. With the 60% requirement for marketing and sales effective April 2026, and the 70% procurement requirement effective May 2026, employers operating in Saudi Arabia should treat compliance planning as an ongoing priority rather than a one-time exercise. Companies that proactively audit employment classifications, workforce structures and Qiwa registrations across all affected departments will be better positioned to meet regulatory expectations while maintaining operational continuity.
How Hudson McKenzie Can Help
As Saudization obligations continue to broaden across sectors, structured compliance advisory is increasingly essential. Hudson McKenzie's Middle East immigration and workforce compliance team advises private sector employers on Nitaqat planning, Qiwa registration, employment structuring, and regulatory risk management in Saudi Arabia.
Contact and Disclaimer
Should you have any questions regarding the above information, or require assistance with your immigration or global mobility matters, please don’t hesitate to contact our legal team at Hudson McKenzie. You can reach us by email at info@hudsonmckenzie.com or by telephone at +44 (0) 20 3318 5794.
For office locations, please visit our Our Offices page.
The information provided in this blog is for general guidance only and does not constitute legal advice.
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