NATIONALIZATION OF LABOR MARKET IN SAUDI ARABIA: A FOCUS ON HOSPITALITY AND TOURISM

Muhammad Sadi
Muhammad Al-Buraey
Rehan Mustafa King Fahd University of Petroleum & Minerals
ABSTRACT
This study investigates the nature and implementation of the newly enacted job nationalization policy known as the “Nitaqat” scheme in the hospitality and tourism sector whereby the government of Saudi Arabia moves to boost nationalization of the labour market to ensure that certain quotas are given to private businesses in accordance with their actual performance in their line of business as well as the size of their workforce. It extends the work of other researchers by focusing on job nationalization policies, in particular, the hospitality and tourism sector which has limited research in this area. The methodology adopted for this study is based on case analyses which look for the underlying rationale of success or failure of the job nationalization policy. A short review will also be provided of the earlier policy known as the “Saudization” scheme and its role in the evolution of job nationalization efforts in the Kingdom of Saudi Arabia.