40% of mobile shops fail to meet Saudization jobs, 30% shut down

40% of mobile shops fail to meet Saudization jobs, 30% shut down

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Saudization in KSA

Around 40 per cent of shops selling and servicing mobile phones and accessories in Saudi Arabia have failed to meet Saudization targets imposed by the Ministry of Labour and Social Development’s Saudization plan in the sector, reports Al-Madinah citing sources at the ministry.In the first phase of its plan, the ministry targets to saudize 50% of jobs in the telecom sector.The source says mobile stores that could not continue business due to the decision to hire Saudis have put their stores up for sale.The rent for stores has also dropped by 60 per cent from SAR 3,000 to SAR 1,200, he added.

The source said 30 per cent have closed down entirely for good.The ministry reported 2,702 violations within two months of implementing the plan all over the Kingdom.According to the source, Eastern Province had the most number of violations with 165 cases while Najran was at the bottom of the list with 14 violations.Another 1,993 cases have been forwarded to the ministry’s penalties committee, 1,549 stores had been shut down for violations and 709 had been issued warnings to rectify their status, according to the report.

So far 15,745 establishments have implemented the new rules. He added the next phase is only a month and a half away.