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Parallel Nitaqat—The Parallel Saudization Program

Human resources development fund

Parallel Nitaqat—The Parallel Saudization Program

Nitaqat, or Saudization, is a program aims to increase Saudi Nationals participation in private sector. The program classifies companies in private sector according to Nitaqat rating; platinum, green, yellow, and red. The rating depends on the number of Saudi employees in the company. Each category in Nitaqat offers different benefits to employers. For employers who face difficulties in hiring Saudi Nationals and want to raise their Saudization range, Parallel Nitaqat permits them to take advantages of Nitaqat program while looking for Saudi employees. The company must pay certain amount monthly to Human Resources Development Fund (HRDF) to reach a particular rating in Nitaqat. Buying Parallel Saudization units immediately increases the rating of the company in Parallel Nitaqat, yet this change is temporary. The rating gradually declines until the company renew their subscription. The money paid to HRDF is used to train Saudi job seekers.

There are some points to be considered when registering in the Parallel Nitaqat program. This program does not exempt the company from actual Saudization. Companies can still hire Saudi Nationals while register in Parallel Nitaqat. The Nitaqat rate is calculated by a Saudization Unit that equals a single Saudi National employee in Nitaqat.

The document below further explains the Parallel Nitaqat service and how the required amount paid by the employers is estimated.

Translated document(EN):

Original document(AR):

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