Riyadh, January 27, 2025 – The Ministry of Human Resources and Social Development (HRSD), in collaboration with the ministries of health, commerce, and municipalities and housing, has announced a comprehensive series of decisions aimed at enhancing localization rates across 269 professions in diverse sectors. These include dentistry, pharmacy, accounting, and technical engineering, as part of ongoing efforts to expand employment opportunities for Saudi citizens across all regions of the Kingdom.
Effective July 23, 2025, the initiative to increase localization rates within the pharmacy profession will be rolled out in partnership with the Ministry of Health. Establishments employing five or more individuals in pharmacy-related roles must comply with the following localization rates: 35% in community pharmacies and medical complexes, 65% in hospital pharmacy operations, and 55% in other pharmacy-related activities. These measures are expected to significantly boost employment opportunities for Saudi pharmacists while improving workforce participation within the sector.
The dentistry profession will also see phased increases in localization rates. Establishments with three or more employees in dental roles must meet a 45% localization rate starting July 23, 2025, which will rise to 55% after 12 months. Additionally, the minimum wage for dental professions has been raised to SAR 9,000 and will be factored into the localization rate calculation. These steps aim to provide competitive remuneration and encourage more Saudi nationals to enter the dental field.
In collaboration with the Ministry of Commerce, the HRSD has announced a phased approach to raising the Saudization percentage in accounting professions. Beginning October 22, 2025, this initiative will target establishments employing five or more accountants. The Saudization rate will start at 40% and gradually increase to 70% over a five-year period. This gradual implementation is designed to support a smooth transition and foster sustainable growth within the accounting sector.
Furthermore, HRSD, in coordination with the Ministry of Municipalities and Housing, has mandated an increase in Saudization rates within technical engineering professions. From July 23, 2025, private sector establishments employing five or more individuals in these professions will be required to achieve a Saudization rate of 30% of their total workforce. This initiative aims to integrate more Saudi engineers into the private sector, thereby strengthening the country’s technical and engineering capabilities.
To ensure transparency and compliance, HRSD has issued detailed procedural guidelines available on its official website. These guidelines outline the methods for calculating localization rates and specify penalties for non-compliance. Establishments are urged to familiarize themselves with these requirements to avoid potential violations.
These decisions form an integral part of HRSD’s broader strategy to support Saudi Arabia’s Vision 2030 goals. By creating more job opportunities across various sectors for the national workforce, the ministry seeks to empower Saudi citizens, enhance economic development, and foster a more sustainable and inclusive labor market. As the implementation dates draw closer, employers and employees alike are encouraged to embrace these changes, which promise to redefine the employment landscape and contribute to the Kingdom’s long-term prosperity.