Saudi Arabia Announces 70% Saudization for Project Management Jobs by 2027

The Saudi Ministry of Human Resources and Social Development, in coordination with the Ministry of Municipalities and Housing, has issued Ministerial Decision No. 41454. This decision mandates a 70% Saudization rate for specific private-sector project management roles.

• Policy takes effect on February 14, 2027.
• Follows a grace period initiated on August 13, 2026.
• Applies to companies with three or more employees in three targeted occupational titles.

Targeted Roles and Compliance Rules

The mandate specifically applies to companies with three or more employees in three targeted occupational titles: Project Management Manager (occupational code 121314), Project Management Engineer (occupational code 214909), and Project Management Specialist (occupational code 242108). Compliance is determined by the official occupational classification registered in government systems rather than informal job titles or internal designations.

Calculations for the 70% requirement are based on the number of workers within these specific roles per establishment, rather than the total company headcount. For instance, if a firm employs five workers across these categories, a 70% requirement rounds up to four, necessitating the employment of four Saudi nationals. This regulation operates in parallel with existing Nitaqat framework requirements, and if a role falls under a separate regulation with a higher Saudization mandate, the stricter percentage will apply.

Impact on Foreign Workers and Penalties

Indian professionals currently employed in these fields are advised to verify their official registered occupational codes with their human resources departments to determine their compliance status. Employers are expected to utilize the current grace period to adjust workforce structures, as non-compliant firms may face labor penalties after the February 14, 2027, implementation date. The authorities have cautioned that changing job titles to circumvent these requirements while maintaining the same duties constitutes a regulatory violation.

Indian citizens requiring assistance regarding employment disputes or contract issues may contact the Embassy of India in Riyadh via their 24-hour helpline at 00-966-11-4884697, their WhatsApp helpline at 00966-542126748, the labor assistance line at 00-966-11-4804554, or the embassy switchboard at 00-966-11-4884144.