Unemployment In Saudi Arabia: Does Saudization Reduce Unemployment?
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The Kingdom of Saudi Arabia has been under pressure to solve the problem of unemployment. Initially, the government was the chief employer of the Saudi population, however, with a rapidly increasing population, the public sector became saturated, forcing the private sector to create a preference for natives. Even though the private sector has been resistant to the idea, in response, the government adopted the Saudization policy. The policy ensures an increase in the proportion of native employees in the private sector. This research explores the impact of Saudization as a solution to the problem of unemployment. It uses secondary sources of information. Data from the Ministry of Labor, World Health Organization, Saudi Arabia Monetary Authority and General Authority for Statistics are used to answer the research question. The study concludes that Saudization without appropriate preparedness of the Saudis will not be an effective solution to the problem of unemployment.