INDUSTRIAL SECTOR EXPERTS SEE OPPORTUNITY IN SAUDI VISION

Date Posted:Mon, 12th Dec 2022

INDUSTRIAL SECTOR EXPERTS SEE OPPORTUNITY IN SAUDI VISION

Hays, the world’s specialist leader in workforce solutions and recruitment, has revealed that the synthesis of ongoing investment programmes and successful adaptation to the challenges of the pandemic has precipitated a waterfall of work opportunities in the industrial sector.

 

·        Horizon for the industrial sector in Saudi Arabia is expanding at an exponential rate

·        725 new industrial licences in the first nine months of 2022 means rapid creation of jobs and swelling competition for talent

·        Salary increases of 20% to 30% for professionals willing to switch organisations

The findings come from the Hays Middle East Inside Story Report, which in this edition focuses on the Industrial Sector in Saudi Arabia. The prosperity created by Vision 2030 is generating tectonic shifts in the dynamics of recruitment. The acceleratory effects of support for industrial participation through financial assistance, infrastructural development, and regulatory reforms have led to increasing demand for both expat and local professionals in the sector.

 It’s no surprise that the industrial sector is one of the busiest recruitment areas in Saudi Arabia, with activity highest within Manufacturing and Logistics. According to the Saudi Ministry of Industry and Mineral Resources, 26,000 new jobs were created within the sector during the first six months of 2022. As documented in the Saudi Industrial Development Fund’s ‘Industry in Focus’ report, the mandate to create 1.6 million new jobs before 2030 will see the number of jobs continue to increase into 2023.

Drilling down into demand

 Demand is highest for mid-to-senior-level professionals – with the industry qualifications and relevant experience to successfully manage and deliver large-scale, complex projects. As the rate of development in the sector continues to soar, attracting strong operational, technical, and strategic labour is key to meeting the growing demand. According to responses in the Hays Saudi Arabia 2022 Salary Guide survey, 21% of employers in the Kingdom said they were expecting operations skills shortages in 2022.

 As the National Industrial Development and Logistics Program (NIDLP) continues to drive the quota of Saudization for specific roles and professions, the demand for Saudi national talent at the mid-to-senior level is increasing even further. However, with the increase in government mega projects, established to build large-scale industrial cities and zones, the result is a far broader spread of industrial roles across the Kingdom – and talent from around the globe required to get projects off the ground.

Mark Paul, Team Manager at Hays Middle East said, “The prioritisation of Saudization means organisations continue to seek and secure the best local talent – a skilled and qualified Saudi national is almost always the first choice for any hiring employer. At present, some highly technical roles still require expertise from outside of the Kingdom, so expats are targeted to support the upskilling and development of local workforces. These factors, combined with the more level playing-field in remuneration and benefits across the GCC region, have resulted in steadily increasing salaries. At present, organisations in the industrial sector are inclined to offer an increase of 20% to 30% on existing salaries.

Sidestepping the gridlock in supply

Beyond pay, candidates are now seeking more challenging and interesting roles with greater sense of purpose. Employers large and small can benefit by communicating their USP throughout the recruitment journey. The giga-projects are attractive to experts eager to work on a once-in-a-lifetime chance to be part of a project that’s never been done before. However, SMEs can offer more autonomy, responsibility, and greater exposure giving a candidate confidence that they can make a difference and get recognition for it.

Professionals are also focused on personal development as a vital part of the career journey, with a fifth of people saying it’s the most important factor when considering a new role. They are keen from an early stage to outline promotional targets and how individual success will lead to career advancement in the mid-to-long term. This is especially applicable to young people, who are eager to upskill, increase industry knowledge, and obtain new qualifications and certifications.

Aaron Fletcher, Senior Business Manager, and Saudi Arabia recruitment team lead said, “The NIDLP's aim of unlocking the potential held within the Kingdom, opening the gates to a global logistics hub and industrial powerhouse, needs local expertise for long-term sustainability. Organisations need to consider that the key to retaining the best rising talent across a wide and competitive landscape is by continually investing in their development – and giving professionals the opportunity to flourish.”

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For more information contact:

Amy Meagher,

Senior Marketing Executive, Hays

T: +971 (0) 4 559 5898

E: amy.meagher@hays.com

 About Hays

Hays plc (the "Group") is the world’s leading specialist in workforce solutions and recruitment, such as RPO and MSP. The Group is the expert at recruiting qualified, professional and skilled people worldwide, being the market leader in the UK, Germany and Australia and one of the market leaders in Continental Europe, Latin America and Asia. The Group operates across the private and public sectors, dealing in permanent positions, contract roles and temporary assignments. As at 30 June 2022, the Group employed c.13,000 staff operating from 253 offices in 32 countries. For the year ended 30 June 2022:

– the Group reported net fees of £1,189.4 million and operating profit of £210.1 million;

– the Group placed around 83,750 candidates into permanent jobs and around 250,000 people into temporary roles;

– 16% of Group net fees were generated in Australia & New Zealand, 26% in Germany, 22% in United Kingdom & Ireland and 36% in Rest of World (RoW);

– the temporary placement business represented 55% of net fees and the permanent placement business represented 45% of net fees;

– Technology is the Group’s largest division, with 26% of net fees, while Accountancy & Finance (14%) and Construction & Property (11%), are the next largest

– Hays operates in the following countries: Australia, Austria, Belgium, Brazil, Canada, Chile, China, Colombia, the Czech Republic, Denmark, France, Germany, Hungary, India, Ireland, Italy, Japan, Luxembourg, Malaysia, Mexico, the Netherlands, New Zealand, Poland, Portugal, Romania, Singapore, Spain, Sweden, Switzerland, UAE, the UK and the USA