In the second quarter of 2024, Saudi Arabia’s unemployment rate dropped to 33.1%. This small 0.2% decrease from the previous quarter highlights how slowly the nation is making progress. Saudi Arabia is known as one of the wealthy nations; despite this fact, the nation fails to create job opportunities for its citizens. Even though the unemployment rate fell by 0.8% compared to last year, this is not impressive for a nation with good resources.
The unemployment rate among Saudi nationals remains high at 7.1%. The little reduction of 0.5% from last quarter and 1.4% from the previous year explores the fact that the nation depends too much on foreign labor. At the same time, it fails to give more job opportunities to its citizens. This exposes serious flaws in Saudi Arabia’s economic policies, which are failing to support the local population adequately. Despite minor improvements, the government is not addressing the root causes of unemployment effectively.
To hide their incompetence, Saudi officials claim that this fall in the unemployment rate is part of its 2030 Vision. It aims to create more job opportunities and increase the economic growth of the nation. But in reality, the plan seems more beneficial for the government and the wealthy elite. With this plan, ordinary citizens continue to face different challenges. Many Saudis are still finding high-paying jobs. But the issue of income inequality is still the impact on the lives of people. Vision 2030’s plans seem to make the country more well-known around the world, but they don’t seem to focus on the real needs of its people.
In June, Saudi Arabia launched the Jadarat platform, which is designed to connect job seekers with positions in both the public and private sectors. While this may seem like a positive step, it only scratches the surface of deeper issues. Jadarat does not find out the main reason for the unemployment fall or fails to know the root cause for the widening wealth gap.
The government appears more concerned with maintaining control and showcasing progress rather than implementing real solutions that benefit the entire population.
In the second quarter, there is a great drop in labor force participation among Saudis. The figure is approximately 0.6% to 50.8%. However, compared to last year, the rate increased by 0.1%. This value highlights the failure of Saudi officials and the system to provide enough sources of livelihood for its citizens.
The employment rate also fell by 0.3%, with only 47.2% of Saudis currently working. This indicates that the government isn’t addressing the job crisis effectively.
For women, unemployment decreased by 1.4%, now at 12.8%. But the situation is not as positive as seems. Only 30.8% have a secure job. It means the remaining are still making efforts to find great jobs. This is a sign of government inequality. Women’s support for women in the job market is less as compared to men.
These statistics explore ongoing problems in Saudi Arabia’s labor system. The country is not doing enough to create job opportunities for both men and women. The government must take action to fix these issues and provide better employment chances for everyone.
For men, the job situation in Saudi Arabia is not improving much. In the nation, the job-to-population ratio stuck at 63.6%. There is a slight drop in the labor force population to 66.3%. The recent GASAT survey reveals that 95.5% of Saudis are still struggling to find a good job and want to work in the private sector. In the case of women, 81.9 percent agreed to do a job. At the same time, 93.8 percent of unemployed men are open to long hours.
There is a troubling reality behind this eagerness. Many people in this nation face tough challenges to find a good job in the country. The government made slow efforts to overcome the significant gap in the unemployment rate and failed to provide enough jobs to its citizens. There is a need to change policies that bring real job opportunities for all men and women. If the situation remains the same, then it raises questions about the effectiveness of Saudi Arabia’s economic reforms.