The Ministry of Human Resources and Social Development has introduced updated Saudization requirements in Saudi Arabia affecting marketing and sales professions within the private sector. Under the revised regulatory framework, the Saudization rate in these functions will increase to 60% effective January 19, 2026, applying to establishments employing three or more workers within the specified marketing and sales job categories.
This regulatory update significantly impacts companies operating in marketing, advertising, public relations, retail sales, wholesale sales, and related commercial sectors. Businesses must now reassess their workforce compliance in Saudi Arabia, employment structures, and recruitment strategies to ensure alignment with updated localization thresholds.
Scope of the Updated Saudization Requirements
The new 60% Saudization requirement applies across multiple marketing and sales job classifications, including management and specialist roles. Establishments meeting the threshold of three or more employees in these functions must ensure that their workforce composition aligns with the updated percentage.
Affected companies should review:
- Workforce distribution within marketing and sales departments.
- Employment contracts in Saudi Arabia tied to affected roles.
- Job-title registration within Qiwa Saudi Arabia.
- Recruitment pipelines and localization planning strategies.
Failure to meet updated Saudization percentages in Saudi Arabia may affect regulatory classification status and operational flexibility.
Operational and Compliance Implications
The increase in Saudization is not solely a hiring matter, it directly influences:
- Workforce planning and restructuring
- Employment contract compliance
- Job classification alignment
- Qiwa registration accuracy
- Long-term company operations in Saudi Arabia
Companies that delay compliance planning may face operational constraints when processing employment updates or expanding business activities. Integrating HR compliance in Saudi Arabia reviews into workforce planning cycles has therefore become essential.
Strategic Workforce Compliance Advisory
As Saudization frameworks continue to expand across sectors, organizations increasingly require structured advisory support to manage workforce alignment and regulatory compliance.
Conclusion
The increase to 60% Saudization in marketing and sales roles effective January 19, 2026, reflects continued regulatory emphasis on workforce localization within Saudi Arabia. Companies that proactively review employment classifications, workforce structures, and compliance readiness will be better positioned to meet regulatory expectations while maintaining operational stability.
Contact and Disclaimer
Should you have any questions regarding the above information, or require assistance with your immigration or global mobility matters, please don’t hesitate to contact our legal team at Hudson McKenzie. You can reach us by email at londoninfo@hudsonmckenzie.com or by telephone at +44 (0) 20 3318 5794.
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The information provided in this blog is for general guidance only and does not constitute legal advice.
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