Saudi Arabia comprises four-fifths of the Arabian Peninsula. One of the world’s largest oil exporters, it owns considerable amounts of oil and natural gas, ranking 20^th globally in the size of its economy. The seventh national development plan (2000-2004) attaches considerable importance to strengthening the private sector, increasing efficiency of the industrial sector, promoting the foreign direct investment and diversifying tax revenues away from over-reliance on volatile oil prices.

The development plan also focuses on the development of human resources. Special emphasis is placed on improvements in the technical and administrative training to increase the number of the skilled national labour force in order to meet the demands of the labour market and to replace expatriate workers. In this connection, efforts are exerted, by the Ministry of Labour and Social Affairs, to strengthen vocational training facilities and programmes to better respond to labour market needs.

Saudi Arabia’s estimated annual population growth rate is approximately 3.5 percent. Children under 15 years of age make up an estimated 50 percent of the current population. Creation of employment for this segment of the population, as they enter the workforce in the coming years, presents a major challenge.

In line with the national development plan, the Ministry of Social Affairs and Labour (MOSAL) has been playing an active role in human resources development and employment of the national workforce. In recent years, ILO provided technical advisory services and training on labour market information system and fellowships for participation in the sub-regional training courses on the Declaration and international labour standards. The Minister is H.E. Mr. Bin Ibrahim Al-Namla

Employers are represented by the Saudi Council of Chambers of Commerce and Industry (SCCCI), which recently became the ILO constituent. For this reason, the Council and ILO are exploring ways and means to enhance cooperation.

No workers’ organizations exist. The Council of Ministers of Saudi Arabia decided early 2001 to establish workers’ committees in the economic establishments with more than 100 employees.

A Technical Assistance Mission on the preparation of the Reports on ILS, is planned to take place during August 2001.

Saudi Arabia is benefiting from a study for comparative analysis of national legislations and practice in light of ILO Fundamental Core Conventions currently being undertaken in GCC States;

Saudi Arabia participated in the Turin Centre training courses: "Promotion of ILO Declaration" (April 2000); "Improving the Performance and Competitiveness of Arab Enterprises in the Global Economy" (May-June 2000); "Pension Schemes and Social Security Financing" (October 2000); and "Training of Trainers on International Labour Standards and the Declaration Reporting" (April 2001).

Recently, a request for advisory services on Employment Promotion Policies has been received from the Supreme Council of Manpower;

Saudi Arabia is one of the GCC states benefiting from the assistance for establishing a unified labour market information system in GCC, which has been carried out by ILO and the Executive Bureau of the Council of the Ministers of Labour in GCC (2000-2001);

Saudi Arabia participated in the following activities on vocational training: "Sub-regional Workshop on Practical Mechanisms to Link Training and Employment" (Kuwait, February 2001); and "Sub-regional Workshop on Alternative Approaches to Finance Skill Development Programmes in the Arab States" (Jordan, May 2001);

In collaboration with RAPLA, technical advisory services were provided for the revision of labour code related to the public sector, to cope with the recent changes in the labour market.

ILO’s technical advisory services were recently requested by the Saudi Government on actuarial valuation of the Saudi pension fund in the public sector and mandatory private sector schemes. Additional information on this subject was requested by the concerned department at the ILO HQs. with respect to the legal provisions presently governing the scheme as well as the financial and annual reports to further consider the request;

Saudi Arabia participated in the Turin Centre workshop, "Comparative Analysis of International and National Standards on Occupational Safety and Health" (Beirut, April 2001)

Saudi Arabia participated in the ILO/ALO Inter-regional meeting on "The Promotion of Tripartism and Social Dialogue" (Beirut, October 2000).

Saudi Arabia ratified a total of 13 ILO Conventions, including the following four core Conventions:

• Convention No. 29: Forced Labour, 1930
• Convention No. 100: Equal Remuneration, 1951
• Convention No. 105: Abolition of Forced Labour, 1957
• Convention No. 111: Discrimination (Employment and Occupation), 1958

ILO has been providing assistance on the reporting requirements with respect to the ratified Conventions and their application, and promoting awareness and understanding on the Declaration.

In the recent development, the Council of Ministers of Saudi Arabia decided to allow the establishment of one worker committee in each national enterprise with not less than 100 national workers.

 Updated by CHW. Approved by RD. Last update: 3 August 2001.