RIYADH — Saudi Arabia’s Ministry of Human Resources and Social Development announced an update to the mechanism for calculating Saudization rates in the Nitaqat program, based on employment contracts electronically documented through the Qiwa platform.The ministry said the new mechanism will take effect on April 15, 2026.Under the update, only Saudi employees whose work contracts are documented through the Qiwa platform will be counted in Saudization calculations.The ministry said the step aims to enhance transparency, improve the reliability of labor market data and streamline how companies manage contractual relationships with employees by unifying the source of contract information.The update is based on Cabinet Decision No. 195 dated 4/4/1443 AH, which assigned the ministry responsibility for regulating and managing contractual relations between companies and workers in the labor market.The ministry stressed that documenting Saudi employees’ contracts on the Qiwa platform is a mandatory requirement for their inclusion in Saudization percentages under the Nitaqat program.It urged all establishments to complete the documentation of employee contracts through the platform to ensure accurate calculations and avoid any impact on their Nitaqat classification.The Qiwa platform serves as the unified digital gateway for labor sector services in Saudi Arabia, providing a range of electronic services that enable companies to manage employment contracts and comply with labor regulations.More than 12 million employment contracts have been created and renewed electronically through the platform, the ministry said.The platform aims to strengthen transparency in contractual relationships and support a stable work environment in the Kingdom as part of broader digital transformation efforts and labor market strategy goals.
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