The decision of the Ministry of Human Resources and Social Development (HRSD) to adjust the criteria for the minimum labor for domestic support workers will contribute to achieving balance between supply and demand in the market, which will benefit all HR companies, said Abdullah Al-Timyat, CEO of Saudi Manpower Solutions Co. (SMASCO) . 
In an interview with Argaam, the top executive added that, thanks to its huge market share, SMASCO is set to benefit from such balance to achieve sustainable growth.
He indicated that SMASCO is committed to rates that exceed the required rates before and after the adjustment and is currently in the highest category that exceeds 15,000 domestic support workers.
He further said that given the decision and the number of workers available to the company, it does not entail any additional obligations, whether in the support workers segment or the professional and business workers segment.
Al-Timyat also pointed out that the decision is not expected to have an immediate or rapid impact, adding that it may lead to gradually reducing recruitment costs in the medium or long term.
Lowering the percentages required for companies in the sector will help limit supply that may exceed demand in some cases, especially during seasons of low demand, said the CEO, stressing that this paves the way for providing better quality services at prices that fit the level of service provided.
According to Argaam’s data, SMASCO announced earlier today that the HRSD Ministry issued a resolution on Jan. 6, adjusting the required percentage of support workers (domestic workers) for human resources companies. It added that the required percentages will depend on the total number of workers employed by the company and will decrease as the worker number increases, instead of the previous fixed percentage of 30%.
The decision of the Ministry of Human Resources and Social Development (HRSD) to adjust the criteria for the minimum labor for domestic support workers will contribute to achieving balance between supply and demand in the market, which will benefit all HR companies, said Abdullah Al-Timyat, CEO of Saudi Manpower Solutions Co. (SMASCO) .
In an interview with Argaam, the top executive added that, thanks to its huge market share, SMASCO is set to benefit from such balance to achieve sustainable growth.
He indicated that SMASCO is committed to rates that exceed the required rates before and after the adjustment and is currently in the highest category that exceeds 15,000 domestic support workers.
He further said that given the decision and the number of workers available to the company, it does not entail any additional obligations, whether in the support workers segment or the professional and business workers segment.
Al-Timyat also pointed out that the decision is not expected to have an immediate or rapid impact, adding that it may lead to gradually reducing recruitment costs in the medium or long term.
Lowering the percentages required for companies in the sector will help limit supply that may exceed demand in some cases, especially during seasons of low demand, said the CEO, stressing that this paves the way for providing better quality services at prices that fit the level of service provided.
According to Argaam’s data, SMASCO announced earlier today that the HRSD Ministry issued a resolution on Jan. 6, adjusting the required percentage of support workers (domestic workers) for human resources companies. It added that the required percentages will depend on the total number of workers employed by the company and will decrease as the worker number increases, instead of the previous fixed percentage of 30%.
