Saudi Arabia Reports 2.5M Private Sector Workers, 34.5% Female Participation

by Adeel
Saudi labor market growth: 2.5 million private sector workers, female participation 34.5%

Saudi labor market now includes 2.5 million Saudi workers, with women’s participation rising to 34.5%, Minister Ahmed Al-Rajhi announced at the 2026 Budget Forum.

INFO BOX

Who: HRSD Minister Ahmed Al-Rajhi
What: Labor market progress report
Where: Budget Forum 2026, Riyadh
Key Figures:

  • 2.5M Saudis in private sector
  • 34.5% women’s participation (up from 23% in 2019)
  • Saudi unemployment down to 6.8%
  • Over 70% of ministry initiatives completed

Saudi Labor Market Hits 2.5 Million Citizens

Saudi Arabia’s labor market has continued to report positive buoyancy, as one of the Saudi citizens in the private sector has reached nearly 2.5 million. These comments were made on Wednesday by Minister of Human Resources and Social Development Ahmed Al-Rajhi at the Riyadh Budget Forum 2026.

Labor Market Gains Significant Ground for Women

Al-Rajhi has stated that Saudi Arabia has positively reported that the participation of women for the labor market has increased to 34.5%, whereas in 2019, 23% of women were in the labor market.

Al-Rajhi stated that this positive report is a reflection of the Saudi labor market’s maturity and diversification.

Advancement of Vision 2030 Labor Goals

The minister highlighted that the Human Resources and Social Development ecosystem contributes to eight Vision 2030 programs and is working toward 26 strategic goals supported by more than 100 initiatives.
Over 70% of these initiatives have been completed, reflecting substantial progress.

Labor Market Strategy Success

The implementation of the Labor Market Strategy for the year 2020 has proven to be effective with the following results:

  • 92% of its targets implemented
  • Saudi unemployment rate fell to 6.8% for the 2nd quarter of this year
  • Down from 12% in 2019
  • Exceeded Vision 2030 target of 7%

“These achievements reflect the progress made in empowering national talent and strengthening the nonprofit sector’s role in sustainable development,” Al-Rajhi said.

Professional Localization Drives Growth

The ministry has issued more than 30 localization decisions in key professions such as engineering, accounting, and pharmacy.
As a result:

  • Employment of Saudis in specialized fields has more than doubled
  • Some sectors have seen increases of up to 300%

These measures aim to boost national expertise and increase competitiveness across high-demand industries.

Commitment to a Vibrant, Thriving, and Ambitious Nation

Al-Rajhi reaffirmed that the ministry will continue supporting the goals of Vision 2030, working closely with public, private, and nonprofit partners to build a labor market that creates opportunities and enhances citizens’ quality of life.

Outlook

Saudi Arabia’s workforce indicators point to sustained labor market expansion driven by reforms, localization efforts, and increased participation by women and youth. Further progress is expected as Vision 2030 initiatives advance.

Share your thoughts on Saudi Arabia’s labor market transformation.

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