The National Labor Observatory of Saudi Arabia has revealed that the average wage of citizens in the private sector has risen by over 3 thousand riyals between 2018 and mid-2023, reaching more than 9,600 riyals.

Reasons for High Wages in Saudi Arabia

The Observatory attributes the high level of wages in Saudi Arabia to the country’s economic growth and reforms, particularly those initiated under the Kingdom’s Vision 2030 programs and initiatives. Additionally, the government’s support packages during the COVID-19 pandemic have played a significant role in supporting and stimulating the competitiveness of the private sector, making the Saudi labor market highly attractive and efficient.

Increase in Citizens Receiving Higher Salaries

The report highlights a significant increase in the number of citizens receiving salaries of more than 20 thousand riyals, which has risen by 139% from 84.7 thousand citizens in 2018 to 202.7 thousand citizens in 2023. This increase can be attributed to the improvement in skills related to the labor market, the quality of available jobs, the efficiency of the working environment, and the growing demand for specialized positions.

Furthermore, there has been a remarkable 172% increase in the number of citizens receiving salaries of more than 40 thousand riyals during the same period, rising from 16 thousand citizens in 2018 to 44 thousand citizens in 2023. This growth can be attributed to the development of leadership qualities among citizens, increased demand for competencies in large projects and companies, and the high demand for specialized roles.

Source: RT