The National Labour Observatory in Saudi Arabia has reported a significant 45% increase in the salaries of Saudi citizens employed in the private sector over a five-year period. Currently, the average monthly income for Saudi private sector workers stands at SR9,600 ($2,560), compared to SR6,600 ($1,760) in 2018.
This notable growth in the Saudi salary market was attributed to a combination of factors, including economic reforms, stimulus packages, and increased support for the private sector.
Surge in high Saudi salaries
The National Labour Observatory also highlighted substantial rises in the number of Saudis earning higher incomes. In particular, there are now 202,700 citizens earning more than SR20,000 ($5,332) per month, reflecting a remarkable 139% increase since 2018.
Additionally, the number of Saudi citizens earning SR40,000 ($10,665) or more each month in the private sector has risen by over 170%.
Vision 2030 and stimulus packages
The National Labour Observatory attributed the Saudi salary growth to economic reform, stimulus packages and private sector support
In a post on LinkedIn, the NLO said: “A recent report by National Labor Observatory shows that the increase of Saudis wages is due to the economic growth and reforms the Kingdom is witnessing since the launch of the Kingdom’s Vision 2030 programs and initiatives, and the success of the stimulus packages provided by the government to the private sector during the Corona pandemic, in addition to the support the private sector is realizing for competitiveness, high attractiveness, and efficiency of the labour market”.