The Ministry of Human Resources and Social Development in Saudi Arabia has introduced a new classification system for work permits, aiming to better regulate and optimize the Kingdom’s labour market. Under this system, work permits for expatriates are now categorized into three distinct skill levels based on several factors: Type of profession, academic qualifications, years of experience, wages, and age. This approach aligns with the Saudi Unified Classification of Occupations and strongly supports the objectives of Saudi Vision 2030, which seeks to build a balanced, efficient, and globally competitive labour market. 

The three skill categories introduced are: 

• Highly Skilled 

• Skilled 

• Basic  

Each of these categories has clear and specific criteria designed to ensure that the workforce is properly segmented according to skill, experience, and compensation. 

In this blog, we will guide you through the key elements of this classification system, including academic qualifications, experience requirements, professional skills (verified through accreditation programs), wage thresholds, and age limits. 

Why Does This Matter for Employers? 

The classification system represents a fundamental change for employers in Saudi Arabia who employ expatriate workers. It will help in identifying and managing job roles more accurately across sectors. 

 To comply with the new regulations, employers must: 

• Understand which category each of their expatriate employees falls into. 

• Ensure all expatriates meet wage and skill requirements for their respective categories. 

• Support employees in obtaining professional accreditation where required. 

• Efficiently manage work permits and related updates via the Ministry’s digital platform, Qiwa. 

By optimizing wage structures and investing in employee upskilling, organizations can better comply with evolving labour regulations and position themselves competitively within Saudi Arabia’s skills-driven market; employers who adapt early will not only avoid penalties but also gain a significant advantage in boosting productivity and economic diversification. 

How Are Work Permits Classified? 

Here’s how the Ministry of Human Resources and Social Development determines the appropriate skill category for each work permit: 

1. Highly Skilled 

• Jobs are typically found in managerial, specialist, or technician groups. 

• Must meet a minimum wage specified by the Ministry for this category. 

• Successful completion of professional accreditation exams is required. 

• Candidates are evaluated through a points system that considers qualifications, experience, and wages.

2 Skilled 

• Jobs in office support, sales, craft, factory work, or similar groups. 

• Must meet minimum wage requirements set for the category. 

• Professional accreditation is required where applicable. 

• In some cases, jobs from higher groups are included if they don’t meet the “Highly Skilled” wage threshold. 

      3. Basic 

• Includes jobs classified under primary occupations. 

• There is an age limit of 60 years for workers in this category. 

• Passing accreditation tests is necessary for basic professions. 

• Can also include some professions from higher groups if the minimum  

• wage requirements for the Skilled category are not met. 

What Employers Should Do Now 

To smoothly transition to this new system, employers should take several proactive steps: 

• Review and verify the classifications of all current expatriate workers in their organizations before July 5, 2025. 

• Prepare recruitment and onboarding strategies for new expatriate hires by the classification rules effective from August 3, 2025 

• Utilize the Ministry’s Qiwa platform to monitor, manage, and update work permit classifications. 

• Provide support for employees undergoing professional verification or accreditation processes. 

• Update internal HR policies, employment contracts, and compliance frameworks to reflect the new classification system. 

Early compliance and awareness will help organizations avoid operational disruptions and align workforce management with regulatory expectations. 

Implementation Timeline 

• Stage One: Applies to all expatriate workers currently residing and working in Saudi Arabia, effective from July 5, 2025. 

• Stage Two: Applies to all new expatriate workers arriving in the Kingdom, starting August 3, 2025. 

The Ministry will automate much of the classification process through the Qiwa platform, making it easier for employers and employees to track and update work permit categories. Employees who find discrepancies in their classifications must request corrections, provided they meet the specified criteria. 

Saudi Arabia’s new work permit classification system marks a pivotal step towards a more transparent, skills-based labour market. For employers, this system offers improved workforce management, clearer compliance standards, and better access to the right talent. Staying informed, adapting early, and proactively managing these changes will be essential to leveraging this new framework for sustainable business success. 

Need help navigating the new work permit classification system? 

With over 18 years of experience in Saudi labor regulations and workforce management, TASC Outsourcing helps ensure compliance, manage skill classifications, and streamline expatriate workforce planning. Reach out today for tailored support.