Saudi Arabia has implemented a new categorization system for expatriate work licenses, categorizing them into three levels: high-skilled, skilled, and basic.
Minister of Human Resources and Social Development Ahmed Al-Rajhi announced the order, which seeks to increase labor market efficiency and conform with Vision 2030 and the National Transformation Program.

The categorization system went into effect for existing expats on June 18, 2025, with new arrivals coming under the modified framework from July 1. A guidance handbook explaining the decision’s complete specifics has been made available on the ministry’s official website.

According to the government, this effort aims to improve worker performance, recruit foreign talent, and bring global experience to the Saudi market. It also strives to increase operational efficiency, align worker roles, and foster innovation and new business models.

Authorities expect that by categorizing work permits depending on skill level, they may tighten verification processes and verify that foreign workers have the necessary credentials for their tasks.

The move mirrors worldwide best practices and is anticipated to make the Kingdom’s labor market more dynamic, transparent, and competitive.