Riyadh, Saudi Arabia -The overall unemployment rate in Saudi Arabia including Saudis and non-Saudis was 4.8 percent in the fourth quarter of 2022, decreasing from the last quarter by 1 percent and from a year ago by 2.1 percent, according to the estimates of the General Authority for Statistics’ Labor Force Survey.
The unemployment rate of Saudis reached 8 percent in Q4 of 2022, a significant decrease of 1.9 percent compared to Q3 of 2022. The labour force participation rate of Saudis remained unchanged at 52.5 percent, and the employment-to-population ratio of Saudis increased by 1 percent to 48.3 percent.
Compared to one year ago, key Labor market indicators for Saudis improved, with rises in both the participation rate (up 1%) and the employment-to-population ratio (up 2.5 percent). In contrast, the unemployment rate decreased 3 percent.
Among Saudi females,, the unemployment rate decreased by 15.4 percent in Q4, down 5.1 percent from the last quarter and 7.1 percent from a year ago. The impressive decrease in the unemployment rate resulted from a double effect of the decrease in Labor force participation and, at the same time, growth in employment.
The participation rate decreased by 1.0 percent to 36 percent, while the employment-to-population ratio rose by 1.0 percent, reaching 30.4 percent.
Among Saudi males, the unemployment rate fell to 4.2 percent in Q4, down 0.1 percent from the last quarter and down to 1 percent compared to a year ago. The Labor force participation rate and the employment-to-population ratio of Saudi males increased respectively by 1.2 percent and 1.1 percent to 65.7 percent and 68.5 percent
Among Saudi females in the age group of 15-24 years, both labour force participation and the employment-to-population ratio declined, reducing the unemployment rate.
The participation rate decreased by 1.0 percent to 19.2 percent, the employment-to-population ratio decreased by 0.4 percent to 14.2 percent, and the unemployment rate fell by 1.9 percent to 26 percent.
Among Saudi males in 15-24 age group the unemployment rate increased, accompanied by increased labour market participation and employment stagnation. The participation rate rose by 0.7 percent to 38.3 percent, the employment-to-population ratio stabilized at 33.5 percent, and the unemployment rate rose by 1.6 percent to 12.5 percent.
The jobless rate for Saudi women dropped to 15.4 percent in the fourth quarter, down 5.1 percent from the third quarter and 7.1 percent from a year earlier.
The reduction in the unemployment rate was driven by employment growth, with the employment-to-population ratio rising by 1.6 percent to 64.1 percent, While the labour force participation rate for Saudis decreased by 0.1 percent, reaching 68.9 percent.
The decrease in the unemployment rate for the Saudi core working-age population (aged 25-54) was mainly driven by a significant drop in the unemployment rate for females, down 5.8 percent from 20.4 percentin Q3 2022 to 14.6 percent in the quarter.
For Saudis aged 55 years and over, Labor market indicators showed a minor change in Q4 compared to the previous quarter.
Saudi job seekers used various active job search methods, with an average of 4.4 active methods per job seeker. The most frequently used active job search methods were: asking friends or relatives (used by 80.4 percent of job seekers), applying directly to employers (65.4 percent), and using the national employment platforms including Jadarah, TAQAT and Saad (56.5 percent).
Results of the survey showed that 57.8 percent of unemployed Saudi females and 43.6 percent of unemployed Saudi males would accept a maximum commuting time to work of one hour. Similarly, 73 percent of unemployed Saudi females and 89.1 percent of unemployed Saudi males indicated that they would accept work for eight hours or more per day. 94.1 percent of unemployed Saudis would accept employment in the private sector.
