Saudi Arabia: Workers Seek Higher Pay Under Vision 2030
- Saudi Arabia's labor market is undergoing a important shift as Vision 2030 progresses.
- The Workforce 2025 survey, conducted by Korn Ferry, included 513 Saudi professionals and leaders.
- While 73% of Generation Z employees feel they need better interaction and teamwork training, only 39% of Generation X share that view.
Eighty percent of Saudi Arabian employees seek new opportunities for better compensation, a critically important shift driven by Vision 2030. This news report unpacks the dynamics of the Kingdom’s evolving labor market, including generational gaps in training needs observed in the “Workforce 2025” survey. Learn more about how the government’s AI adoption strategy, with 90% of government workers receiving AI training, is changing the employment landscape. Explore why inadequate benefits and pay are key reasons employees leave, alongside the value placed on flexible working arrangements. News Directory 3 provides insights into the critical factors shaping Saudi Arabia’s workforce conversion. Discover what’s next for job seekers and employers.
Saudi Arabia Workforce Transformation Driven by Vision 2030
Saudi Arabia’s labor market is undergoing a important shift as Vision 2030 progresses. A recent survey indicates that 80% of employees in Saudi Arabia are willing to change jobs for better compensation, a 25% increase from last year.
The Workforce 2025 survey, conducted by Korn Ferry, included 513 Saudi professionals and leaders. The survey spanned 10 global markets,examining evolving compensation expectations and the rise of AI in multi-generational workplaces.
Generational differences are apparent. While 73% of Generation Z employees feel they need better interaction and teamwork training, only 39% of Generation X share that view. The survey also found that 45% of Gen Z workers believe they are overlooked for training due to their age, and 41% feel passed over for senior positions.
The Saudi government is spearheading AI adoption. Ninety percent of government workers receive AI training, significantly more than in other industries. This aligns with the National Strategy for Data and AI, aiming to position Saudi Arabia among the top AI-driven economies by 2030. The launch of SADIA (Saudi Data and Artificial Intelligence Authority) underscores this commitment.
Despite the willingness to move for better pay, salary increases averaged only 4.9% in 2024, according to a separate Korn Ferry survey of 920 companies.
Inadequate employee benefits, poor pay, organizational reputation, the nature of the work itself, and a lack of respect for personal priorities are the primary drivers for employees seeking new opportunities.
Vijay Gandhi, regional director for Korn Ferry Digital, said that employees face rising costs of living, particularly in housing and education, and salaries have not kept pace.
Flexible working arrangements are also critical, with 83% of respondents valuing them. The survey also revealed that 42% of Saudi employees do not feel cozy discussing personal issues affecting their work with their managers, highlighting a need for greater psychological safety.
however, trust in leadership is a strong retention factor, with four out of five workers saying they would stay in a job because they trust their manager.
“As Saudi Arabia advances its Vision 2030 ambitions, the workforce is undergoing a remarkable transformation. At the heart of this change is talent—diverse,dynamic,and increasingly driven by purpose,chance,and innovation,” said Jonathan holmes,managing director at Korn Ferry Middle East,Africa and Turkey.
What’s next
Organizations must adapt their strategies to attract and retain talent in an increasingly competitive market as Vision 2030 continues to fuel economic transformation and job growth in Saudi Arabia.