How would the proposed shift to sponsorship via recruitment agencies affect Saudi Arabian businesses?
Kalthoum says initially, it will increase the cost of labour. But once the local economy adjusts to that, the effects will be positive. The labour market will enjoy the benefit of a standard covering the quality and reliability of supply. The cost of labour in general will be normalised reflecting levels that will allow fair competition. Finally, it will help the country to eliminate a great source of injustice and unfairness. Dr Amirsays overall the benefit would be positive. However, for many of the large, world renowned western companies with trained HR staff who routinely handle employees at all levels in a considered and professional manner, this could be a negative move. It could effectively take much of the HR decision-making out of their hands and give it to a less experienced agency who do not understand the particular needs and processes of the company. How would the proposed shift affect the Saudi Arabian labour market? Kalthoum says it would enhance the moral standard gover
