Hiring Local Talent in Saudi Arabia: A Key to Unlocking Business Growth

Hiring local talent in Saudi Arabia is a must-have component of a successful market entry. 

Based on the findings of our 2025 Saudi Market Entry Report, 31.25% of businesses that entered the Kingdom last year said hiring local professionals has led to enhanced stakeholder engagement and better cultural awareness. 

Promoting and developing Saudi Arabia’s home-grown workforce is not only a legal mandate. It demonstrates a commitment to supporting the country’s broader goals of strengthening local capabilities and fostering economic self-reliance.

Local Hiring in Saudi Arabia Maximizes Success of Global Business Expansion Endeavors

Typically, local talents provide valuable insights into consumer preferences and attitudes, as well as emerging trends, helping foreign businesses in Saudi Arabia better align their offerings with market demands and achieve successful market entry. 

In fact, companies can ensure the success of their product localization strategies only when hiring in Saudi Arabia. This view was corroborated by 63% of businesses that confirmed that prioritizing localization helped them acquire a significant share of the market.

On the contrary, overlooking the localization can lead to wasted resources and missed opportunities. According to the report, 11.1% of companies that skipped localization had to pivot at a later stage in their expansion journey.

Investing in effective talent acquisition strategies and skill development has evolved to become a strategic imperative for organizations seeking long-term business growth in a high-potential market like Saudi Arabia. Per the new amendments to Saudi labor law, employers now have to establish mandatory skills development and training programs for Saudi employees.

But, prioritizing it at the early stages of or during the business setup process is crucial for having boots on the ground.

Related read: New Labor Law Changes in Saudi Arabia: Impact on the Saudi Economy

Real-World Success Stories: How Local Hiring in Saudi Arabia Improves Market Access and Fast-Tracks Growth

The fast-evolving nature of Saudi market conditions provides attractive entry points for long-term investors, those that focus on achieving long-term integration within the economy.

With a vision to help foreign companies tap into a ready-to-hire talent pool, AstroLabs provides a comprehensive approach that combines talent sourcing, recruitment, compliance support, and streamlined onboarding.

At the same time, this end-to-end support extends to managing governmental portals and contracts on behalf of a company as well as ensuring that a business stays compliant with Saudization (Nitaqat).

Related read: Saudization Requirements (2025): Must Knows for Companies Setting Up a Business in Saudi Arabia

Over the past decade, AstroLabs’ on-the-ground team has enabled over 300 high-growth businesses to build a growing team in Saudi Arabia. With their support, over 500 vacancies are filled across a wide range of high-growth companies in various industries such as manufacturing, banking, and IT.

Case in point: UK-based Footballco, a global football media company, has relied on AstroLabs for bespoke assistance both during and after incorporation. 

Optimizing the process of finding talent locally was a key part of AstroLabs’ ongoing added value and comprehensive support toolkit.

“AstroLabs did not operationally subtract from our business and has continued their support throughout, even after we established our operations in Saudi Arabia, including hiring local talent for our office in Saudi Arabia. The process minimized disruptions to their business and created a focused entry,” said Andrew Reekie, Footballco’s Chief Financial Officer.

Case in point: Artefact, a global AI consulting firm, is another beneficiary of AstroLabs’ all-inclusive HR solution.

“AstroLabs played a pivotal role in helping us build our team in Saudi Arabia. From sourcing top talent to facilitating the hiring process and assembling a skilled and dedicated workforce that aligned with our company culture and goals.”

Reach out to learn more about post-setup services, which include access to comprehensive HR and payroll services