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As many as 1.2 million foreign workers are expected to leave the Saudi labor market in 2020, according to a recent report by Jadwa Investment.
The report added that around 323,000 workers have already departed the country year-to-date, based on health insurance data.
The most affected sectors are hospitality, food services, administrative and support activities, which include rent and lease activities, travel agencies, security and building services.
On the Saudi labor market, the unemployment rate is expected to remain quite flat until year-end.
SANED scheme and the Kingdom's Saudization strategy will help maintain employment levels.
Despite the COVID-19 outbreak, business environment is forecast to improve gradually as of H2 2020, especially in Q4 2020, which may offers more job opportunities for Saudis as a high number of expats are forecast to leave this year.
The report also expected a growing demand for some products and services following the economic recovery post-coronavirus phase by year-end, which will lead to creating additional job opportunities for citizens, in addition to the pandemic precautionary measures that limits the flow of foreign workers into the Kingdom.
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