The Ministry of Human Resources and Social Development (MHRSD), in partnership with the Ministry of Sports, announced the implementation of a new Saudization policy requiring the localization of 12 specific jobs in private sector sports centers and gyms, effective November 18, 2026.1
WHY THIS MATTERS
This development introduces a mandatory Saudization rate of 15 percent for establishments with four or more employees in the sports and fitness sector. Non-compliance may result in legal penalties, increasing operational and reputational risk. The policy may also affect expatriate employees currently occupying localized roles, potentially necessitating role changes, redeployment, or contract modifications.
Key Highlights
- Targeted Professions: The 12 localized roles include sports coach, professional football coach, sports supervisor, personal trainer, professional athletics coach, among others.
- Scope and Applicability: Applies to men’s and women’s sports centers and gyms in the private sector with four or more employees.
- Support Programs: Establishments can access recruitment, training, qualification, employment, and retention assistance through MHRSD and the Human Resources Development Fund (HADAF).
- Compliance Requirements: The MHRSD has published a procedural guide detailing all facets of the decision, localization percentage, and targeted professions. Legal penalties will be applied for non-compliance.
- Implementation Oversight: The Ministry of Sports will oversee implementation to align with labor market needs.
KPMG INSIGHTS
In light of the change, organizations may wish to review the procedural guide published by the MHRSD, audit current staffing levels, and engage with support programs for recruitment, training, and retention of Saudi nationals. Early communication with affected employees and adjustment of contracts may help mitigate transition risks.
If assignees and/or their programme managers have any questions or concerns about the scope of the directive, its application and potential impacts, and appropriate next steps, they should consult with their qualified immigration professional or a member of the GMS/People Services team with KPMG in the Lower Gulf (see the Contacts section).
FOOTNOTE:
1 Saudi Gazette, “Saudi Arabia to localize 12 jobs in private sports centers and gyms after one year,” published on 24 November 2025.
Contacts
Disclaimer
* Please note the KPMG International member firm in the United States does not provide immigration or labour law services. However, KPMG Law LLP in Canada can assist clients with U.S. immigration matters.
The information contained in this newsletter was submitted by the KPMG International member firm in the United Arab Emirates.
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