The Economic Impact of Hafiz



The Economic Impact of Hafiz

Introduction

The economic view of the Saudi colonial has not changed from the era of the control of Abd al Aziz, but the financial role of the nation has developed to a great extent. The main objective of Saudi royals has been to recover the financial state of the general public at the same time also keeping hold of the Islamic principles. Well-established in this societal harmony, nevertheless, is the matter of political power. Al-Saud acknowledged that the drive to political control in the regime place in restoring the old financial system with profitable innovative economic options for the population. Thus, Hafiz an unemployment plan began on 2011 in the ruling of guardian of the Two Sacred Mosques King Abdullah. Its undertaking is to facilitate job seekers to discover jobs by giving them 2000 riyals for a year and offer guidance, and work options. There are over 1.3 million jobless male and female enrolled on the plan. This document will address the financial impacts of this plan in many features.

Discussion

Unemployment in Saudi Arabia

Unemployment has been a problem in Saudi Arabia for several years and the agency of labor fails to resolve it. From the time when Tunis and Egypt civil disobedience begins by young jobless graduate, the Saudi youthful on the same state of joblessness seems to require an immediate action. For this purpose 'Hafiz' was launched. The objectives of the program were not clear enough for the general public, and most believed it as a government stipend even if they are not jobseekers.

A study conducted by the Bureau of Labor demonstrates that 49% of jobless individuals have never tried to submit an application for employments. It was carried out in disorderly samples of 16,000 Saudis, 82% of them were women. The mainstreams of jobseekers were high school degree possessors (37%) whilst only 1 per cent of them having diploma degree. Many of those taking part in the survey warranted their unemployment by mentioning that they had not discover right employers to facilitate them seek out for works. Some of them asserted they did not bother seeking as they do not recognize English or were not capable enough.

Redundancy amongst Saudis arrived at 10.5%, in accord to an account exposed by the Central Unit for Statistics and Information in 2009. There are more or less 248,000 and 200,000 jobless men and women likewise. Alternatively, the Labor Agency established new Saudization regulations that would be declared and functioned soon, disclosing there had been impediments in the past.

Overview of Hafiz Program

In 2007, Shoura Committee rejected a bill on redundancy gains. The supporting members asserted there were 7 million emigrants functioning in the country and this showed there was “no slump, but inadequacy.” In January 2010, the working group was again presented with a redundancy benefits bill, which was proceeded for further thought.

The “Hafiz” plan gives financial support to Saudi public who are not in service till they are offered with a job ...