Saudi: Nitaqat enforcement triggers shock waves among expatriates; many arrested

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March 28, 2013
Riyadh, Mar 28: Thousands of Indian expatriate workers including a number of NRIs from Kerala and coastal districts of Karnataka employed in the small and medium enterprises in Saudi Arabia are likely to be hit hard as the Kingdom goes ahead with its plans to expand employment avenues for its own nationals.

As the deadline for implementing the new policy called Nitaqat, ended Wednesday, labor authorities, supported by police, stepped up a major campaign to drive out 'illegal workers' as well as those involved in cover-up businesses in different parts of the Kingdom.

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The move has triggered shock waves among expatriates, especially those who are not working for their sponsors.

Police have reportedly arrested a large number of expatriates for violating iqama and labor regulations during the past week, sources said.

Many shops and firms have been closed down in Riyadh, Jeddah and Dammam as they either did not have enough workers under their sponsorship or fear punitive action.

According to a report in the wake of Arab Spring uprisings, the Saudi government views unemployment among nationals as a long-term strategic challenge that needs to be handled effectively. A study by the Saudi Central Department of Statistics and Information, fixed the unemployment rate in the country last year at 12.2 per cent. That meant that more than 588,000 people were without jobs.

Other estimates suggest that an alarming 39 per cent of the youth in the 15-25 years old category, are unemployed. Consequently, the Kingdom has adopted the Nitaqat programme — a plan to push its nationals into employment in companies that are colour coded to deter expatriates from monopolising their workforce.

Thus, firms falling into the red zone are the worst offenders as they have, according to the Kingdom's grading criteria, failed to employ the minimum quota of Saudi nationals in their workforce.

Those in the yellow slot have also fallen short of their targets, but, despite their poor showing, have been recognised for their effort to employ Saudi nationals. Companies in the green zone fall in the blue chip category as they have fully complied with the Kingdom's latest labour laws. As a result they are allowed to expand their workforce by employing a larger number of expatriates. The Nitaqat programme does not cover those businesses that employ less than 10 people.

The Saudi road map of employment generation has now reached a stage when it threatens the livelihood of nearly two million expatriates, the majority of whom are Indians employed in the small and medium enterprises category. The Saudi daily Arab Newsported that “at least two million expatriates may lose their jobs or leave the Kingdom shortly as about 250,000 small and medium enterprises will be listed in the Red category of the Labour Ministry's Nitaqat system on Wednesday.”

As of now, there are no signs that the Saudi authorities are in a mood to bend the rules. “The Kingdom will not allow anybody to continue violating its regulations because it harms public interests. If the laws are not followed, the interior and labour ministries will take maximum measures by law against the violators,” Labour Minister Adel Farkeih was quoted as saying.

The affected workers in the red-designated companies are set to face considerable distress as their work permits will not be renewed — a situation that would automatically lead to the cancellation of their residency permits.

Saudi media reports warn that according to a new law passed by the Saudi, the Interior Ministry can arrest and deport the violators of the residency laws. Despite the minimum requirement of Saudi nationals in less paying jobs, observers say that the labour laws are likely to undermine the development of the Kingdom's infrastructure and real estate sectors, which employ a large number of blue collar workers.

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News Network
October 4,2024

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Mysuru: Chairman of JD(S) core committee and Chamundeshwari constituency MLA G T Devegowda on Thursday expressed his solidarity with Chief Minister Siddaramaiah saying the latter need not resign, while lambasting leaders of his own party and alliance partner BJP, including Union Minister H D Kumaraswamy.

In his speech during Mysuru Dasara inauguration he said that if persons against whom FIR is registered have to resign, many leaders from all the three parties, including Opposition Leader R Ashoka, will have to resign.

“All are sitting in glass houses... Since I know Siddaramaiah well, I am talking about him. At a time when mines and real estate are ruling politics, Siddaramaiah has survived in politics. He has never done any favour,” Devegowda said.

He added, “Allegations against Siddaramaiah are unexpected and accidental. If the Governor and Chief Justice order an investigation, it does not mean that he should resign."

He continued, asking, "Have they told Siddaramaiah to resign or have they asked to imprison him? When a person becomes a Central minister, he or she should realise their dignity and responsibility. Instead of recognising the good work done by Siddaramaiah, they ask him to resign. Will Kumarswamy (facing an FIR) resign? Should Siddaramaiah, who has become CM with a support of 135 MLAs, resign?"

"Opposition leaders are not remembering the good work of earlier CMs Kengal Hanumanthaiah, Veerendra Patil, Ramakrishna Hegde, H D Deve Gowda or S M Krishna. Karnataka is a model state. It is a bad trend to topple an elected government which is doing good work,” he further said.

Devegowda added, “Siddaramaiah is Goddess Chamundeshwari’s ‘Varaputra’ and hence has her blessings during tough times. He won the election in Chamundeshwari Assembly constituency, when the BJP-JD(S) government was in power in 2006. With the blessings of the Goddess, he has held varied positions right from becoming an MLA for the first time in 1983. He presented 15 budgets and has become CM for a second time. He took H C Mahadevappa, a Dalit leader to the state level. Siddaramaiah has the support of Deputy CM D K Shivakumar as ‘Jodeththu’. Blessings of the beneficiaries of guarantee schemes are with him (Siddaramaiah).” 

Siddaramaiah said, “Devegowda was a MUDA member. He knows the truth. Hence, he is saying this. His words have filled strength in me. ‘Satyameva Jayate’, Truth will always triumph.” 

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News Network
October 1,2024

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Mysuru: The Mysuru land authority at the centre of a financial and political storm - involving Chief Minister Siddaramaiah and alleged losses of ₹ 45 crore to the state - has received an offer of restitution from his wife, the urban development body's Commissioner, AN Raghunandan said.

"I am in possession of a letter written by Siddaramaiah's wife regarding her intention to return 14 plots (of land). The Chief Minister's son, Yatindra Siddaramaiah, came to our office and delivered the letter. We will take legal advice for the next step..." he told reporters in Mysuru.

Mr Raghunandan also confirmed anti-corruption officials from the city's Lokayukta branch had written seeking cooperation in its inquiry into the charges against the Chief Minister.

He said the Mysuru Urban Development Authority, or MUDA, "will cooperate with the investigation".

The Enforcement Directorate, however, have not reached out as yet, Mr Raghunandan said. The ED, a federal agency, has filed a money laundering case against Siddaramaiah.

There have also been calls for the CBI, another federal agency, to investigate charges against the Chief Minister, but that appears unlikely now given the Karnataka government has withdrawn general consent for its operations in the state. Law Minister HK Patil made the announcement last week.

He ruled out any link with demands for the Chief Minister to be investigated by the CBI, which reports to the BJP-led central government and the ruling Congress and other opposition parties have claimed is being used by that party to target rival leaders, particularly before elections.

On Monday - three days after the Lokayukta filed a case against the Chief Minister, and hours after the ED launched its probe- Siddaramaiah's wife said she had planned to give up the land earlier but was advised against it the allegations against her husband are "politically motivated".

But now, she said, she had made up her mind as "no house, plot, or wealth is more important than my husband's honor, dignity, and peace of mind". She also said the decision was hers alone; "... I am not aware of my husband's opinion on this matter, nor do I concern myself with what my son thinks".

And, in a comment seen as a calculated swipe at the opposition BJP, which is leading calls for the Chief Minister's resignation, his wife also made an emotional appeal to "all political parties and the media" to "please not drag women of political families into the controversy to settle political scores".

Investigative action against the Chief Minister follows the Karnataka High Court quashing a challenge to Governor Thawar Chand Gehlot's order sanctioning Siddaramaiah's prosecution.

Subsequently a trial court ordered framing of charges and directed the Lokayukta to complete the investigation within three months. The ED case was filed based on the Lokayukta FIR.

Siddaramaiah faces an inquiry into claims Parvathi was allotted 14 plots of land in an upmarket Mysuru area as compensation for land elsewhere - holding a far lower value - taken for infrastructure projects.

The Chief Minister has denied all charges and refused calls to resign.

He has been backed by the Congress and his deputy, DK Shivakumar, who is also the state unit boss, and also by members of his cabinet, including IT Minister Priyank Kharge. However, some within the Congress also want him to quit, such as former Assembly Speaker KB Koliwad.

"I will fight. I am not afraid of anything. We are ready to face the investigation. I will fight this legally," he said last week after the High Court had quashed his challenge to the Governor's sanction.

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