Qiwa Contract Limit 2026 & Saudi Work Visa Quotas: Nitaqat Overhaul Explained

Legal notice: This article is general information only and does not constitute legal advice. Saudi labour regulations and Nitaqat quotas are reviewed and updated frequently. Always verify current requirements through the Qiwa platform, MHRSD, or a Saudi-licensed employment lawyer.

Quick Takeaways

• Saudi nationals are capped at seven employment contracts per 12-month period and no more than two active contracts simultaneously on the Qiwa platform.
• From 30 June 2026, non-Saudi workers absent for more than three months or with expired permits face automatic Qiwa registration cancellation regardless of Iqama status.
• From 15 April 2026, Saudi employees only count toward Nitaqat if their contracts are electronically documented on Qiwa. GOSI registration alone is no longer sufficient.
• The Yellow Nitaqat band has been eliminated — establishments formerly in Yellow are now classified as Red, triggering immediate visa blocks and permit freezes.
• The minimum monthly wage for a Saudi national to count as a full Nitaqat unit has risen from SAR 3,000 to SAR 4,000; profession-specific thresholds go higher (engineering SAR 8,000, dentistry SAR 9,000).
• Work visa quotas for new businesses are now tied to company age and Nitaqat compliance: 5 visas (under 2 years old), 50 (over 2 years old), 2 initial for Establishment Programme participants.
• Administrative support roles (69 professions including secretarial, data entry, and translation) are now subject to 100% Saudization.

Two Levers, One Direction

Saudi Arabia’s labour market enforcement in 2026 is operating through two interlocking levers. The first is the Qiwa platform’s clarified contract caps for Saudi nationals — designed to curb excessive job-hopping and ensure contract data in the system reflects reality. The second is a significant overhaul of the Nitaqat (Saudization) programme under the Developed Nitaqat Program, which runs from April 2026 through 2028 and raises the stakes for every company employing expatriate workers. Between them, these changes affect how many contracts a Saudi national can hold, how Saudization ratios are calculated, which companies can access work visas for foreign recruitment, and what happens when compliance slips. This guide explains both sets of changes and what they mean in practice for employers and workers.

The Qiwa Contract Caps for Saudi Nationals

The Qiwa platform, operated under the Ministry of Human Resources and Social Development (MHRSD), has issued clarifications establishing two firm limits on employment contracts for Saudi nationals:

1. Maximum seven contracts in any 12-month period: A Saudi employee cannot conclude more than seven employment contracts within a 365-day window, calculated from the date of their first contract. Once the seventh contract is reached, no further contract can be signed until a full year has passed from that first contract date.
2. Maximum two active contracts simultaneously: At any given time, a Saudi national may hold no more than two active employment contracts. Before signing a third contract, one of the two existing contracts must first be terminated. The system enforces this — Qiwa will not allow a new contract to be created where a worker already holds two active ones.

These rules reflect MHRSD’s push to stabilise workforce patterns and reduce the phenomenon of Saudi nationals cycling through multiple short-term engagements that inflate headcount figures without representing genuine employment. Accurate contract data on Qiwa is also foundational for the Nitaqat calculations explained below.

What this means for employers

Employers should verify before extending any new contract to a Saudi national that the worker has not reached the annual seven-contract cap and holds fewer than two active contracts on Qiwa. Attempting to create a contract in breach of these limits will be rejected by the platform. For employers tracking Nitaqat ratios closely, contract caps also mean that a Saudi worker who has hit the limit cannot be onboarded — however briefly — to shore up a Saudization percentage at month-end.

What this means for Saudi employees

Saudi workers who hold multiple roles — common in certain sectors such as hospitality, retail, and IT services — need to plan contract timing carefully. Reaching the seven-contract limit means a full year’s lockout from new contracts on the platform, regardless of whether the earlier contracts were short or long-term. Workers who want to move between jobs while already holding two active contracts must formally terminate one before the system will permit the new engagement.

The Non-Saudi Work Permit and Absence Rules

Alongside the Saudi contract caps, MHRSD confirmed through Qiwa the enforcement rules for non-Saudi workers. From 30 June 2026, employers must have Qiwa registration cancelled for any non-Saudi employee:

• whose work permit has expired and has not been renewed, or
• who has remained absent from work for more than three consecutive months, regardless of whether the Iqama (residency permit) is still technically valid.

The mechanism is automatic and electronic — no manual employer filing is required to trigger it. The practical consequence is that a valid Iqama alone no longer protects a non-Saudi worker from deregistration. For full details on how this works, see our dedicated guide: Saudi Work Permit Cancelled After 3 Months’ Absence: 2026 Qiwa Rule.

The 2026 Nitaqat Overhaul: What Changed and When

Between November 2025 and April 2026, MHRSD launched the most significant overhaul of its Nitaqat (Saudization) programme since 2021. The Developed Nitaqat Program entered a new three-year cycle effective 16 April 2026, running through 2028, with five concurrent structural changes:

1. Raised c-values: The coefficients driving required Saudization percentages have been increased for most sectors. A company with an unchanged Saudi-to-expat ratio may find its Nitaqat band has fallen.
2. Yellow band eliminated: The Yellow classification is gone. Establishments previously sitting in Yellow are now classified as Red, with immediate consequences.
3. Qiwa documentation mandatory for Saudization credit: From 15 April 2026, a Saudi employee does not count toward the Nitaqat ratio unless their employment contract has been electronically documented and counter-signed on the Qiwa platform. GOSI registration remains necessary but is no longer sufficient on its own.
4. Higher salary thresholds: The minimum monthly wage for a Saudi national to count as a full unit has risen from SAR 3,000 to SAR 4,000 (approximately US$1,061). Profession-specific minimums are higher. Saudi employees below the threshold count as 0.5 of a person.
5. Profession-level quotas expanded to 269 roles: A company can achieve Green status at the establishment level while being non-compliant in a specific covered department or profession. Both levels must now be checked.

The Nitaqat Band System in 2026

Nitaqat classifies every private-sector employer into one of five bands based on Saudi-to-expat ratio, cross-referenced against sector and company size:

• Platinum: Substantially exceeds sector quota. Expedited visa approvals, priority hiring access, unrestricted workforce transfers.
• High Green: Meets quota with margin. Full operational flexibility, visa sponsorship, government contract eligibility.
• Mid Green: Meets quota. Core capabilities preserved.
• Low Green: Just at the quota threshold. Operationally compliant but vulnerable to small workforce changes. No Yellow buffer below.
• Red: Below quota. New visa issuance blocked. Work permit renewals blocked. Ineligible for government tenders via Etimad. Expatriate staff gain the right to transfer sponsorship to a higher-band employer without consent. General Manager Iqama extensions blocked. ZATCA tax compliance now linked — serious violations can trigger a Nitaqat downgrade.

The band is calculated on a 26-week weighted average to discourage short-term workforce engineering. The Ministry reviews classifications approximately every six months, but Qiwa updates underlying data continuously. Three structural advantages are worth noting: foreign investors who own private establishments in Saudi Arabia are counted as Saudi nationals for quota purposes; GCC nationals count as Saudi nationals; and employing one person with a disability counts as four persons toward the quota.

Key Sector Quotas in Force as of Mid-2026

The following quotas reflect MHRSD decisions issued between July 2025 and April 2026. These apply to private-sector establishments meeting the relevant headcount trigger. Employers should verify their exact position on the Qiwa portal, as profession classifications update weekly.

• Administrative support (secretarial, translation, data entry, and 69 related roles): 100% Saudization. Applies to any establishment employing one or more workers in covered roles. Effective 5 April 2026.
• Procurement and supply chain (procurement manager, contracts manager, warehouse keeper, and related): 70%. Applies to establishments with three or more employees in covered roles. Effective 30 November 2025.
• Medical laboratories: 70%. Physiotherapy and therapeutic nutrition: 80%. Radiology: 65%.
• Marketing (managers, specialists, designers, PR, photographers): 60% for establishments with three or more workers. Minimum SAR 5,500/month. Effective April 2026.
• Sales (managers, sales representatives, IT sales specialists): 60% for establishments with three or more workers. Effective April 2026.
• Engineering (46 professions): 30% for establishments with five or more workers. Minimum SAR 8,000/month. Saudi Council of Engineers accreditation required. Six-month implementation window from issuance.
• Accounting: 40% from October 2025 for establishments with five or more accountants, rising by 10 percentage points annually to reach 70% by October 2028. Establishments with three to four accountants: 30% from October 2029.
• Dentistry: 55% for establishments with three or more dental workers, from late 2026. Minimum SAR 9,000/month. Saudi Commission for Health Specialties accreditation required.
• Community pharmacy, medical complexes: 35%. Hospital pharmacy: 65%. Other pharmacy businesses: 55%. Tourism: 40%.

Revised Work Visa Quotas: Tied to Company Age and Nitaqat Band

Announced in August 2026, the revised work visa quota framework directly links foreign recruitment capacity to Saudization performance from company formation:

• Businesses under 2 years old: up to 5 work visas.
• Businesses over 2 years old: up to 50 work visas (through one application or multiple applications within the same week at the entity level).
• Establishment Programme participants: 2 initial visas, with the opportunity to increase as the Nitaqat rate improves.

To recruit non-Saudi workers, businesses must meet 10 conditions set by MHRSD: maintain active business status; hold valid work permits for all employees; possess valid commercial registration; meet Saudization requirements at Medium Green or above; comply with the Wage Protection System; maintain sufficient balances on Absher or Muqeem; complete annual self-assessment (for firms with 10 or more employees); register employee work locations on Qiwa; the employer must be at least 18 years old; and maintain an available recruitment quota based on visa type.

Three visa categories apply: permanent work visas for long-term employment; temporary work visas for engagements up to three months; and Hajj and Umrah work visas, which require MHRSD approval and are specific to religious season staffing.

What Employers Need to Do Now

Six steps distinguish employers maintaining Green status from those drifting toward Red in 2026:

1. Audit the Qiwa contract base immediately: Any Saudi national without a digitally documented and counter-signed Qiwa contract is excluded from the Nitaqat headcount from 15 April 2026. For companies near a band threshold, even a handful of undocumented contracts can trigger a downgrade.
2. Recalculate position under the new c-values: A company that was High Green under the previous calculation may now be Mid Green or Low Green at the same headcount. Run the Qiwa portal calculator against current establishment data.
3. Map exposure profession by profession: A company-wide Green classification does not protect against profession-level violations. Check every covered profession on the payroll against the relevant sector decision.
4. Verify salary thresholds: Saudi employees below the applicable minimum (SAR 4,000 general; higher for engineering, dentistry, marketing) count as 0.5 of a person or not at all for profession-level compliance.
5. Confirm non-Saudi work permit status: From 30 June 2026, expired permits or absence over three months triggers automatic Qiwa deregistration. Audit all non-Saudi workers’ permit expiry dates now.
6. Build accreditation into the hiring pipeline for technical professions: Engineering Saudis must hold Saudi Council of Engineers accreditation; dental Saudis must hold Saudi Commission for Health Specialties accreditation. Without these, even a properly contracted and salaried Saudi national does not count toward the profession-level quota.

Frequently Asked Questions

What is the Qiwa contract limit for Saudi nationals in 2026?

Saudi nationals are capped at seven employment contracts within any 12-month period (calculated from the date of the first contract) and no more than two active contracts simultaneously. Once the seven-contract limit is reached, no new contract can be signed until a full year has elapsed from the first contract date.

Does the contract cap apply to part-time work too?

The Qiwa platform applies contract caps to contracts created and managed on the platform. Both full-time and part-time employment contracts documented on Qiwa count toward the annual seven-contract limit and the two-simultaneous-contract cap. Verify current guidance with MHRSD as the platform’s treatment of specific contract types is updated periodically.

What happened to the Yellow Nitaqat band?

The Yellow band was eliminated in the April 2026 Nitaqat overhaul. Establishments previously classified as Yellow are now classified as Red, with immediate consequences: blocked new visa issuance, blocked work permit renewals, loss of government contract eligibility, and expatriate employees gaining the right to transfer sponsorship without the employer's consent.

Why does GOSI registration no longer count for Saudization?

GOSI registration remains a legal requirement but from 15 April 2026, Saudization credit is contingent on the employment contract being electronically documented and counter-signed on the Qiwa platform. Saudi employees who are GOSI-registered but whose contracts have not been migrated to Qiwa are invisible to the Nitaqat ratio calculation. Both steps are now required.

What is the minimum salary for a Saudi employee to count as a full Nitaqat unit?

SAR 4,000 per month (up from SAR 3,000). Profession-specific thresholds are higher: SAR 8,000 for engineering roles, SAR 9,000 for dentistry, and SAR 5,500 for marketing. Saudi employees earning below the applicable threshold count as 0.5 of a person for Nitaqat purposes.

How many work visas can a new Saudi business obtain?

Businesses under 2 years old: up to 5 work visas. Businesses over 2 years old: up to 50. Establishment Programme participants start with 2, with scope to increase as Nitaqat performance improves. All businesses must hold Medium Green Nitaqat classification or above and satisfy 10 conditions set by MHRSD to recruit non-Saudi workers.

Which professions are now subject to 100% Saudization?

Administrative support roles: 69 professions including secretarial work, translation, data entry, and general administrative support, effective 5 April 2026. Any establishment employing one or more workers in a covered role is subject to the 100% requirement.

The Strategic Picture

The 2026 changes mark a shift in what Saudi labour compliance means operationally. For most of the past decade, Saudization was a headline establishment-level ratio managed through periodic hiring adjustments. The current regime is profession-resolved, salary-weighted, contract-documented on Qiwa, and continuously monitored. Contract caps create a new friction point for Saudi workers who move frequently between engagements. The elimination of Yellow leaves companies with no buffer between Green compliance and Red consequences. And the revised work visa quota structure means foreign recruitment capacity is now explicitly a function of Saudization performance — not just an administrative process. Qiwa, GOSI, the Wage Protection System, ZATCA, and Etimad are now linked, and a deterioration in one can propagate to the others. Companies handling this well in 2026 are those that have brought Saudization out of HR and into the same continuous review cycle as commercial planning.

References

1. DLA Piper GENIE. Saudi Arabia clarifies Qiwa contract limits and expat cancellation rules. June 18, 2026.
2. Middle East Briefing. Saudi Arabia’s Nitaqat 2026 Update: Latest Quotas by Sector. May 15, 2026.
3. Erickson Immigration Group. Saudi Arabia Saudization Updates: Qiwa Contract Documentation Impacts Nitaqat Calculations. April 30, 2026.
4. VisasUpdate.com. Saudi Arabia Work Visa Quotas Revised 2026: New Rules for Businesses. August 26, 2026.
5. Qiwa platform. qiwa.sa. Ministry of Human Resources and Social Development, Saudi Arabia.

Related Guides

Saudi Work Permit Cancelled After 3 Months’ Absence: 2026 Qiwa Rule — full guide to the automatic deregistration rule for non-Saudi workers effective 30 June 2026.

Saudi Arabia Travel Ban Check — Nitaqat non-compliance and work permit issues can sometimes result in travel restrictions; check your status before any international travel.

Saudi Arabia Travel Ban Legal Guide — understand the legal basis for Saudi travel restrictions and how employment disputes can affect exit permissions.