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The Hafez program must be restructured
Published in The Saudi Gazette on 13 - 06 - 2015


Rashed Mohammad Al-Fouzan
The idea of Hafez, the government program that hands out allowances to the unemployed, is to provide those looking for jobs with a small income to help them get by while they are looking for a job. Those in receipt of the funds have declined from one million to a mere 80,000. The question, however, remains as to whether those who have stopped receiving the funds have found employment. In fact, they have not; they are no longer in the program because people are only eligible to receive Hafez funds for one year. This is regardless of whether or not they have found employment.
According to the Ministry of Labor, around 465,000 people who were Hafez beneficiaries found employment through the program. I am of the view that Hafez is a worthy initiative. However, despite its well-intended purpose, it has been exploited by companies wishing to falsely meet their Saudization quotas.
It is better to support job seekers after they are employed, not before. This means that the Human Resources Development Fund (Hadaf) should only dish out funds when unemployed people are found to be seriously looking for jobs. Hadaf should only pay allowances after the person has remained in a job for at least two years. These funds should be given once a person has found a job, not before. In this way, we can provide job seekers with incentives to find jobs, keeping in mind that women are in a more difficult position than men. Imagine if the laws and conditions were such that women were able to open their own businesses just like men. A large number of women would start their own businesses. Just look at the way women interact on Instagram.
Hadaf should focus on issuing allowances after a jobseeker becomes employed. Jobseekers will realize that they can receive allowances or financial support once they actually begin work and that they will not receive these funds if their names are merely being used by a company to meet its Saudization quota. Saudization may have encouraged unemployment as some people prefer to receive lower salaries without working.
While I agree with stopping the Hafez program for men, I feel that women should be given a longer period of time before they stop receiving funds as they do not have the same opportunities as men and should, therefore, not be treated equally in this regard. The unemployment rate for women is more than 30 percent while for men it is only six percent. This six percent includes many who have job opportunities.
I know that Hadaf contributes 50 percent of a Saudi employee's salary for a limited number of years, but it should also promote a working culture. It should create awareness that there is no shame in working, regardless of the type of work. In this way, when an unemployed person gets a job and actually begins work, he will be mentally attached to the job and will not be prevented from doing other things.


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