Nitaqat Status Guide: How to Move from Red to Green Zone

January 8, 2026
saudi coffee crafters
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It usually happens on a Sunday morning. You log into Qiwa to renew your best barista’s Iqama, run a quick Nitaqat status check, and see it: The dreaded RED bar. “Service Blocked: Entity is in Red Zone.” You panic. You think, “I’ll just fire the dishwasher to fix the ratio.” Stop. That is the “Excel Sheet Lie.” Firing expats won’t fix your score fast enough to save you.

The Nitaqat algorithm is smarter, faster, and more ruthless. Here is the 30-day action plan to get back to Green before your staff get poached.

Table of Contents

Quick Comparison: The “Points” Game

How much is your Saudi employee actually worth?

Scenario	Salary (GOSI)	Nitaqat Score	Smart Move?
Full-Time Saudi	4,000 SAR+	1.0 Point	YES (Standard)
Low Wage Saudi	3,000 – 3,999 SAR	0.5 Point	NO (Bad ROI)
Student / Part-Time	Hourly / Stipend	0.5 Point	Maybe (For coverage)
Disabled Saudi	4,000 SAR+	4.0 Points	YES (Highly Impactful)
Remote (Telework)	4,000 SAR+	1.0 Point	Yes (If registered)

1. The “Small Entity” Trap (The 6th Employee)

Most cafe owners think they are safe if they have under 9 employees.

Correction: The safety net ends at 5 employees.

0-5 Employees (Small A): You only need 1 Saudi. (Easy).
6-49 Employees (Small B): The moment you hire Employee #6, you enter the “Percentage Game.”
The Trap: If you have 5 Expats + 1 Saudi, you are ~16% Saudization. This might be Low Green. If you hire one more Expat, you drop to ~14%. Boom. Red Zone.
The Fix: Before you hire your 6th expat, you must hire your 2nd Saudi. Always stay one step ahead of the jump.

2. The 4,000 SAR Rule: Don’t Be Cheap

I see owners hiring a “paper Saudi” for 3,000 SAR just to tick a box.

This is burning money.

The Rule: Since late 2024/2025, a Saudi only counts as a Full Employee (1.0) if their registered wage in GOSI is 4,000 SAR or higher.
The Math: If you pay 3,000 SAR, they count as 0.5. To get 1 full point, you’d need two people costing you 6,000 SAR total.
The Strategy: Pay one person 4,000 SAR. It is cheaper and gives you full credit.

3. Why Firing Expats Doesn’t Work (The “26-Week” Lag)

When you hit Red, your instinct is to fire expats to lower the denominator.

The Problem: Nitaqat uses a 26-Week Moving Average for expats. If you fire a cleaner today, he is removed from your current list, but he stays in your average calculation for 6 months.
The Solution: You must Hire Saudis (Numerator). New Saudi hires registered in GOSI update your Qiwa score within 1 week. It is the only way to “spike” your score immediately.

4. The “Direct Transfer” Nightmare

Why the urgency? Why not just wait?

Because of Article 40 (Labor Law).

If your establishment is in the Red Zone, your expatriate employees are legally allowed to transfer to a new employer without your consent.

The Scenario: Your neighbor sees you are Red. He offers your Head Barista a job. He submits the transfer request in Qiwa. It is auto-approved.
The Loss: You lose the 10,000 SAR visa cost, the training time, and your best staff member.
Action: If you hit Red, fix it within 7 days. Do not wait.

5. The “Student” Strategy (0.5 + 0.5 = 1)

If you can’t afford a 4,000 SAR full-timer, hire students.

The Benefit: Coffee shops are perfect for evening shifts. Students want flexible hours.
The Calculation: A student counts as 0.5. Hiring two students to cover the closing shift (4 PM – 12 AM) gives you 1.0 Nitaqat point.
Bonus: Students are often more energetic and speak better English than “ghost employees.”

6. The “Remote Work” (Telework) Option

Can you hire a Saudi to do “Social Media” or “Admin” from home?

Yes, BUT: You must register them through the official Telework.sa portal.
The Risk: If an inspector visits and asks for “Sarah,” and you say “She is at home,” and she is NOT registered as a Teleworker, you get a 20,000 SAR fine for “Fake Saudization.”
The Cost: Telework providers charge a fee, but it counts as 1.0 point and is perfectly legal if done through the portal.

The Verdict: The 30-Day Action Plan

Day 1: Check your GOSI list. Is anyone earning 3,000 SAR? Raise them to 4,000 SAR immediately.

Day 7: If still Red, hire a Saudi Barista or Cashier (Full Time, 4,000 SAR). Register in GOSI.

Day 14: Check Qiwa. The score updates every Sunday/Monday.

Day 30: If still struggling, register a Remote Employee via Telework.sa for back-office admin.

My Advice:

Treat Nitaqat like your rent. It is a fixed operational cost. Budget for it. Trying to “cheat” the system with 3,000 SAR salaries or fake employees will cost you double in fines and blocked visas.