Saudi Arabia’s unemployment rate among nationals climbed to 7.5% in Q3 2025, the highest in a year, amid falling labour force participation and government crackdowns on social media critics protesting cost-of-living hikes and benefit cuts. These developments challenge FIFA’s human rights, labour rights, transparency, and press freedom standards for World Cup hosts, spotlighting potential sportswashing risks as the kingdom prepares for the 2034 tournament.
Saudi Arabia’s unemployment rate among its citizens has surged to 7.5% in the third quarter of 2025, marking the highest level in a year and reversing earlier gains under Vision 2030. This rise, reported by Semafor in an article published on 5 January 2026, comes after the rate hit a historic low of 6.3% earlier in the year, with labour force participation also declining for the second consecutive quarter. The kingdom, confirmed as host of the FIFA World Cup 2034 in December 2024, now faces scrutiny over whether its domestic socio-economic strains align with global sports governance expectations.
Unemployment Surge Amid Vision 2030 Ambitions
Semafor journalist Ali Malik reports that Saudi Arabia’s unemployment rate rose for the second consecutive three-month period ending September 2025. Unemployment among Saudis reached 7.5% at the end of September after hitting a historic low of 6.3% at the start of 2025. Labour force participation—those in work or looking for a job as a portion of the working-age population—also fell.
Getting more Saudis into private sector jobs has been a success of the kingdom’s Vision 2030 economic transformation plan, according to Semafor. Just 12 months ago the government had revised its 2030 unemployment target to 5% from 7%, as it cruised past the original goal. The deteriorating employment figures come as the government clamps down on critics who have voiced anger over the rising cost of living and changes to social security benefits.
FIFA World Cup 2034 Confirmation Context
FIFA confirmed Saudi Arabia as the sole host of the 2034 men’s World Cup on 11 December 2024, as announced on the Saudi Public Investment Fund’s official site by SPL News. FIFA President Gianni Infantino congratulated Saudi Arabia, expecting a “spectacular” tournament, according to FIFA’s Inside site. BBC Sport reported FIFA’s confirmation despite prior concerns, with the decision bending some rules, as noted by Asyarfs.org.
NPR highlighted the controversial pick, pointing to Saudi Arabia’s human rights record and labour practices. Critics, including a Reddit discussion on r/sports, urged FIFA not to award the tournament amid allegations of migrant labour abuses. Another Reddit thread on r/sports noted FIFA handed Saudi Arabia the hosting rights despite warnings of “unimaginable human cost”.
Labour Rights Concerns for Mega-Events
FIFA’s bidding requirements for World Cup hosts include adherence to international labour standards, such as those outlined in its Human Rights Policy and the UN Guiding Principles on Business and Human Rights. The kingdom’s reliance on imported labour for construction and mega-projects raises compliance questions, as argued in a FERW.eu analysis titled “Why Saudi Arabia’s Imported Labor Dependency Makes FIFA 2034 Hosting Unsuitable”.
FERW.eu details how Saudi Arabia’s economy depends on migrant workers in sectors critical to World Cup infrastructure like stadiums and transport, often under kafala sponsorship systems criticised for restricting worker rights. Boycottsaudi2034.com contends that Saudi growth does not justify hosting, linking economic boasts to labour exploitation risks similar to Qatar 2022. Semafor’s report of stalling Saudization efforts—aimed at prioritising national hires—contrasts with Vision 2030 promises, as private sector job gains falter amid the unemployment uptick.
These trends question whether the 2034 tournament will create sustainable jobs for Saudis or perpetuate a dual labour market, with nationals facing barriers while migrants fill low-wage roles.
Human Rights and Press Freedom Standards
FIFA mandates hosts respect human rights, including freedom of expression, as per its 2022 bidding reforms post-Qatar controversies. Semafor reports the Saudi government recently arrested six people and fined nine for social media posts it said would “incite public opinion,” with dozens more summoned over “provocative” content, citing the Financial Times.
This crackdown targets anger over rising living costs and social security changes, coinciding with unemployment woes. Such actions challenge FIFA’s expectations for an open environment, where fans and media can operate freely, as emphasised in its transparency commitments. Civil society groups, like those behind Boycottsaudi2034.com, argue these measures exemplify sportswashing—using events to deflect from rights issues.
Transparency and Governance Challenges
FIFA requires hosts to demonstrate transparent governance, including anti-corruption measures and equitable resource allocation. Saudi Arabia’s official World Cup site, saudi2034.com.sa, promotes themes of growth and opportunity. Yet, Semafor’s data on revised unemployment targets—from 7% to 5%—and subsequent reversals suggest opaque progress reporting under Vision 2030.
Asyarfs.org claims FIFA bent its own rules to award the tournament, fuelling debates on accountability. SPL News celebrates the historic win without addressing domestic strains. International stakeholders, including human rights organisations, question if fiscal priorities favour 2034 spectacle—potentially the costliest World Cup—over citizen welfare, amid benefit cuts.
Sportswashing and Ethical Hosting Debates
The unemployment rise ties into broader sportswashing critiques, where Gulf states host mega-events to polish images amid rights concerns. NPR notes Saudi Arabia’s 2034 win as controversial, echoing Qatar 2022 migrant death scandals. FERW.eu warns of unsuitable hosting due to labour practices.
Civil society and fans, via platforms like Reddit, highlight “unimaginable human cost” risks. Boycottsaudi2034.com argues economic growth claims mask inequalities. FIFA’s decision, per BBC, proceeded despite these voices.
Questions persist: do these developments legitimise concerns for stakeholders? Human rights groups may amplify calls for oversight, potentially via FIFA’s independent audits. Saudi officials maintain Vision 2030 delivers, but Q3 2025 figures challenge that narrative.
Implications for Global Sports Governance
Saudi Arabia’s hosting promises a single-nation tournament, with 15 stadiums and infrastructure upgrades. Yet, falling participation and 7.5% unemployment signal risks of short-term jobs over lasting gains. FIFA’s standards demand hosts mitigate such issues, prompting scrutiny from fans and organisations.
Global debates intensify on ethical hosting: should awards hinge on verifiable rights improvements? Semafor’s reporting, alongside critiques from NPR and FERW, underscores tensions between ambition and reality. As 2034 nears, stakeholders watch if reforms address these gaps or if sportswashing prevails.