AI boosts productivity, profitability: Takamol Holding CEO

Ahmed Al-Yamani CEO at Takamol Holding Co.

Ahmed Al-Yamani, CEO at Takamol Holding Co., the arm of the Ministry of Human Resources and Social Development, said the labor market is increasingly shifting toward skills-based employment, with less emphasis on formal academic qualifications over time.

Speaking to Al Arabiya on the sidelines of the Global Labor Market Conference in Riyadh, Al-Yamani said skills can be acquired over relatively short periods and applied for limited durations before becoming obsolete, requiring workers to continuously upskill and reskill.

He said the transition from reliance on a single skill acquired through formal education to lifelong learning enhances individual value and productivity, with positive spillovers for the broader economy.

Al-Yamani noted that artificial intelligence (AI) is boosting productivity and profitability, but may also affect job availability, making it a complex and critical equation that must be carefully managed to avoid eroding economic value.

He underscored the importance of keeping pace with rapid technological transformation while aligning workforce skills and capabilities with market needs, adding that Takamol aims to raise labor productivity in the Saudi market and, in turn, overall economic productivity.

Al-Yamani also pointed to the shift toward new work models, including flexible work and freelancing, which are expected to see strong growth in the coming years. This will require both businesses and individuals to adapt, alongside regulatory readiness to protect workers across full-time, flexible and freelance arrangements, with labor protections increasingly moving toward hour-based systems rather than long-term employer-employee relationships.