The third sector can be defined as the sector consisting of non-profit institutions and bodies, such as charitable and human rights organizations and non-governmental unions. It lies halfway between the public sector and the private sector and offers many rewarding and valuable career opportunities.
In general, the third sector is considered one of the overlooked sectors in the Kingdom, despite the real opportunities it offers. According to the figures, the sector's contribution to the Kingdom's economy in 2016 ranged between 3 and 4.5 billion SAR, and based on a report issued by the King Khalid Foundation in 2018, the sector must grow annually by between 31% and 39% to achieve the goals of Vision 2030.
In this episode, our guest Mr. Osamah Alhenaki, an expert in qualitative research on the non-profit sector, labor market policies, and sustainable development issues, tells us about the importance of this sector, and the future trend in Saudi Arabia to transform some government institutions into non-profit organizations.
Mr. Alhenaki also walks us through the various names and denominations that are used in this sector, with a preference for the term “non-profit sector” which is the denomination that is approved by Vision 2030 and tells about the future of this sector. The number of non-profit organizations in Saudi Arabia had reached about 2598 in 2018, between non-profit institutions, associations, universities, and hospitals. The Kingdom recognized that this number needed to double in order to address the needs of the Saudi population. As a consequence, the Saudi state is actively working to provide all the necessary facilities for charitable and non-profit institutions.
Mr. Alhenaki also discusses global experiences in this sector. The term is also recent in the West and includes civil society institutions and charitable institutions that work to integrate marginalized and powerless people into society. Some of these institutions also work to defend the rights of their affiliates, such as institutions for the defense of women's rights, human rights, and children’s rights.
Shifting towards this sector has become a global trend, with ten million non-profit organizations established around the world, one million and three hundred thousand of which are in the US.
America's nonprofit sector accounts for about 5-10% of the US economy's income and 10% of America's employment sector. In the US, this sector employs approximately 11.9 million people, making it the third-largest employment sector after the industrial and retail sectors.
Mr. Alhenaki urges youth to consider this sector and the opportunities it presents. He also acknowledges the necessity for young people to carefully prepare themselves for this sector in the same way that they do when applying for a job in any other sector.
