Saturday, November 3, 2012

ASSIGNMENT 1


Unemployment in the UAE



DISCUSSION:

Unemployment is growing at an alarming rate. There are lots of reasons for unemployment problems among the Emiratis. According to the Gulf News (Tuesday, March 13, 2012) “the members of the Federal National Council asked the government to create more jobs for unemployed Emiratis, especially university graduates. Saeed Nasser Al Khatheri, a representative from Ras al Khaimah asked how a country like the UAE with an economy creating hundreds of thousands of jobs and citizens accounting only for less than 15 per cent of the population, has an unemployment problem.”


One of the important factors leading to unemployment in the UAE is nepotism. It means favouring relatives or friends for a job rather than efficiency, qualification and merit. According to a poll conducted by CIA ( Central Intelligence Agency), The World Factbook 74 per cent of people voted that nepotism was the main reason behind unemployment. There are many cases which I have personally seen. A high official in any institution or organization prefers a relative for a job to a highly qualified non-relative.

Supply and Demand:

The Arab League Report forecasts that the workforce in the UAE is expected to grow by 3 per cent, whereas demand for jobs may grow by 2.5 per cent. According to the Gulf News report, there are between 12,000 and 13,000 Emirati jobseekers annually only in Abu Dhabi. The UAE is expected to create more than 60,000 new jobs over ten years.

Expatriates:

The Mohammed Bin Rashid Maktoum Foundation reports that 90 per cent of private sector jobs in the United Arab Emirates are taken by expatriates. These expatriates are given legal residence permits temporarily. They are ready to accept any kind of job packages. They are flexible in accepting the offer including long working hours and a few holidays in the private sector. However the Emiratis do not prefer jobs in the private sector because of low salary. But certain highly paid positions in the private sector are taken by experienced and well qualified Emiratis. The Emiratis prefer jobs in the public sector because of higher salaries and short working hours and more holidays. A process called Emiratisation is going on; many companies have taken action to solve the problem of unemployment. HSBC has terminated 123 expatriate employees and replaced them with Emiratis.

Education:

According to the Gulf News, “Shaikh Nahyan Bin Mubarak Al Nahyan, Minister of Higher Education and Scientific Research, said that emiratisation remained a key priority to be tackled by the government to give adequate opportunity to the people of the UAE to prove their merit in various fields of work and contribute effectively to the development of the country”. According to the Gulf News report, the UAE’s investment is enormous in education, leadership training and entrepreneurial programmes to prepare more Emiratis to join the workforce in both the private and public sectors. The number of graduates  is increasing every year since more Emiratis are keen on joining universities.

Emiritisation:

 According to The National newspaper report, in the real sense

Emiratisation is giving right jobs to the right people although it is

not as easy as it looks. It is necessary to enhance the career path

experience for youths and create a sincere feeling that they are

playing a role in the prosperity of their nation.

·Unemployment is becoming a serious problem that has to be tackled urgently.

·Emiratisation should be that the right people are given the right job.

·Creating a community wide platform to have meetings and implement solutions to the unemployed.

·It is the responsibility of the Emiratis for the prosperity of their nation.

Conclusion:

In my opinion, Emiratis should not hesitate to accept jobs in the private sector if they are offered, and they should not be choosey in the beginning because gaining experience is highly important. This enables a person to become more skilful and efficient in one’s job.  Moreover, nepotism should be checked and controlled. Preference should be given for qualification and efficiency.

References:


2020. "Emiratisation means much more than mere quota filling - The National." Latest and breaking news | thenational.ae - The National. N.p., 3 Nov. 2012. Web. 17 Nov. 2012. http://www.thenational.ae/thenationalconversation/industry-insights/economics/emiratisation-means-much-more-than-mere-quota-filling.

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