UAE | Employment
Businesses lash out at residency cap proposal
Business in the UAE will be affected, if the proposed residency cap is implemented because it will force companies to give up locally trained staff, leading businesses said.
- By Wafa Issa, Staff Reporter
- Published: 23:23 October 22, 2007
- The proposed cap will be applicable for those with an education below secondary school certificate.
- Image Credit: Gulf News Archive
Dubai: Business in the UAE will be affected, if the proposed residency cap is implemented because it will force companies to give up locally trained staff, leading businesses said yesterday.
Dr Ali Bin Abdullah Al Ka'abi, Minister of Labour, had told Gulf News on Sunday that the UAE will support the Bahraini proposal of a six-year residency cap for unskilled labourers to be discussed at the GCC Summit in Doha in December.
A spokesperson of the Al Habtoor Group described the proposed cap as unwise as the country will lose its semi-professional and professional manpower. Besides, there will be financial losses.
Targeted sectors
"In six years unskilled labourers will develop some kind of skills and become semi-professional and professional manpower. By not renewing their residence visa, the country will face a shortage of semi-skilled workers and we have to go through the same cycle by bringing in newcomers."
The proposed cap will be applicable for those with an education below secondary school certificate, Obaid Rashid Al Zahmi, assistant undersecretary at the ministry, told Gulf News.
"The main sector which will be targeted is the construction but other sectors, which do not need skilled labourers, such as the tourism and hospitality and service sectors will also be affected by the cap," said Al Zahmi.
Workers said they will be in trouble as they have come here for the long haul with large families to support at home.
Your comments
I completely agree with the Al Habtoor spokesman. It will not be professional if we tell someone after working for six hard years and is looking forward to growing and improving that the government does not think that he is worth the hassle to be retained! That is not fair to the employee and the company.
Behin
Dubai,UAE
Posted: October 23, 2007, 09:14
One might wonder how fast the UAE changes with respect to the skyscrapers, the new roads that spring out within months and the islands in the sea. But rarely do they see the underpaid workers in the emirates who make all this happen. How much of an influence can these workers have on the local population? It is a pity that there is no platform for them to voice out their opinion.
Dipu
Abu Dhabi,UAE
Posted: October 23, 2007, 09:13
This could be a major problem for all companies because when the new labourer come, the companies have to train them for a minimum of two months. This will be huge financial loss to the companies.
Abdul
Dubai,UAE
Posted: October 23, 2007, 09:02
I fail to comprehend how the government is going to gain by imposing the residency cap. It is very clear that businesses will be affected.
Raj
Fujairah,UAE
Posted: October 23, 2007, 08:35
The government should either stop hiring expatriate workers or allow them a lifetime work permit. Unskilled workers who receive low wages are not expected to stay in Gulf countries for six years or more. I have seen people decide to move back to their home countries.
Muhammad
Jebel Ali,UAE
Posted: October 23, 2007, 08:14
Al Kaabi's comments on imposing residency cap is ill conceived. The prime reasons he mooted is also unrealistic because since the beginning of 1970s, expatriates have contributed to the success and development of the UAE.
Mohamed
Abu Dhabi,UAE
Posted: October 23, 2007, 08:05
Insteaed of a visa cap, the government should think of imposing a minimum pay system since most companies do not pay their workers.
John
Dubai,UAE
Posted: October 23, 2007, 08:03
The move is too little too late in a nation that lives for foreigners.
Abdalla
Abu Dhabi,UAE
Posted: October 23, 2007, 07:30
Companies will be investing on training for each unskilled labourer. If these labourers will be replaced in six years, then the country will have a shortage of unskilled or semi-skilled labourers in the market and will result in high construction costs.
Ramesh
Dubai,UAE
Posted: October 23, 2007, 02:15
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