Research ranks Dubai as second best metropolis for employment and income growth during period before the crisis.
When considering job opportunities and growth in income during the pre-crisis period, Dubai ranks as the second best metropolitan center. The Emirate also continued to offer new employment positions throughout the era of crisis, based on research revealed by two globally prominent institutions.
The London School of Economics (known as the LSE) together with the Brookings Institution conducted research concluding that Dubai was at the top for job creation throughout the era before the crisis (1993 to 2007), recording 10.9 percent annual growth in the collaborative survey that covered 150 metropolitan centers. The research also revealed that income within Dubai rose by almost five percent annually over that period.
Throughout the worldwide recessionary period from 2007 to 2010, Dubai recorded job growth of 0.7 percent. A majority of the leading metro locations around the world, including New York, London and Frankfurt, experienced negative job growth over the preceding three-year period during the peak of the worldwide crisis. Income growth during that period fell by almost 8 percent.
The joint study by Brookings Institution and the LSE indicated that there was a 1.1 percent increase in new jobs in Dubai throughout the recovery period in 2009 and 2010.
In the Labour Force Survey, completed by Dubai’s Statistics Centre, the jobless rate for the emirate hit 0.6 percent this year, down from 0.8 percent last year and 1.1 percent in 2008. This data includes both nationals and expats. The lowest ratios were recorded between unemployed men and women, as well as nationals and expats.
Looking at employment and income growth for the period before the crisis, Abu Dhabi landed in fifth place, while it ranked 16th when considering the time throughout the crisis. The capital of UAE ranks in 43rd place out of 150 cities when considering the period of recovery.
The report showed that for the time period from 1993 to 2007, 50 percent of the metropolitan centers that recorded strong growth in employment and the GVA per capita (gross value added) were found in emerging regions such as Asia, the Middle East and Latin America. These locations had seen the benefits of globalization and integration within economies. Metro centers like Bangalore and Shenzhen saw income triple and job growth within Belo Horizonte, Brazil and Singapore was over 50 percent higher during those 14 years.
The report also showed that metropolitan locations with lower incomes in the emerging Asian, Latin American and certain Middle Eastern markets grew the most during the period before the recession. They also tended to avoid the worst recessionary effects and are leading the recovery. The centers showing the quickest recovery are Lima, Istanbul, Singapore, Shenzhen and Santiago, according to the study.
It was also revealed in the survey that although the US city centers were harder hit than those in Europe, the pace of recovery is more sluggish in European cities than in American metropolitan locations.Paul Holdsworth, Staff Writer, Gulf Jobs Market News