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Should Emirati Citizens Be Paid More than Expatriates?

UAE : 29 April 2010

Human Resource Experts have just announced that they think the policy of paying Emirati citizens more than expatriates who are doing the same job is a good practice as it is substantially boosting the number of Gulf citizens working in the private sector especially in jobs based in an office environment.

The practice of adding an allowance to the earnings of citizens working in the private sector makes the jobs more of an attractive proposition and experts who spoke this week at the Gulf Cooperation Council nationalization forum believe this will ultimately benefit the Gulf countries in the longer term when they are obliged to veer away from hydrocarbon industries.

Du which is majority owned by the government says that at present 20% of its work force are currently Emirati and the company reiterate the view point that paying their employees more is an investment for the future success of the region and is also highly beneficial for the company’s image.

Lloyds in the UAE also say that they pay Emirati’s an average of 30% more than they pay expatriates and at present just over one third of their employees are local.

It appears this trend will continue to increase as the region diversifies away from oil production there will no longer be the same amounts of surplus cash available to invest in an inflated public sector so there will have to be a lot more locals employed in the private sector. Although many feel it will be quite a challenge to entice locals to work in the services industry which they have always traditionally veered away from.

Paul Holdsworth, Staff Writer, Gulf Jobs Market News
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