Friday, March 24, 2006

On the Labour Issue

Comments on this blog entry in One Big Construction Site

Most of the constuction companies in UAE are controlled and managed by few well known groups and individuals here. If the government decides to control the system, it would again come down to the same management here. After all, not everyone can manage a constuction company, fewer in "locals". Moreover, the government needs to get out of businesses, not involve in more. As far as a social system is concerned, forget expats; these guys are slowly learning to take care of their own social needs (of locals) in many aspects.Recent disability laws are proof in that direction.

The issue with non-payment and ill treatment of labours in UAE has more to do with incompetent embassies and middle men between the native village in india/pakistan/etc and final job. Most of these people take up huge debts to come to the gulf, and the repayment plan prevents them to say "f**k off" to their incompetent employers. Unfortunely, the worst treatment occurs in cases where indian works for an indian-managed company etc.

I believe, the solution to this problem lies in good-old competition. Let forign companies (having western standards) compete for constuction projects including actual contruction. (Right now, most of the companies are based out of UAE, with sub-continent labour.) And allow free movement of labour from one company to another. Laws like the six-month ban for unskilled labour do not allow free flow of labour in UAE, especially for unskilled labour. Hopefully, competition will improve the situation for all.

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