The
UAE has one of
the lowest unemployment
levels in the
world, standing
at only 2.4 per
cent at the end
of 2001 as a result
of high growth
in the non-oil
economy and a
government drive
to find jobs for
citizens, according
to official estimates.
The
country's workforce
was estimated
at around 2.079
million last
year, of which
nearly 2.029
million were
employed, the
Ministry of
Planning said
in its 2002
annual report.
This
means around
50,000 people
were jobless,
accounting for
about 2.4 per
cent of the
total labour
force and just
1.4 per cent
of the 3.48
million population.
The
ministry said
it had revised
its figures
for the workforce
which it earlier
estimated at
around 1.85
million at the
end of 2001.
Experts
said the revision
was apparently
prompted by
drastic changes
in the labour
market as thousands
of expatriates
had to leave
because of new
labour policies
while a large
number of nationals
are taking up
jobs after reaching
the legal job
age.
"Compared
to other developing
or even developed
countries, the
UAE's unemployment
rate is one
of the lowest
in the world,"
said a UAE banker.
But
experts noted
official estimates
do not include
thousands of
illegal expatriate
residents who
are not registered
with the Ministry
of Labour and
Social Affairs.
Although some
of them have
part time jobs
in violation
of labour laws,
many of them
are unemployed.
More
than 200,000
illegal migrants,
mostly Asians,
left the UAE
five years ago
to benefit from
a general amnesty
ordered by President
His Highness
Sheikh Zayed
bin Sultan Al
Nahyan to clean
up the country
from immigration
violations and
restore discipline
in the job market.
Another spardon
is expected
to be announced
in the next
few weeks.
Although
actual unemployment
rates might
be higher, the
UAE does not
have a real
joblessness
given its strong
economy and
a serious government
campaign to
employ nationals
through the
creation of
new jobs in
the public and
private sectors
and replacement
of expatriate
workers.
Economists
said they saw
no hurdles for
such a campaign
as the non-oil
economy is growing
by at least
four per cent,
which is faster
than the population
growth.
"This
means the UAE
can cope with
the population
growth and at
the same time
maintain its
high per capita
income which
has eroded sharply
in other countries
in the region,"
an expert said.
A
breakdown by
the Ministry
of Planning
showed the UAE
has never suffered
from a severe
unemployment
problem, with
the rate standing
at only 1.9
per cent in
1975.
It
fluctuated in
the following
years but remained
in the range
of one to three
per cent.
The
level is expected
to be maintained
in the following
years as the
government's
new labour policies
focus on employment
of nationals
and deportation
of unnecessary
and unqualified
foreign workers.
The
private sector
will likely
play a major
role in the
employment of
citizens given
its massive
potential and
the fact that
the public sector
is saturated
and is not growing
enough to accommodate
large numbers
of new jobs.
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