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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