Migrant Workers in the Arab Gulf States - Report Example

• Introduction

The study will mainly focus on the change witnessed in the Gulf City due to migrant labor. Even few decades ago, the Gulf was known to be a stretch of desert. However, the geographical region has encountered various changes due to increasing base of foreign labor. In earlier scenario, the economy for multiple Gulf regions was completely dependent on regional trade. The Gulf, in the present scenario, features unparalleled luxury and futuristic skylines. It can be stated that such transformation has only been possible because of expansive development plans. Oil wealth has enabled the Gulf to bring forth massive changes in its infrastructural settings. The study will not only be centered towards the development of building structures but would also reflect upon social fabric. Social changes have also taken place in the Gulf initiating a strong relationship between non-native and native. The rapid growth of migrant workers has played a critical role in the economic development of the Gulf. It has been witnessed that the Arabian Gulf constitutes a long history in terms of global interaction and connectivity. GCC countries were highly dependent on such foreign labor in order to efficiently address their local labor market demand. The focus of this study is to determine the extent to which foreign labor has successfully shaped the Gulf city.

• Discussion
  • Relation between non-native and native of Gulf City

In the GCC countries, difficult economic situation has eventually made the option of labor emigration more attractive. To reduce the rate of unemployment is a major area of concern for the government. Economic development in the GCC has been accelerated by the growth of migrants. The private sector has been largely dominated by the foreign workers. It is evident that labor exploitation has been witnessed in the Gulf city. Private sector jobs mainly in the field of construction, manufacturing, etc., demanded for low-skilled workforce. Non-natives were categorized as the low skilled labor that enhanced productivity level of various industrial sectors. To a great extent, the boom in the construction industry was also due to increased migration of non-natives. It is often argued that economic stability in the GCC was only due to consistent contribution from the non-natives. However, similar efforts were also given by the natives towards the public sector. The largest market specifically for the job seekers has been the Gulf States. There are various industries established in the Gulf which makes it easier for non-natives and natives to accomplish their set goals. The region has gradually become dependent on the expatriates. Social, economic and political structure of the GCC has largely been shaped by the procedure of foreign labor migration. On the contrary, high dependency on the expatriates has even led to negative socio-economic and cultural consequences (Diop, Tessler, Trung Le, Al-Emadi & Howell, 2012). The varying political and economic interests of expatriates and governments have initiated numerous conflicts and tensions in the last few decades.

The emergence of oil political entities has resulted into noticeable transformation of wide stretch of deserts into certain modern states. In the last 50 years, GCC states have witnessed to grow eight times more than other geographical regions. Employment of foreign workforce has largely driven economic conditions prevalent in this geographical region. It can be stated that foreign workforce came in the form of cheap labor which has been easily exploited by the Gulf States. The existence of social disparities has consistently maintained a gap between non-natives and natives. In Western European regions, foreign labor was seen to support the national worker, rather than occupying a predominant portion within the employment sector. However, similar trends have never been witnessed in the GCC. It is a common assumption that low-skilled jobs are executed by hiring foreign workforce. In GCC, foreign labor dominates every possible industry which effectively contributes towards economic growth. Non-natives are seen to constitute majority of population in Qatar, Kuwait and the UAE. On the other hand, a low proportion of non-nationals have been maintained in Saudi Arabia and Oman. As per 2008 statistics, non-nationals are seen to occupy 70% of labor force in the Gulf. The non-natives are mainly inclined towards executing tedious and creative tasks, whereas, the job role of policy formulation is completely exhibited by the natives (Kapiszewski, 2006). It has been observed that the government has structured appropriate labor market strategies in order to satisfy both non-natives and natives. Serious conflicts still prevail between diverse communities due to contradictory interests.

The relationship between non-natives and natives can be properly evaluated in context of economic and political infrastructure. To be more precise, non-natives are solely responsible for exhibiting tasks which triggers economic development of a region. For instance, road infrastructure of the GCC has been developed with the support of non-nationals. It can be stated that foreign labor not only works hard but also puts in various creative ideas. Economic development is closely knitted with enhanced infrastructural outlook along with establishment of profit generating industries. Hence, foreign workforce through their creative ideas has brought forth significant changes within the economic infrastructure of the GCC. The relation between natives and non-natives have gradually changed over due course of time. There are some quotas being reserved for nationals so as to maintain the provision of equal job opportunities within the geographical region. In some professions, retirement plans have only been structured for the nationals in order to ensure that domestic labor is not being deprived from basic rights due to lack of skills or expertise (Gardner, Pessoa, Diop, Al-Ghanim, Le Trung, & Harkness, 2013). In private sector firms, many working non-nationals aim at improving living standards of the nationals. For instance, construction of various monuments, bridges, airports, shopping malls, etc., is a primary step undertaken by the government to upgrade living standard of natives. Non-natives play the role of a supporting framework so as to uplift living standard of citizens. Economic development of a region is achieved through striking a proper balance between private and public sector firms. In overall context, the relation between non-natives and natives can be well explained in context of balancing outcomes of various industrial sectors.

Labor migration and employment opportunities for the nationals have always remained a controversial issue in the GCC. The profit-driven concerns mainly linked with the private sector have resulted into a high demand for foreign labor. National security considerations have eventually increased with the growth of non-natives in this region. It can be critically argued that economic development has been accompanied with wide range of political considerations (Hanieh, 2015). In primary context, the relation between non-natives and natives was centered towards generating profit margins for private sector firms. However, the relation has gradually changed with emergence of various cultural challenges. There are new social problems emerging due to growth of foreign workforce in the GCC. The degree of dominance on the employment sector is being effectively controlled by the government through quotas. In public sector, nationals are always given first preference compared to foreigners. Policy formulation is a critical task; hence, the government allocates such responsibilities only to the nationals (Rizzo, 2014). It is evident from this analysis that relation between non-nationals and nationals are also regulated by authoritative positions. For instance, even in the private sector firms, higher authority resides with the nationals. It can be summarized that nationals are responsible for evaluating ideas and setting policies, whereas non-natives are focused on contributing feasible ideas and efficiently executing allocated responsibilities. The social disparities are being managed by the government through structuring some common rules or norms. Non-natives have to abide by the set policies irrespective of their country of origin.

• • Impact of foreign labor

The longstanding presence of Persians and Indians in the Gulf City has initiated the trend of migration. Indian merchants had migrated across the Indian Ocean so as to participate in trade of spices, food, cloth and rice. There was a strong relation between Britain and the Gulf, and it was mainly due to presence of British Indian officials. Migration trends in the GCC are characterized by some unique characteristics. During the time-period 1990 to 2001, the percentage of migrant workers within the Gulf city had increased to 9.42 million from 5.21 million. The phenomenal growth in terms of migrant workers has brought forth noticeable changes in some industries of the Gulf city. It has been observed that majority of non-nationals dominate three main sectors of the Gulf, such as construction, utilities and manufacturing. Arguably, the oil sector is certainly not dominated by non-nationals. During the last century, the density of migration has mainly affected the wood and building industrials. The artistic buildings which are witnessed in the Gulf city are an outcome of the immense contribution made by the migrant workers. Construction industry has been greatly dominated by the foreign workforce. Increase in supply and demand had initiated the migration of foreign workers from various Asian countries. Saudi Arabia invests lump-sum amount in infrastructural development (Murray, 2013). $3.5 billion has been invested by the Saudi Arabia government in order to structure some magnificent buildings. The employment opportunities and the development drive have triggered the pace of workforce migration. Larger proportion of non-national workers is witnessed in the construction industry. The migration of such workers has eventually resulted into implementation of innovative ideas in the Gulf. Labor demand certainly not meant hiring less qualified individuals. The Gulf has greatly benefitted from the flow of migrant workers, since it has been accompanied by consistent flow of creative ideas. Experienced and qualified non-national workers in the GCC have shaped up the region in context of large-scale infrastructural developments along with societal transformation. It has been witnessed that non-national workers are actively indulged in reducing production costs and putting in 1.3 hours more effort than any national worker. Agriculture and fishing also needs to be considered while evaluating the impact of foreign workers on the Gulf city. The construction boom in the Gulf city was mainly due to the flow of migrants. For instance, Dubai has emerged into a cosmopolitan city from a wide stretch of desert. In current scenario, Dubai encompasses one of the tallest buildings in global context. Two of the most important man-made islands have efficiently shaped the entire city. The non-nationals have been a key driver behind construction of a seven-star hotel and most frequently travelled airports. Modern society is mainly represented by innovative building structures (IMF, 2014). The Gulf city has set an example of how non-national workers can enhance economic development and trigger desirable infrastructural developments. It can be stated that labor surplus in Philippines and India had been a reason behind growth of non-national workers in the GCC. There are some constructions observed in this geographical region which was a result of international collaboration.

Burj Khalifa is an outcome of the collaborative work between non-natives ad natives of the Gulf. There were approximately 12,000 workers who were involved in the construction process, encompassing more than around 100 nationalities. In social context, labor migration has also created numerous problems in the GCC. The kafala system can be denoted as a mechanism which triggered complexities in the migration process. Modernization and development in the GCC is greatly associated with the flow of non-native workers. Since 21st century, exploitation of migrant workers has even initiated many such reform movements. There are some social movements closely knitted with the Gulf city which has been eradicated from the political sphere. Low wage structure in this region, specifically in relation to migrant workers has led to numerous problems. A population imbalance is also witnessed in the GCC due to rapid flow of non-natives (BWI, 2011). In current scenario, the regional demographics are such that natives of the GCC constitute minority population. Arguably, the government has undertaken some measures in order to preserve the cultural heritage. The major drawback of being dependent on migrant workers is that national identity of the Gulf is getting lost somewhere. Though architectural developments are a result of the hard work shown by foreign labor, but the migration trend has definitely not uplifted the local cultural heritage. In the last few decades, the Arabian Gulf has encountered massive transformations in terms of being converted from wide stretch of deserts to cosmopolitan cities. The Gulf has been completely converted into a globally important destination from being a regional trading hub. However, transformations in relation to modernization of society have been accompanied by certain percentage of cost. The development goals of the Gulf city have been accomplished due to foreign labor. To be more precise, supremely talented foreign labor has improved quality standard of infrastructural settings in the GCC. Foreign direct investment in the Gulf city is also an outcome of the desirable work performance exhibited by non-nationals. The inflationary pressures within this region have also been stabilized due to foreign labor. Fiscal spending can be considered as a significant driver of non-oil private sector and employment growth of the GCC (MEI, 2010). The national development plans mainly constituted of exploiting low-skilled foreign labor so as to achieve infrastructural development goals. It is evident that creative ideas and hard work of foreign labor has shaped the Gulf city in the form of contributing towards GDP growth. Low-skilled foreign labor was generally allocated specific responsibilities in desirable sectors, such as transportation, construction, retail trade and wholesale. There are fewer evidences on foreign labor being actively indulged in manufacturing operations or financial services. It can be stated that the fourth oil boom has generated huge revenue margins for the GCC regions. The high proportion of public spending was mainly directed towards construction and infrastructural activities. It eventually resulted into a strong demand for unskilled and cheap foreign labor (Jain & Oommen, 2015). The availability of foreign labor has enabled the GCC regions to invest in various projects of private-sector companies. Employment opportunities have also been created due to consistent flow of foreign labor. For instance, privately-held companies are designing new construction projects being dependent on the foreign labor which in turn is also creating desirable job opportunities for nationals.

• Conclusion

From the above study, it can be concluded that the Gulf city has been shaped by the foreign labor. Economic development in the Gulf city is a major outcome of the migration trend. The availability of low-skilled foreign labor has benefitted many private companies in context of implementing creative ideas. Foreign labor has mainly brought forth changes in certain sectors, such as transportation, retail trade and construction. The magnificent infrastructure of the Gulf is due to consistent hard work of foreign labor. It can be concluded that labor surplus in the neighboring regions has facilitated the GCC to explore foreign talent. The study has not only remained confined to the impact of foreign labor on the Gulf city but there are other factors also taken into consideration. In this study, a strong correlation has been drawn between interests of natives and non-natives. It can be summarized that authoritative positions are withheld by the nationals, whereas, supporting job roles are performed by the non-nationals. The relation between natives and non-natives of the region has been strengthened by the government by establishment of some common regulatory frameworks.