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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