Wednesday, August 12, 2020

Expat Exodus In The Middle East

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Vanshita Banuana

Article Title

Expat Exodus In The Middle East

Publisher

Global Views 360

Publication Date

August 12, 2020

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A photograph of Dubai

A photograph of Dubai | Source: Fredrik Öhlander via Unsplash

The COVID-19 pandemic has hit people and economies worldwide, sparking a global recession and financially destabilising millions of people. In the Middle East, dipping oil prices have only worsened the threat to the economy. Businesses are shutting down, and many are trying to survive by cutting the salaries or laying off of workers. Large segments of the workers in these countries are expatriates, and many have struggled to make ends meet as unemployment soared.

The development of the Gulf countries has always been intertwined with their large expat populations. These workers are often vital to the economy, not just as part of the workforce but also as consumers by enabling successful malls, restaurants and other forms of recreation and tourism. Countries like Saudi Arabia gain valuable non-oil revenue in the form of increased Value Added Taxes (VAT) and by imposing a monthly fee on migrants who want to sponsor family members.

Many of these workers are from developing Southeast Asian countries such as India and Pakistan, and contribute greatly to their home country’s economy in the form of remittances, i.e sending money back home. Those who are facing unemployment or salary cuts are eager to be repatriated, especially since in many Gulf countries visas, rent, and even phone lines are linked to jobs, and expats have little to no social safety nets to fall back on.

Panicked” Indians applying to go back home crashed the Dubai aviation ministry’s website for applications in the process. The consulate says it has received around 200,000 applications for repatriation of expats from as many as 12 countries.

For some, closing businesses are forcing them to go home. For others, the cost of education is the major concern. The Emirates group, Uber’s Middle Eastern counterpart Careem, and hotels are some of the few major employers considering laying off large portions of their staff or reducing salaries.

Dubai has been one of the hardest hit, as expats form an estimated 92% of the population. Dubai based movers estimate that they’re getting up to seven calls a day to ship belongings abroad. It is extremely hard to gain permanent resident status in countries such as the UAE, and the costs of living and education are quite high and often provided by employers, which has made leaving the only option left for many laid-off workers across all fields.

The UAE has tried to offset the damage by granting automatic extensions to expiring work permits, waiving of work permit fees and fines, and providing interest-free loans and repayment breaks.

Meanwhile, governments in Kuwait and Oman are trying to mould the exodus into an opportunity to boost local employment. On the other hand, the Saudi Arabian government has been criticised for not taking enough measures to protect the local workforce.

While the Gulf countries have been trying to decrease their dependence on oil wealth and foreign workforce, it is not something that can be accomplished soon, especially given the great dependence of the Gulf economies on both those factors.

There is still too unavoidable a gap between the current skill of local workers and the training needed to compete with foreign professionals, making it hard to simply employ domestic workers in place of foreign ones. The pandemic, however, might not leave much of a choice.

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February 4, 2021 4:36 PM

How Iceland Beat the Pandemic Without Imposing a Lockdown

Like the rest of the world, Iceland also has to face the COVID-19 situation. This European country of approximately 3.5 lakh population registered the first case of COVID-19 virus on the 1st March 2020 and the number of the infected hit a peak on the 5th May 2020. The active cases declining afterwards and on 24th of May there were only three active cases. Iceland’s response to COVID-19 has been widely lauded.

The country’s small population enabled extensive testing; instead of simply testing symptomatic or exposed people, also tested the general population. Along with the Icelandic health authorities, deCode Genetics, which is an organization committed to mapping and understanding the human genome, undertook the task of testing the general and non-symptomatic population for free. Consequently, Iceland has tested a higher portion of inhabitants than any other country, making it easier to trace how the infection spreads. There has been no lockdown imposed; however, the government has been taking measures to spread awareness for voluntary self-quarantine measures. The government also banned gatherings of more than 20 people on 24th of March which was relaxed to 200 from 25th of May.

The strategy followed by the government of Iceland was based on robust testing, contact tracing of infections, social distancing, increasing public’s awareness of hand-sanitation and voluntary self-quarantine, along with strict measures in healthcare institutions. Through effective contact tracing the healthcare workers were able to reach out to people who came in contact with COVID-19 infected people and recommend them to self-quarantine.

The government was very open in communicating with the citizens on the status of COVID-19 situation in the country. Half an hour long daily briefing on Iceland’s local response to the pandemic was relayed on the public’s screens for the past months until the 25th of May. The briefings were led by Þórólfur Guðnason, Alma Möller and Víðir Reynisson who are the Chief Epidemiologist, Director of Health and Director of Iceland’s Department of Civil Protection and Emergency Management respectively.

Iceland has shown that robust testing regime, contact tracing, and clear communication to the public can be very effective in controlling the COVID-19 before it could turn into a pandemic.

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