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Low salaries remain a stumbling block for Indian workers in UAE

Written by: Staff

Dubai, April 2 (UNI) Rising wages in India and low salaries have landed UAE contracting companies in a fix, as it is becoming more and more difficult for them to get workers for their booming construction sector.

People involved in procurement of labour say it is increasingly difficult to convince Indian professionals and labourers to work in the UAE, because salaries are stagnant against rising inflation, while the Indian economy is booming.

They say the UAE construction sector is suffering the most according to news reports.

Although the Asian economies are booming, companies are not increasing wages, partly because of increased fees for labour permits, now at about 6,000 dirhams a piece. One company said it is being forced to look for workers from isolated Nepalese villages, Gulf News reported.

Workers are not willing to come for 200 dishams extra, a recruitment company said.

The UAE and India are experiencing a construction boom, but people are often offered higher salaries in India.

A company official said even if salaries are less in India, many agents demand workers pay thousands in transaction costs, effectively making their salaries less, with the added burden of separation from family.

A partner in a consultancy firm 'Deloitte&Touche' said, professionals do not think the Gulf is a lucrative market any more.

''The International Monetary Fund (IMF) and the World Bank predicted India to be the fourth largest economy by 2020. People do not want to miss out on the opportunities offered,'' he said.


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