Emiratization Public Policies & their Impact on Women

Ruba Al Hassan Social Development Advisor General Secretariat of the Executive Council, Abu Dhabi Government
Presented at NYU - Nationalization of the Workforce in GCC

CONTENTS
Current situation
Statistics Issues

Emiratization initiatives & impact

Institutions Legislation Programs

Proposed initiatives

CURRENT SITUATION
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Abu Dhabi Labour Force Structure

Labour Force by Gender & Nationality

National Females 2% NonNational Females National 14% Males 8%

Non-National Males 76%

Abu Dhabi National Female Labour Force Structure

National Females by Region

AD Islands 1%

Western Region 3%

Al Ain 34%

Abu Dhabi 62%

Abu Dhabi National Female Labour Force Structure

National Females by Age Group 8,000 7,000 6,000 Number 5,000 4,000 3,000 2,000 1,000 0 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65+
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Abu Dhabi National Female Labour Force Structure

Employment Status Breakdown of Unmarried Females
Unwilling to 9% at risk of Social work 1% Exclusion Housework 7%

Employment Status Breakdown of Married Females

Unemployed 2%

Unable to work 1% Employed 33%

Unable to Work 1%

Housework 62%

Employed 41%

Students 50%

Unwilling to Work 1%

Students 2%
65% NOT in labor force 7

Percentage Distribution of Unemployed Nationals (15 - 64 year) by Educational Status and Gender, 2008
Educational Status Illiterate Read and Write Primary Preparatory Male 11.5 13.9 16.2 22.7 Female 1.1 0.6 2.3 6.1 Total 9.2 10.9 13.1 19

Secondary
Non- Degree Post Secondary Diploma

25.1
2.4

32.9
12.1

26.8
4.6

University
Higher Diploma Master Ph.D.

6.8
0.4 0.8 0.2

43.3
1.1 0.4 0.1

15
0.6 0.7 0.1

Source: Statistics Centre - Abu Dhabi

Labour Force Participation of Women (%) Benchmarking with OECD

90 80 70 60 50 40 30 20 10 0

82

77.3

76.5 56.5

15.6

14.5

Abu Dhabi

UAE

Iceland

Denmark & Switzerland

Norway

OECD
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Overview of Key Employment Issues

Low Female employment-topopulation ratio
In comparison with benchmarks and international average of 46%, female employment-to-population ratio is low at 23% High inactivity rate among women
In comparison with international average of 13%, self-

Only 2% of the population are self employed

employment is low Self employment and entrepreneurship is limited as most of the employed are wage earners
An unequal distribution of employment is evident in the market

90% of national employment is in the public sector

with non-nationals occupying most of industry and nongovernment services jobs, while nationals have tended to cluster in the public sector

Large and growing structural unemployment

Structural unemployment in the UAE was 11.5% out of actual unemployment of 11.6% in 2005 Structural unemployment has been growing at an average annual rate of 5.6% between 1998 and 2005

Unemployment among nationals is high at 12%

In comparison to international average of 7%, unemployment among nationals is high indicating the alarming number of unemployed nationals
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EMIRATIZATION INITIATIVES & IMPACT

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Emiratization Initiatives - Institutions

Federal
In 2000 established TANMIA TANMIAs objectives:
Achieve full employment of the national human resources. Reduce the foreign component of the UAE labour force. Increase the supply of qualified and skilled national labour force to meet the labour market needs. Develop and enhance the work skills and potentials of the national labour force

Abu Dhabi
In 2005 established Abu Dhabi Emiratization Council renamed Abu Dhabi Tawteen Council ADTCs objectives:
Achieve full sustainable employment for every Emirati Ensure that every Emirati Job Seeker finds a job Work with employers, especially in the private sector, to ensure that job opportunities for Emiratis are created across all functional levels Advise Abu Dhabi Government on policies and mechanisms to increase Emiratization, especially in the private sector
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Emiratization Initiatives Federal Legislation

The intervention system shall be posited in a way that makes a positive partiality that saves convenient work opportunity for national women

Quota System

Cabinet decisions were issued setting Emiratization quotas for three parts of the private sector: Banking (in 1998): 4% annually Insurance (in 2001): 5% annually Trade (in 2004): 2% annually

Emiratization of professions

2005 MoL decision requiring the Emiratization of public relations officers 2006 MoL decision requiring the Emiratization of secretarial positions 2006 MoL decision requiring the Emiratization of managerial positions in human resources

Part-time law

2011 Part-time work permit in effect applies to: Resident workers in full-time employment holding a valid labour card Co-dependent sponsored residents (i.e. housewives on husband's sponsorship) Residents aged 18 and above Government employees

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Emiratization Initiatives Impact of Federal Legislation

Quota System

In UAE, Emiratization in banks reached 34 % by the end of 2009, registering an annual increase of 4 %. In Abu Dhabi, Emiratization in the sector stood at nearly 10% in 2009. TANMIA reported in 2005 only 7 banks achieved Emiratization targets and only 1 insurance firm

Emiratization of professions

MoL said within one year of the decision 1,700 of the 3,000 PRO positions in the UAE have been emiratized

Part-time law

Too early to assess

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Emiratization Initiatives Abu Dhabi Programs

Ain Al Mustaqbal initiative

By ADTC in 2009 targeting Al Ain City and the surrounding areas. Female jobseekers were assessed to identify, and helped to fill, individual needs and skills gaps. The project team also worked with private sector employers to identify existing and future employment trends.

Abu Dhabi Emiratization Forum

By ADTC - provides a platform for private sector employers to share their experiences in the field of Emiratization and help evolve public policies on various issues related to Emiratization.

Training & counseling

AWTAD, IBDAA, Tawteen and work readiness training programs Dirasati program for skills development and placement in banking sector ADTC set up agreement to outsource technical skills training and offers work skills training programs through UAE academy Career counselors at ADTC

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PROPOSED INITIATIVES
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Abu Dhabi labor programs/mechanisms were categorized into one of three groups: (1) Active, (2) Passive, (3) Protective
1 Active Programs
Intervene in the labor market to help the unemployed find work and bring the inactive back to the workforce Focused on creating jobs, training and re-training, and finally on providing advice and guidance in terms of job search and career paths Provide services to re-integrate unemployed into the workforce and are sometimes coupled with financial assistance

2 Passive Programs
Geared towards providing welfare benefits to the unemployed in the form of unemployed assistance or unemployed insurance Passive programs offer mainly financial assistance rather than re-integration services

3 Protective Mechanisms
Regulations concerning employment standards and relations including: rules favoring disadvantaged groups, training requirements, redundancy procedures, mandated prenotification periods and severance payments, special requirements for collective dismissals as well as short-time work schemes Enforces health and safety measures and wage setting 17

Proposed Initiatives for discussion

1 Active Programs Subsidized work placements Subsidizing private sector employers to train & recruit Nationals Mentoring programs tailored to women (big sister/little sister)

2 Passive Programs Unemployment benefits tied to skills development

3 Protective Mechanisms Extended maternity leave Introduction of paternity leave On-site childcare facilities Flexible working hours
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Questions

1. Which type of programs would be best suited to increase womens labour force participation in Abu Dhabi? A. Active B. Passive C. Protective D. Combination please specify E. All 3 types

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Questions

2. Which interventions would you recommend?

A. Subsidized work placements B. Subsidizing private sector employers to train & recruit Nationals C. Mentoring programs tailored to women (big sister/little sister) D. Unemployment benefits E. Extended maternity leave F. Introduction of paternity leave G. On-site childcare facilities H. Flexible working hours
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Questions

3. Which interventions would you NOT recommend?

A. Subsidized work placements B. Subsidizing private sector employers to train & recruit Nationals C. Mentoring programs tailored to women (big sister/little sister) D. Unemployment benefits E. Extended maternity leave F. Introduction of paternity leave G. On-site childcare facilities H. Flexible working hours
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Questions

4. Which ONE intervention could have the most significant

A. B. C. D. E. F. G. H.
POSITIVE impact on womens labour force participation? Subsidized work placements Subsidizing private sector employers to train & recruit Nationals Mentoring programs tailored to women (big sister/little sister) Unemployment benefits Extended maternity leave Introduction of paternity leave On-site childcare facilities Flexible working hours
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Questions

5. Which ONE intervention could have the most significant

A. B. NEGATIVE impact on womens labour force participation? Subsidized work placements Subsidizing private sector employers to train & recruit Nationals Mentoring programs tailored to women (big sister/little sister) Unemployment benefits Extended maternity leave Introduction of paternity leave On-site childcare facilities Flexible working hours
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C. D. E. F. G. H.

Questions

6. Which ONE intervention could have the most significant

A. B. NEGATIVE ECONOMIC impact? Subsidized work placements Subsidizing private sector employers to train & recruit Nationals Mentoring programs tailored to women (big sister/little sister) Unemployment benefits Extended maternity leave Introduction of paternity leave On-site childcare facilities Flexible working hours
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C. D. E. F. G. H.

Questions

7. Which ONE intervention could have the most significant

A. B. POSITIVE SOCIAL impact? Subsidized work placements Subsidizing private sector employers to train & recruit Nationals Mentoring programs tailored to women (big sister/little sister) Unemployment benefits Extended maternity leave Introduction of paternity leave On-site childcare facilities Flexible working hours
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C. D. E. F. G. H.

Questions

8. Which alternative interventions would you recommend?

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