Saudi: Private sector to blame ‘for rise in unemployment’

June 9, 2015

Jeddah, Jun 9: Despite increased spending on education and training, the private sector was unable to provide sufficient jobs to absorb skilled national employees with high levels of education.

unemploymentAn official report from the Ministry of Planning and Economy cited two main reasons for the private sector’s failure in solving the unemployment problem. First are the limited opportunities for females in the sector; second, the majority of jobs provided by the private sector are non-skilled and do not require high levels of education, thus making the replacement of expatriate workers with citizens limited.

The ministry’s report indicated that Saudization increased in 2014 in the water, manufacturing, financial activities, telecommunications, and the wholesale and retail sectors, but rates declined in the electricity, mining, real estate, agriculture, health, transport, and hotel and restaurants sectors.

Out of a population of about 30.7 million people, including 20.7 million Saudi nationals and more than 10 million non-Saudis, an estimated 13.5 million Saudis are of official working age. More than 237,000 men and women entered the work force in 2014, while about 99,000 exited the same year, according to the report.

This growth in the proportion of workers entering the labor market poses demographic pressures, as it is not commensurate with the number of jobs available in the economy, the report revealed.

Furthermore, the rate of growth has accelerated in private sector employment in 2014, as its growth rate amounted to 14.18 percent as compared to13.5 percent the previous year. Government sector employment has grown at a rate of 3.28 percent in 2014, as compared with 6.4 percent in 2013.

However, employment growth in the private sector did not lead to a reduction in the unemployment rate among Saudis, as unemployment in 2014 remained at 11.7 percent.

Meanwhile, the number of Saudis unwilling to work in 2014 increased by 297 percent due mainly to the reluctance of young Saudis to take on unskilled jobs that are offered by companies in the private sector, which are not commensurate with their qualifications and are not suitable for those with a university education.

The report also revealed that 88 percent of new entrants in the private sector labor market in 2014 are male, while only 12 percent were female. The unemployment rate is higher among females, at 32.8 percent, while unemployment for males registered 5.9 percent in 2014.

The issue of unemployment in the Saudi economy is a sensitive and controversial matter of public opinion. The government has prioritized the issue and has launched multiple strategies to reform the labor market and increase the employment of Saudis in the private sector, as well as increase productivity.

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News Network
March 18,2020

Dubai, Mar 18: Emirates, one of the world's biggest international airlines, has asked pilots to take unpaid leave to help it mitigate the impact of the coronavirus pandemic that has shattered demand for global travel.

"To this end you are strongly encouraged to make use of this opportunity to volunteer for additional paid and unpaid leave," the airline said in an internal email to pilots, seen by Reuters.

Emirates earlier this month asked some staff to take unpaid leave, although at that time it was not available to pilots.

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News Network
July 10,2020

Dubai, Jul 10: Saudi Minister of Culture Prince Badr bin Abdullah bin Farhan has appointed Dina Amin as CEO of the Visual Arts Commission.

She will take the lead in implementing the ministry’s vision and directions in promoting and developing visual arts in the Kingdom and empowering practitioners in the field.

Amin is a leading Saudi specialist in visual arts and the international contemporary art field. She gained a bachelor’s degree in art history and architecture from Wellesley College, in the US, and also attended a collaborative program in architecture at Massachusetts Institute of Technology.

During her career, spanning more than two decades, she has held senior positions in prominent international arts companies, including most recently Phillips, a global auction house for art, design, watches, jewels, and more.

She has also worked at Christie’s, one of the world’s most famous auction houses, employed in senior roles at the company’s international offices including New York, Dubai, and London.

The Visual Arts Commission is one of 11 new cultural bodies recently launched by the Ministry of Culture in line with the Saudi Vision 2030 reform plan to manage the empowerment and development of the Kingdom’s cultural sector. The commission will be responsible for managing and developing the visual arts sector to help achieve the ministry’s goals.

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News Network
May 7,2020

Dubai, May 7: As India begins the world’s largest evacuation mission by repatriating its overseas citizens stranded due to COVID-19, as many as 354 of them from the UAE will fly into their home country in the first two flights to Kerala today.

An Air India Express flight, which is scheduled to take off from Abu Dhabi to Kochi at 4.15 pm is the first flight, which will be followed by a Dubai-Kozhikode flight of the same airline at 5.10pm. The Indian missions in the UAE finalised the list of passengers, who were chosen based on the compelling reasons they submitted while registering their names.

Selection criteria

These include pregnant women and their accompanying family members in some instances, people with medical emergencies, workers and housemaids in distress, families with cancelled visas, bereaved family members who couldn’t attend funerals back home, a few students and stranded visitors and tourists including two brothers who got stranded in Dubai International Airport for 50 days, the missions said.

Short-listing the first passengers from among a database of more than 200,000 applicants, who include around 6,500 pregnant women, has been a mammoth task which posed several challenges for the missions, Neeraj Agrawal, Consul Press, Information and Culture at the Indian Consulate in Dubai told Gulf News.

He said the consulate set up an operations room in a tie-up with community volunteers from Kerala Muslim Cultural Centre, Indian Association Ajman, AKCAF Task Force, the BAPS Mandir, Indian People’s Forum, and Tamil Ladies’ Sangam.

 “We are trying to accommodate as many deserving people as possible. We expect the understanding of the people. It has been very difficult to sort out everyone’s urgency.”

“We cannot do a lottery system in this and we had to make sub- categories to ensure there is a mix of people with different types of urgencies.”

“Though we want to give priority to pregnant women, it is practically not possible and not good for the health and safety of the applicants to allot a lot of them on the same flight.”

He said 11 pregnant women have been issued tickets on the Dubai-Kozhikode flight.

“That is the threshold we can allow on a flight.”

Volunteer support

The consul appreciated the support of the volunteers in finalising the flight manifest.

“But our response ratio was very less. Many people whose names came up on top of the list were not willing to go on the first flights.”

Due to various constraints like this and sometimes the details of accompanying persons not readily being available, he said the mission was not able to quickly reach out to who might be really in need.

“However, we have given due consideration to people who got in touch with us with their emergency needs. At the time of issuing tickets, we had about 20 such cases.”

He said the Consul General of India in Dubai Vipul led the entire operation and Pankaj Bodkhe, consul, education, was in charge of the Dubai flight.

A big challenge

“It has been a big challenge. Our only concern is that despite our best efforts, sometimes people with more compelling reasons might have got left out on the first flights because of the volume of people who have reached out to us.”

Since there is a chance that some passengers with tickets might not be allowed to fly if they fail the medical screening including blood tests to check antibodies for COVID-19, he said some applicants in the waiting list have been asked to be on standby at the airport.

People with emergencies wishing to fly to other destinations also could not be included, he pointed out.

“We had to ask them to wait. We are unable to send them to other destinations. We can see their desperation. We feel sorry and desperate.”

He said the government is trying to add more flights to un-chartered destinations and a new flight from Dubai to Kannur has been added on May 12.

Passengers of today’s flights have been urged to reach the airport four to five hours prior to departure to facilitate the medical screening.

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