Nationals’ minimum wage to rise in UAE

Nationals' minimum wage to rise in UAE

Wage levels in the private sectors are mainly linked to purchasing power and inflation levels among the countries of free market economy. Accordingly, many organizations seek to study adjustment of wage levels, in order to maintain a kind of balance between preserving of purchasing power and reducing inflation levels, so that the currency maintains its value.

In this context, Essa Al Mulla, Head of National Cadres in the Emirates Nationals Development Program (ENDP), revealed on plans of a study conducted by the Center that aims at minimum wage to rise, for workers in the private sectors, from 7500 to 12 thousand dirhams for Emirati citizens (nationals).

He also said that this program is mainly targeting nationals with a wage range of AED 7500, especially after nationals have become reluctant to work because of the low pay- which has a negative impact over the motivating young people to work in the private sectors.

Issa Mulla pointed out in a press meeting that the low pay causes nationals to lose interest in specific works, and that those who accepted the low paid jobs had been a victim of need necessity.

It should be noted that this program helps to relieve pressure on the government sector and attract more people to the private sectors, that has even become more promising in the UAE due to efforts implemented in improving infrastructure ion one hand, and to laws that encourage direct and indirect investment in the other hand .

Federal National Council (FNC) member, Mr. Hamad Ahmad Al Rahoumi said he has a proposal whereby the government provides a wage of at least 10 thousand dirhams for nationals working in the private sector, pointing out that this “adjustment” aims at achieving equality between the private and public sectors.

Al Rahmouni concluded his speech referring  to the difference in features and advantages between employees in the public sector and the private sector, in which these differences include promotions and bonuses, along  with the “safety” that workers at the government (public sectors) feel as they have steady jobs.

To read this Arabic, click here.

 

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