Specifics of the UAE labour market with a focus on the employment of foreign workers

The bachelor thesis explores the specifics of the labour market in the United Arab Emirates, focusing on the employment of foreign workers, who represent approximately 90 % of the country's workforce. The primary objective of the thesis is to identify the unique conditions and challenges related to the employment of foreign workers in the UAE labour market. The thesis is based on a qualitative examination of secondary evidence and utilizes academic studies, government statistics and reports from international organizations. The first section of the thesis focuses on the macroeconomic and demographic features of the United Arab Emirates in order to understand the specifics of the local labour market. The second part concentrates on the institutional mechanisms of employment, including the Emiratisation program and the kafala system, as well as the aspects of employing foreign workers. There are significant differences between the working conditions for foreign and local workers in the UAE’s highly fragmented labour market. The findings highlight structural inequalities caused by the kafala system, a lack of career opportunities for labour migrants, and both cultural and institutional obstacles that make their integration more difficult. The main obstacles include limited access to labour rights and legal protection, the impossibility of acquiring UAE citizenship, and discrimination based on nationality or gender. Despite recent attempts to reorganize its labour market and increase employment of its own citizens through the Emiratisation program, the United Arab Emirates is still structurally dependent on a foreign labour force.