The Truth About Salaries for Non-Indian Nationals in Dubai
No, it is not true that any nationality other than Indian workers in Dubai always gets paid double salaries. In fact, this misconception stems from a lack of understanding of the complex factors that determine an individual's salary in the UAE. This article aims to uncover the realities behind salary disparities in the UAE, focusing specifically on Dubai.
Factors Influencing Salaries in the UAE
The salary levels in Dubai and the UAE as a whole are influenced by several key factors including the industry, job role, experience, qualifications, and employer policies. The salary is not a mere comparison based on nationality alone. Expatriates of various nationalities may earn higher salaries due to their skills and the demand for their profession.
Personal Experience in Kuwait
As a programmer in Kuwait in 1982-1983, I earned 300 Kuwaiti dinars a week. In contrast, a Tamil street sweeper in the same country earned 50 Kuwaiti dinars a month. Clearly, I had a salary that was 25 times higher than the swearer's. My earnings were sufficient to buy a good house in the UK after three years. For the Tamil sweeper, his savings could provide him with a good home in Sri Lanka and two acres of land.
The salaries in such regions are determined based on what will attract workers and their cost of living. Even in a company I managed in the UK, a Tamil team leader earned more than me due to the higher demand for his skills and experience.
Clarifying Misconceptions in Dubai
Let's delve deeper into the reality of salaries in Dubai. Businesses can be categorized into local and multinational, each with different salary dynamics.
Local Companies
For local companies, there might be discrepancies in salaries based on nationality, but this is more often driven by the employer's needs and flexible negotiation. Although some nationalities like American and British may have slight advantages, other nationalities can also achieve higher salaries through skill and experience.
Multinational Companies
Multinational companies in the UAE, particularly those operating in Dubai, have defined salary bands for each job level and each nationality. These bands are based on market standards and job requirements, ensuring that salaries are fair and consistent.
Construction Industry
The construction industry in Dubai, although it includes some multinational players, is often considered more localized. Multinational players still have defined salary structures that are generally based on skills and experience rather than nationality. Western expatriates often bring valuable skills to this industry, thus earning higher salaries.
Conclusion
Salaries in Dubai are not a simple comparison based on nationality. Instead, they are influenced by a complex interplay of various factors, including industry, job role, experience, and qualifications. While some nationalities may enjoy better compensation due to demand and skill sets, the misconception of a fixed salary differential across nationalities needs to be addressed. Understanding the true dynamics of salaries in the UAE can help dispel myths and provide a clearer understanding of the economic landscape.