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Experts recommended exploring the idea of further reducing working hours to see if it brings even more benefits
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Smaller Firms Likely to Be Hit by Housing Costs
ABU DHABI — While most UAE companies meet new national standards for labour accommodations, small and medium-sized construction firms that lag global norms for worker housing are likely to incur stiff costs to make needed improvements, business executives said.
Labourers and diplomats for labour-exporting countries, meanwhile, welcomed the ‘Manual of the General Criteria for the Workers’ Accommodations,’ a document outlining criteria for worker housing that the UAE Cabinet approved on Monday. All new accommodations must comply with the new rules, which take effect in September, though companies will have five years to upgrade existing housing.
Dr JR Gangaramani, chairman of Al Fara’a Group, one of the nation’s largest construction companies, said that such standards have already been on the books but that many employers have failed to meet them. In 2007, the Dubai Municipality issued
similar standards.
Dr Gangaramani, whose company employs 15,000 workers on several projects, said some firms might offer lower bids for future work by spending less for their labourers’
accommodations.
Syed Abrar Ali Khan, general manager of Techno Engineering, estimated that large construction firms could shave up to 7-8 per cent off the cost of a project by compromising on workers’ accommodations. He agreed that firms would probably factor the cost of any housing improvements into the bid price they offer for future projects.
“So, the cost will be passed on to the developers,’’ Khan said.
Dr Moufeed Massouh, a manager at Habtoor Leighton Engineering, said that small companies with limited financial resources would find it difficult to allocate large sums to
upgrade housing.
Qantara Contracting is a smaller firm employing around 250 workers. “It would cost 30-40 per cent extra to create more facilities in my labour complex to meet the new benchmarks,” said Jamil Ishaque, Qantara’s
general manager.
But the need for upgrades is obvious to those who live in these quarters.
“There are many accommodations with pathetic living conditions. Many companies don’t pay any heed to these regulations. There should be strict penalties for the violators,” said Tamzeel Ahmed, a 32-year-old labourer.
Jeelani, a 38-year-old service engineer, did not hear about the Cabinet’s approval of the new standards but said he welcomed the move.
“Our accommodation is pretty decent with six people living in each of the rooms. It’s best to keep two people in a room. If six people live in the same room, someone will always be asleep in your bed when you come back from your shift,” he said.
The cost of building better accommodations was no excuse for inaction, according to envoys for the main labour-exporting countries.
Talmiz Ahmad, India’s Ambassador to the UAE, said the cost of labour accounted for only 30 per cent of overall construction expenditure. This means that there is room for enhancing expenditure to improve conditions
for workers. “Only the minimum conditions of living and working had been fixed now,” Ahmad said. “Nobody is asking for providing luxuries to the workers, and the firms must be able to adhere
to these norms.”
He added that the rules should take effect immediately and said firms should not be given a five-year
grace period.
Sri Lanka’s Ambassador to the UAE, J.M.J.P. Bandara, welcomed the move. “About 238,000 people of Sri Lankan origin are working here, and more than 70 per cent of them are in the unskilled category. Currently, many of them are staying in labour camps where the facilities are far from being satisfactory,” he said.
Dr Tarik S. Khammas, a consultant psychiatrist from Al Noor Hospital in Abu Dhabi commended the move by the Ministry of Labour to set minimum standards for labour camps.
“It will definitely help the labourers who are working for 12 hours,” he said. “There are some cases in labour camps where workers under stress lapse into psychotic behaviour, such as committing suicide or harming each other.
“Improving the environment of the camp will definitely (help) improve the situation. Perhaps, they should also consider adding some recreation activities for them and improving their salary, as part of their problem is
the money.”
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