UAE Leads Global Rankings in Labour Market Competitiveness

UAE Leads Global Rankings in Labour Market Competitiveness
Abu Dhabi: The UAE continues to stand out globally in labour market competitiveness, securing top positions in several international indicators for 2024. These rankings highlight the country’s commitment to improving its labour system and fostering a business-friendly environment.
UAE’s Top Global Rankings
According to the Ministry of Human Resources and Emiratisation (MoHRE) and its ‘Labour Market Observatory’ report, the UAE ranked first worldwide in four key areas:
- Employment rate
- Absence of labour disputes
- Low termination compensation costs
- Workforce ratio
In the Global Labour Resilience Index (GLRI) 2024, the UAE achieved the top spot in the Arab world and second globally in categories like workforce growth and lack of bureaucracy. It also ranked third globally in labour market flexibility, residency laws, and employment growth.
Other Strong Rankings
The UAE also performed well in several other areas, including:
- Fourth globally in long-term unemployment, labour costs, and global expertise.
- Fifth globally for foreign skilled workers and unemployment legislation.
Dubai and Abu Dhabi Shine
When it comes to the best cities for work, Dubai and Abu Dhabi ranked third and fourth globally, respectively, according to the Global Talent Analysis 2024.
Comprehensive Worker Protection
The UAE’s social protection system offers unemployment protection for 8.4 million employees, including both public and private sectors. This system covers all nationalities and economic sectors, ensuring the welfare of the workforce. The Workers’ Financial Entitlements Protection Programme safeguards 98.8% of private sector employees.
The UAE is also expanding its health insurance programme to cover all workers across all sectors starting from 2025. Additionally, an optional Savings System is being introduced to provide employees with an alternative to the end-of-service bonus system, helping them manage financial benefits effectively.
Leading Labour Initiatives
The UAE is a regional pioneer in protecting workers with initiatives like the Midday Break, which bans outdoor work from 12:30 PM to 3 PM between 15th June and 15th September. This law, in place for over 20 years, protects workers from the harsh summer heat. In 2024, 6,000 rest areas were set up for delivery workers, in collaboration with companies and government agencies.
Conclusion
The UAE’s efforts to create a thriving, fair, and competitive labour market are evident in its global rankings and comprehensive worker protection programmes. These initiatives, along with continuous improvements in the labour system, cement the UAE’s position as a leader in the global workforce.
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