February 24, 2011 / Abu Dhabi / (Rich-Joseph Facun / The National) An overview of the Al Meraiki labor camp located on the outskirts of Sweihan, Thursday, February 24, 2011 in Abu Dhabi. Approximately 400 men have not received their salaries dating back into 2009.
The men are semi-skilled workers from India, Pakistan and Bangladesh. About 10 months ago, after working on several construction projects in Dubai, most resigned when they were not paid for at least sShow more

Workers stranded without pay



ABU DHABI // They have been out of work for nearly a year, promised end-of-service benefits they never received, and denied food and regular electrical service.

The men are semi-skilled workers from India, Pakistan and Bangladesh. About 10 months ago, after working on several construction projects in Dubai, most resigned when they were not paid for at least six months.

Now, after incurring debt with local shops to feed themselves, the 400 men remaining in the Al Faya camp, about 150km east of Abu Dhabi, say they just want to go home.

"I told them, 'Please send us home, we have had no work to do for so many months now,'" said one 25-year-old worker from India. "They said, 'First give us your labour cards, let us cancel them and you will get your money to go home.' The told us to go sit in our rooms. Now our visas have expired. We have not received a salary and I have not been home in three years since I first came here."

Since then, the workers have faced a variety of challenges. A handful have continued to work in spite of not receiving their wages.

Those who chose to stop working approached the company, Al Meraikhi, to help them return home, and were advised to resign so they would get end-of-service benefits.

Officials from Al Meraikhi were not available for comment over two weeks of requests.

Although they took that step 10 months ago, they now they cannot leave the country because their visas have expired - they will be fined up to Dh10,000 at the airport upon departure. They also don't have the cash to for airfare.

"A lot of people have even left behind their end-of-service benefits. They have simply gone home," said another worker, 31, from India. "I wanted to leave as well this month, but the company keeps saying, 'Take the money and then go. This money is haram to us.'"

But the money has not come. Some of the workers have documents to prove that they are owed more than Dh27,000 in overdue wages since 2009. They have sued the company in the Dubai Labour Courts over the funds.

"For many months, no one listened to us. We went here and there and everywhere but nothing happened. Now some of the cases are still pending in Dubai," the second worker said.

Ansari Sainudeen, a lawyer representing some of the workers, said: "Most of the cases in the Dubai court are in the execution stage. But for them, right now the problem is with food and lack of transportation. They are building up more debt by borrowing from the local grocery store.

"But the most pathetic condition they are facing is that there is no transportation from where they are to the courts. They have to start their travel one day before and then spend the night in a park in Dubai before appearing in court. Then they head back the same way. It takes them three days just to come to court."

In the labour camp, although there is running water, electricity is intermittent, with workers facing long periods of the day with no air conditioning or electric fans.

In the past month, the Indian embassy has visited the camp twice, providing its country's workers with basic food staples and Dh350 per Indian.

The Bangladeshi embassy's officials also visited once, a month ago, and offered five kilograms of basic food staples such as lentils, rice and onions, according to a worker from Bangladesh.

In the past week, the workers said, the company has also stepped in and provided some food supplies, such as eight kilograms of flour divided among each four men for a week. The supplies are neither nutritious nor plentiful, the workers said.

"They may give us food from time to time, but we have no money to even buy soap. How do we bathe?" said a third worker, 29, from India. "The food packages they give us, there are no vegetables, there is nothing nutritious in it. This is their handout for us?"

The company's food packages include a kilogram of salt, a litre of vegetable oil, eight kilograms of wheat flour and a half-kilogram of lentils for each eight men. The last was delivered two weeks ago.

Under UAE law, the company is required to pay its workers electronically before the 15th of every month. It also must provide three meals a day,s helter, working water, electricity and safety equipment, plus transportation.

The Ministry of Labour launched the Wages Protection System (WPS) last year, which stipulated that all companies pay their workers through banks.

Companies not registered with the programme can no longer get labour cards for new staff. Within months of non-compliance, they are fined Dh10,000 and black points, which will make labour cards more expensive for them.

Meanwhile, supplementing the food deliveries with more nutrition means spending money they don't have at nearby shops.

"I owe [a store clerk] anywhere between Dh500 to 1,000 and he keeps a record of it. But he has stopped now. He only sells to those who are still going to work," said a worker from Pakistan.

The men have also grown increasingly worried about the state of finances of their families.

"Out of sheer shame, now we don't call home anymore. What are we going to say?" the Pakistani said. "We stopped sending money more than a year ago."

sbhattacharya@thenational.ae

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Company Profile

Company name: Cargoz
Date started: January 2022
Founders: Premlal Pullisserry and Lijo Antony
Based: Dubai
Number of staff: 30
Investment stage: Seed

MATCH DETAILS

Barcelona 0

Slavia Prague 0

WHAT IS THE LICENSING PROCESS FOR VARA?

Vara will cater to three categories of companies in Dubai (except the DIFC):

Category A: Minimum viable product (MVP) applicants that are currently in the process of securing an MVP licence: This is a three-stage process starting with [1] a provisional permit, graduating to [2] preparatory licence and concluding with [3] operational licence. Applicants that are already in the MVP process will be advised by Vara to either continue within the MVP framework or be transitioned to the full market product licensing process.

Category B: Existing legacy virtual asset service providers prior to February 7, 2023, which are required to come under Vara supervision. All operating service proviers in Dubai (excluding the DIFC) fall under Vara’s supervision.

Category C: New applicants seeking a Vara licence or existing applicants adding new activities. All applicants that do not fall under Category A or B can begin the application process through their current or prospective commercial licensor — the DET or Free Zone Authority — or directly through Vara in the instance that they have yet to determine the commercial operating zone in Dubai. 

Company Profile

Name: HyveGeo
Started: 2023
Founders: Abdulaziz bin Redha, Dr Samsurin Welch, Eva Morales and Dr Harjit Singh
Based: Cambridge and Dubai
Number of employees: 8
Industry: Sustainability & Environment
Funding: $200,000 plus undisclosed grant
Investors: Venture capital and government

A Cat, A Man, and Two Women
Junichiro
Tamizaki
Translated by Paul McCarthy
Daunt Books 

How to register as a donor

1) Organ donors can register on the Hayat app, run by the Ministry of Health and Prevention

2) There are about 11,000 patients in the country in need of organ transplants

3) People must be over 21. Emiratis and residents can register. 

4) The campaign uses the hashtag  #donate_hope

A Long Way Home by Peter Carey
Faber & Faber

Stamp duty timeline

December 2014: Former UK chancellor of the Exchequer George Osborne reforms stamp duty land tax (SDLT), replacing the slab system with a blended rate scheme, with the top rate increasing to 12 per cent from 10 per cent:

Up to £125,000 – 0%; £125,000 to £250,000 – 2%; £250,000 to £925,000 – 5%; £925,000 to £1.5m: 10%; More than £1.5m – 12%

April 2016: New 3% surcharge applied to any buy-to-let properties or additional homes purchased.

July 2020: Chancellor Rishi Sunak unveils SDLT holiday, with no tax to pay on the first £500,000, with buyers saving up to £15,000.

March 2021: Mr Sunak extends the SDLT holiday at his March 3 budget until the end of June.

April 2021: 2% SDLT surcharge added to property transactions made by overseas buyers.

June 2021: SDLT holiday on transactions up to £500,000 expires on June 30.

July 2021: Tax break on transactions between £125,000 to £250,000 starts on July 1 and runs until September 30.


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