South Asian expats save in UAE and spend at home


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ABU DHABI // The purchasing power of the dirham in South Asian countries is a major factor in attracting expatriates.

Dh1 buys only one cup of tea in many cafes, but three in Pakistan or Nepal and nearly four cups in India.

The dirham is worth about 17 Indian rupees, 27 Nepalese rupees and 28 Pakistani rupees.

“Living costs are also very high back home but the attractive conversion rates buys us more back home,” said Rajab Ali Khan, a mason from Khyber Pakhtunkhwa province in Pakistan who earns Dh900 a month.

He said a a cup of tea cost 10 rupees in Pakistan, a samosa costs 5 rupees compared to between Dh1 and Dh2 here, and a plate of chicken biryani cost 100 Pakistani rupees compared to about Dh14.

In Pakistan, workers can buy almost six pieces of tandoori roti oven bread for Dh1, while in the UAE it costs Dh1 a piece.

“The more we save here, the better and larger amount of commodities we can buy back home,” said Mr Khan, who lives in Saadiyat Accommodation Village.

He said food prices varied depending on their quality and country of origin.

Another Pakistani resident, Mohammed Arshad, from Punjab, said a 1.5 litre bottle of water cost 50 rupees in Pakistan and Dh2 here.

“Saving in the UAE and spending in Pakistan is very beneficial,” he said.

Prem Shankar, a North Indian laundry worker in Abu Dhabi who has lived in the UAE for 32 years, said the UAE and other Arabian Gulf countries were a preferred destination for work because of attractive currency exchange rates and peaceful living.

The dirham has great purchasing power in Nepal as well. “Currently a dirham means a lot to us, which helps support our families back home,” said Nepalese expatriate Khatri Chetri, 38, who earns Dh3,000 a month.

Indian Abdus Salam, operations manager at Al Badar Exchange, said hardly any workers could earn 17,000 rupees a month in India, but in the UAE most were paid more than Dh1,000.

Workers who lived here and saved regularly were always better off than those at home, he said.

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More coverage on this topic:

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Despite difficult conditions, labourers feel better of in UAE

More from 22 March:

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About this package:

The UAE has signed up to nine International Labour Organisation conventions to protect workers’ rights, and in 2006 was the first country in the region to enact a comprehensive anti-human trafficking law. These conventions spurred the Tourism Development & Investment Company (TDIC) to improve the quality of life for 7,000 employees living in workers villages on Saadiyat island. While most workers say they are satisfied with life in Saadiyat Accommodation Village, many have voiced concern about the poor taste of the food. Despite criticism, the purchasing power of the dirham in Southest Asian countries remains a major factor in attracting expatriates to the UAE. Similarly, concerns over passport retention have decreased as the practice has become less common in the UAE.

anwar@thenational.ae

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What the law says

Micro-retirement is not a recognised concept or employment status under Federal Decree Law No. 33 of 2021 on the Regulation of Labour Relations (as amended) (UAE Labour Law). As such, it reflects a voluntary work-life balance practice, rather than a recognised legal employment category, according to Dilini Loku, senior associate for law firm Gateley Middle East.

“Some companies may offer formal sabbatical policies or career break programmes; however, beyond such arrangements, there is no automatic right or statutory entitlement to extended breaks,” she explains.

“Any leave taken beyond statutory entitlements, such as annual leave, is typically regarded as unpaid leave in accordance with Article 33 of the UAE Labour Law. While employees may legally take unpaid leave, such requests are subject to the employer’s discretion and require approval.”

If an employee resigns to pursue micro-retirement, the employment contract is terminated, and the employer is under no legal obligation to rehire the employee in the future unless specific contractual agreements are in place (such as return-to-work arrangements), which are generally uncommon, Ms Loku adds.

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It’ll be summer in the city as car show tries to move with the times

If 2008 was the year that rocked Detroit, 2019 will be when Motor City gives its annual car extravaganza a revamp that aims to move with the times.

A major change is that this week's North American International Auto Show will be the last to be held in January, after which the event will switch to June.

The new date, organisers said, will allow exhibitors to move vehicles and activities outside the Cobo Center's halls and into other city venues, unencumbered by cold January weather, exemplified this week by snow and ice.

In a market in which trends can easily be outpaced beyond one event, the need to do so was probably exacerbated by the decision of Germany's big three carmakers – BMW, Mercedes-Benz and Audi – to skip the auto show this year.

The show has long allowed car enthusiasts to sit behind the wheel of the latest models at the start of the calendar year but a more fluid car market in an online world has made sales less seasonal.

Similarly, everyday technology seems to be catching up on those whose job it is to get behind microphones and try and tempt the visiting public into making a purchase.

Although sparkly announcers clasp iPads and outline the technical gadgetry hidden beneath bonnets, people's obsession with their own smartphones often appeared to offer a more tempting distraction.

“It's maddening,” said one such worker at Nissan's stand.

The absence of some pizzazz, as well as top marques, was also noted by patrons.

“It looks like there are a few less cars this year,” one annual attendee said of this year's exhibitors.

“I can't help but think it's easier to stay at home than to brave the snow and come here.”

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Investors: Partech, Sawari Ventures, 500 Startups, Dubai Angel Investors, Phoenician Fund

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F1 The Movie

Starring: Brad Pitt, Damson Idris, Kerry Condon, Javier Bardem

Director: Joseph Kosinski

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Engine: 4-litre twin-turbo V8

Transmission: eight-speed PDK

Power: 630bhp

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8 UAE companies helping families reduce their carbon footprint

Greenheart Organic Farms 

This Dubai company was one of the country’s first organic farms, set up in 2012, and it now delivers a wide array of fruits and vegetables grown regionally or in the UAE, as well as other grocery items, to both Dubai and Abu Dhabi doorsteps.

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Modibodi  

Founded in Australia, Modibodi is now in the UAE with waste-free, reusable underwear that eliminates the litter created by a woman’s monthly cycle, which adds up to approximately 136kgs of sanitary waste over a lifetime.

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The Good Karma Co

From brushes made of plant fibres to eco-friendly storage solutions, this company has planet-friendly alternatives to almost everything we need, including tin foil and toothbrushes. 

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Re:told

One Dubai boutique, Re:told, is taking second-hand garments and selling them on at a fraction of the price, helping to cut back on the hundreds of thousands of tonnes of clothes thrown into landfills each year.

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Lush

Lush provides products such as shampoo and conditioner as package-free bars with reusable tins to store. 

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Bubble Bro 

Offering filtered, still and sparkling water on tap, Bubble Bro is attempting to ensure we don’t produce plastic or glass waste. Founded in 2017 by Adel Abu-Aysha, the company is on track to exceeding its target of saving one million bottles by the end of the year.

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Coethical 

This company offers refillable, eco-friendly home cleaning and hygiene products that are all biodegradable, free of chemicals and certifiably not tested on animals.

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Eggs & Soldiers

This bricks-and-mortar shop and e-store, founded by a Dubai mum-of-four, is the place to go for all manner of family products – from reusable cloth diapers to organic skincare and sustainable toys.

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Power: 261hp at 5,500rpm

Torque: 405Nm at 1,750-3,500rpm

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Fuel consumption: 6.9L/100km

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