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http://www.zawya.com/story.cfm/sidANA20 ... 0Pillay%20

UN rights chief Navi Pillay on Monday called on Gulf countries to stop requiring migrant workers to secure local sponsors, saying the system fosters abuses.

gertrude wrote:http://www.zawya.com/story.cfm/sidANA20100419T092214ZOCT33/?query=Navi%20Pillay%20

UN rights chief Navi Pillay on Monday called on Gulf countries to stop requiring migrant workers to secure local sponsors, saying the system fosters abuses.

So what would you propose Gertrude?

A work visa issued by the government without companny sponsorship?

G to tha T wrote:A work visa issued by the government without companny sponsorship?

How would this be controlled?

sage & onion wrote:

G to tha T wrote:A work visa issued by the government without companny sponsorship?

How would this be controlled?

Just like in any other developed country. Just comply with the regulatory requirements for sounds business practises and your off to a start for a few fees and low taxation.

The 51 percent local ownership share is in fact a implicit tax on a business, depending on your liability arrangement with the sponsor. It can of course also be beneficial in some cases.

But like the UN guys said, there should be some change in the current system. Lot of people are duped by fraudulent sponsors who have the law by their side and actually don't bring much to the table themselves.

That s not going to happen because the local sponsorship is a tool to make sure that foreigner's stay in the UAE is linked to an employment. No job, you are out. The residency visa is in essence a temporary visa. In a Gov issued visa it could become "permanent" as it would be more difficult for the Gov to control if every expats is indentured. In effect, every "local" is a visa enforcing agent . It would also provide more freedom to expats, who could jump from one job to another without local permission, like in democratic countries.

Well other Gulf countries are starting to get rid of the requirement for local sponsors, so I don't see why the UAE can't be any different.

You can tell some people have lived here too long 'How would that be controlled?' er the way any other country in the world does it?!

Dubai has applied to become a member of the WTO and one of the key barriers to their entry is the 51% local ownership and exclusive distributorship situation found here. It is clearly a barrier to free trade, hence the government setting up the Free Zones. Unfortunately, these would also have to disappear if the sponsorship right is removed.

Or should I say 'when' the sponsorship rights disappear.

It is already in progress in the Federal Law and best estimates are that it could be ratified in 2012 or 2013. There has been significant resistance internally to implementation, particularly from powerful local families who have traditionally exploited control over exclusive distribution rights.



Knight

Bahrain has already implemented a sponsorship free system though I don't know much about it.

What happened in the last couple of years will speed up the inevitable move towards more efficiency. I don't think things here change fast enough but I'll have to bet on that. A delinquency/bankruptcy draft is being prepared ( Gulfnews article here) and the sponsorship thing will not hopefully live long enough.

Apart from the human rights issues related to the sponsorship laws it's preventing some long term investments from getting into the region. Some big players simply wouldn't buy the sponsor thing. For example the GCC is one of the major SUV consumers and still no one had built an assembly line like it happened in other countries in the middle east to reduce costs and bend on customs.

Yes I believe this sponsporship thing needs to be scrapped, The free zone model coule be applied to the entire country. Just turn the cities into individual free zones and the city is teh sponsor and a person is free to move employement with in the city without having to go through the cost and hassle of Visa changes.

I heard a few days back on the radio that very soon measures will be annouced to easy the movement of the workforce already in the country between employers.

I can see how the removal of the "sole trader/agent" can ruffle up some feathers. It would mean for example anybody could open a Toyota Lexus dealership. Currently they are making a killing by selling cars much more expensive than in many other countries of the world and charging more than full price of a top spec motor for a baseline model.

For example. Leather Seats, Auto, Sunroof, CD's and a V8 engine is standard on a Land Cruiser in the US While here a base model Land cruiser costs the same Toyotas in Oman with a higher spec costs cheaper than here. When cheaper 2 nd hand Right Hand Drive Toyotas specially Land Cruisers were stated to be imported here from Japan, then converted to Left hand. They made a big hue and cry and finally managed to get a law disallowing the resigtration of converted cars.

And the stealership service standards ! lets not even go there !

desertdudeshj wrote:I can see how the removal of the "sole trader/agent" can ruffle up some feathers. It would mean for example anybody could open a Toyota Lexus dealership. Currently they are making a killing by selling cars much more expensive than in many other countries of the world and charging more than full price of a top spec motor for a baseline model.

For example. Leather Seats, Auto, Sunroof, CD's and a V8 engine is standard on a Land Cruiser in the US While here a base model Land cruiser costs the same Toyotas in Oman with a higher spec costs cheaper than here. When cheaper 2 nd hand Right Hand Drive Toyotas specially Land Cruisers were stated to be imported here from Japan, then converted to Left hand. They made a big hue and cry and finally managed to get a law disallowing the resigtration of converted cars.

And the stealership service standards ! lets not even go there !

I never understood the idea behind "exclusive distribution rights".

Not only do they want a monopoly on importing and selling cars, they also want to offer us inferior specs + horrible service + higher costs.

Do they have any idea of business ? Go ahead and charge high for good stuff, but why do you want people to pay more for lower quality goods ?

BlackburnRovers wrote:

desertdudeshj wrote:I can see how the removal of the "sole trader/agent" can ruffle up some feathers. It would mean for example anybody could open a Toyota Lexus dealership. Currently they are making a killing by selling cars much more expensive than in many other countries of the world and charging more than full price of a top spec motor for a baseline model.

For example. Leather Seats, Auto, Sunroof, CD's and a V8 engine is standard on a Land Cruiser in the US While here a base model Land cruiser costs the same Toyotas in Oman with a higher spec costs cheaper than here. When cheaper 2 nd hand Right Hand Drive Toyotas specially Land Cruisers were stated to be imported here from Japan, then converted to Left hand. They made a big hue and cry and finally managed to get a law disallowing the resigtration of converted cars.

And the stealership service standards ! lets not even go there !

I never understood the idea behind "exclusive distribution rights".

Not only do they want a monopoly on importing and selling cars, they also want to offer us inferior specs + horrible service + higher costs.

Do they have any idea of business ? Go ahead and charge high for good stuff, but why do you want people to pay more for lower quality goods ?

Because they can! What choice do you have?



Knight

And again today:

http://www.7days.ae/storydetails.php?id=93381&title=UN eyes end to sponsor laws

I hope they keep up the pressure and the calls are don't fall on deaf ears.

Well it would open up so much more potential for the place, that's for sure.