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11 Chapter 1

1. The document introduces the topic of international migration and its relevance to labor markets. It notes that factors like economic imbalances, poverty, and human rights issues influence migration flows. 2. It then discusses how the migrant labor market functions, noting that many migrants, especially those who are unskilled, rely on middlemen, kinship networks, and social ties to navigate job searches and minimize risks of moving to new locations. 3. Recruitment of migrant workers varies by sector but often involves direct hiring by employers, contractors who may share social connections, or reliance on contacts already working in destination areas.

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0% found this document useful (0 votes)
56 views

11 Chapter 1

1. The document introduces the topic of international migration and its relevance to labor markets. It notes that factors like economic imbalances, poverty, and human rights issues influence migration flows. 2. It then discusses how the migrant labor market functions, noting that many migrants, especially those who are unskilled, rely on middlemen, kinship networks, and social ties to navigate job searches and minimize risks of moving to new locations. 3. Recruitment of migrant workers varies by sector but often involves direct hiring by employers, contractors who may share social connections, or reliance on contacts already working in destination areas.

Uploaded by

Pious Paul
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Chapter 1

INTRODUCTION AND
METHODOLOGY

 Introduction
 Migration and Labour
Market
 Relevance of the Study
 Statement of the Problem
 Objectives and Hypothesis
1.1. Introduction:

International economic, political and cultural

interrelations play an important role in the flow of people

between countries, whether they are developing, developed

or with economies in transition. In its diverse types,

international migration is linked to such interrelations and

both affects and is affected by the development process.

International economic imbalances, poverty and

environmental degradation, combined with the absence of

peace and security, human rights violations and the varying

degrees of development of judicial and democratic

institutions are all factors affecting international migration.

Although most international migration flows occur between

neighbouring countries, interregional migration, particularly

that directed to developed countries, has been growing. It is

estimated that the number of international migrants in the

world, including refugees, is in excess of 190 million 1, about

half of them in the developing countries. In recent years, the

main receiving countries in the developed world registered a

net migration intake of approximately 1.4 million persons

annually2, about two thirds of whom originated in developing

countries. Orderly international migration can have positive


impacts on both the communities of origin and the

communities of destination, providing the former with

remittances and the latter with needed human resources.

International migration also has the potential of facilitating

the transfer of skills and contributing to cultural enrichment.

However, international migration entails the loss of human

resources for many countries of origin and may give rise to

political, economic or social tensions in countries of

destination. To be effective, international migration policies

need to take into account the economic constraints of the

receiving country, the impact of migration on the host society

and its effects on countries of origin. The long-term

manageability of international migration hinges on making

the option to remain in one's country a viable one for all

people. Sustainable economic growth with equity and

development strategies consistent with this aim is a

necessary means to that end. In addition, more effective use

can be made of the potential contribution that expatriate

nationals can make to the economic development of their

countries of origin Labour migration has, in the 21st century,

moved to the to of the policy agendas of many countries -

countries of origin, transit and destination. Most of the

world's estimated 190 million migrants are people searching


for improved economic opportunities abroad. Three key

factors3 drive migration and will continue to fuel this kind of

movement for many years. They are:

• The "pull" of changing demographics and labour market

needs in many industrialized countries.

• The "push" of population, unemployment and crisis

pressures in less developed countries.

• Established inter-country networks based on family,

culture and history.

An alarmingly large proportion of labour migration

occurs illegally, aided and abetted by a clandestine and often

criminal industry. Increasingly, governments of both sending

and receiving countries are developing regulatory

mechanisms to manage labour migration. These include

selective recruitment policies by countries needing labour,

and strong marketing and overseas employment strategies by

countries supplying labour. For some countries of destination,

labour migration, particularly of the highly skilled, is more

than a temporary manpower adjustment strategy; and can

have long-term implications for immigration. For countries of

origin, it can support development, for example through

remittances. The private sector can play a key role in taking


labour migration demand-driven in destination countries, and

in recruiting workers in countries of origin.

Migration has provided the single-most dynamic factor

in the otherwise dismal scenario of Kerala in the last quarter

of the twentieth century. Mostly as a result of migration,

Kerala has become virtually integrated with the world

economy, with the Gulf economy to a large extent and with

the economies of the United States and the West European

countries to a lesser extent. Kerala has become part of the

Gulf countries, if not geographically and politically, but very

much so economically, socially, and culturally. What happens

in the Gulf countries have their repercussions in Kerala; and

what happens in Kerala have in turn, their repercussions in

the Gulf countries. Migration has been one of the positive

outcomes of the 'Kerala Model' of development. The State's

dynamic social development in the past half a century and

the relative stagnation in its productive sectors have created

ideal conditions for an acceleration of migration from the

state which had its historical origins in the World War II

period. The accelerated process of migration, especially the

more recent Gulf migration and migration to North America,

have had their impact on every facet of Kerala's economy and


society. It will take several more years before the full impact

becomes evident. Behavioural changes are slow to come by

and usually take a generation or more to become fully visible.

Migration from Kerala to the other states in India and to

countries outside has now become so rampant that its impact

is felt in every aspect of life in the State. This is a relatively

recent development, having peaked up during the past

quarter of a century. Kerala had remained till about the 1940s

basically a non-migrating population. After World War II and

with the Indian Independence in 1947, migration became a

way of life to many of the educated youths of the State. At

first, migration was almost entirely confined to within India,

but in more recent times migration to countries outside India

has grown rapidly. At present emigration has become all-

pervasive in the economic and social life in the State and has

outpaced migration within India. Almost all families in Kerala

are affected by migration to the Gulf region in one way or

another. Migration is affecting every facet of life in Kerala,

economic, social, demographic, political and even religious.

With such rampant impact, one should have expected that

there would be a large number of studies measuring the

extent of emigration and assessing its impact on life in the


State. This study will focus on the – not so discussed topic of

working conditions, satisfaction level and factors associated

with that of Keralites workers in the United Arab Emirates.

UAE is among countries outside India, where number of Indian

migrants are top the list. Also it is important to note that the

state Kerala alone account for 25% of the total foreign

remittance which comes to India every year.

1.2. The Migrant Labour Market

Migrants at the lower end of the market comprise mostly

unskilled casual labourers. Migrant labourers are exposed to

large uncertainties in the potential job market. To begin with,

they have little knowledge of the market and risk high job

search costs. The perceived risks and costs tend to be higher

the further they are from home. There are several ways in

which migrants minimise risks and costs. For a number of

industries, recruitment is often done through middlemen. In

many cases, these middlemen are known to the job seekers

and may belong to the source area. In other cases, migrants

move to the destination areas on their own. This is generally

the case where ‘bridgeheads’ have been established, lowering

potential risks and costs. The movement of migrants in

groups, often sharing kinship ties, also provides some


protection in the context of the harsh environment in which

migrants travel, seek jobs and work. Mosse et al (2002),

based on a study of villages in the Western India Rain-fed

Farming Project (WIRFFP), have shown that the incorporation

of workers in the labour market in different ways may depend

upon their initial status, with somewhat better-off migrants

having superior social net-works and being better able to

exploit bridgeheads in urban locations. As with other types of

interlocked relationships, the poorer migrants trade their

freedom of making individual contracts with employers to the

possibility of securing advances and employment from

contractors. In the agricultural sector, labourers are

sometimes directly recruited by the employer. In Punjab,

labourers are often recruited by employers at the railway

stations (Sidhu and Grewal, 1980). In West Bengal, labourers

are sometimes recruited at bus stands or employers often go

to the source area and recruit labourers (Rogaly et al, 2001).

Contractors, who often belong to same caste and community,

are the other medium for recruitment in the agricultural and

rural sectors (agricultural workers in Punjab, coffee

plantations in Karnataka, sugarcane plantations in Gujarat,

quarry workers around Delhi). In parts of Punjab, agents or

traders are also active in recruitment. Labourers are hired by


contractors in their village, or by their relatives and friends

who have already migrated. In the urban informal sector,

friends and relatives act as a network and the job market is

highly segmented based around people of the same caste,

religion and kinship. (Mitra and Gupta, 2002). Social networks

provide initial income support, information, accommodation,

and access to jobs. However, parts of the urban unorganised

sector may also be characterized by a high degree of

organised migration, as in the rural areas discussed above

(Mazumdar, 1983; Dasgupta, 1987; Mehta, 1987; see also

Piore, 1983). In the construction industry, workers are largely

recruited through contractors who settle wages, retain part of

their earnings apart from payments received from employer,

and sometimes also play supervisory roles. In the fish

processing industry in Kerala, recruitment takes place through

contractors, who often use networks of older women to

recruit. In the case of domestic maid servants in Delhi, a

number of voluntary organisations are involved in the

recruitment process. Most of the maids are from the tribal

belts of Jharkhand and Chattisgarh. While a new genre of

private recruitment agencies has sprung up (which continue

to recruit through informal channels and make unspecified

deductions from wage payments), the church also plays an


active and more benign role in bringing potential employers

and employees together (Neetha, 2002). The labour process

in the places of employment only partly overlaps with the

process of recruitment. Workers seeking jobs independently

may still find the labour processes in the destination

dominated by contracting and sub-contracting relationships.

Workers have to depend upon advances and irregular

payments. Migrants often get lower wages than local

labourers. The migrant status of the labourers accounts for

38–56% of the wage differential in Chennai city when other

characteristics are accounted (Duraiswamy and Narsimhan,

1997). They work long and odd hours. Moreover the payments

are not made on time. Piece rates are mostly prevalent which

provide greater flexibility to employers (NCRL, 1991). Of

course, migrants may also prefer these wage systems as they

can maximise returns on a per day basis, raising the

possibility of their saving part of wages. But in many cases

organised migration results in credit-labour interlocking, such

that the net return to labour may have no relation to wages in

destination areas (Singh and Iyer, 1985; Das, 1993;

Krishnaiah, 1997; Mosse et al, 2002). Employers often prefer

migrant labourers to local labourers, as they are cheaper and

do not develop social relationships with the place of


destination. Women migrants fare the worst; they are

generally paid less than male migrants (Pandey, 1998). In the

construction industry they are viewed as assistants to their

husbands, and confined to unskilled jobs. The consequent

segmentation is used as a justification for low payments.

Women also face greater insecurity (Viajanyanta, 1998). In

the fish processing industry, they are badly exploited in terms

of working condition, wages, living condition and sometimes

sexually harassed (Sarodamoni, 1995). In the public sector,

wage structures also vary from project to project. As most

contracts are given to private firms, they flout labour laws

and minimum wage legislation. Low wages of seasonal

workers are the result of instability of demand, segmented

labour markets, unregulated nature and dominance of labour

contractors and vulnerability of workers (Study Group on

Migrant Labour, 1990). Breman (1996) has argued that the

continued existence of a large mass of unorganised workers

belies expectations that workers would eventually shift from

the traditional to the modern sector. An examination of the

major industries in the informal sector shows a steady

replacement of local workers by migrants. He also finds that

rural-urban migration shares a number of features in common

with rural-to-rural migration. The urban and rural informal


sector markets are increasingly linked through horizontal

circulation as migrants may move from one to the other in

search of jobs (Gill, 1984; Chopra, 1995; Breman, 1996).

Despite growing linkages between the urban and rural labour

markets, the markets are not integrated but instead

segmented in various ways. Breman (ibid.) shows that for

locals as well as migrants, stratifications are generally

preserved as workers move so that the overall tendency of

the labour market is to be broken into ‘circuits’ of labour.

Women migrant workers in urban areas are concentrated

mainly in the lower segments, in household work or jobs in

manufacturing, construction or personal services (Meher,

1994). According to Das (1994) chain migration also has the

impact of fragmenting this market along ethnic and regional

lines. In the construction sector, migrant workers are

fragmented by the contracting arrangements through which

they work. In focusing on the characteristics of migrant

labourers, schooling and resources act as two important

barriers in the poorer social groups obtaining on-job training

and skills which could lead to the semipermanent jobs

(Breman, ibid.; Das, ibid.).

1.3. External Migration


In Kerala international migration has remained

absolutely stationary during 2003-07. Mobility has become, so

to say, immobile. The number of emigrants had been 18.4

lakh in 2003; it was 18.5 lakh in 2007. Thenumber of return

emigrants had been 8.9 lakh in 2003; it was 8.9 lakh in 2007

also. The number of non-resident Keralites had been 27.3 lakh

in 2003; it was 27.3 lakh in 2007 also. Migration rates,

however, experienced some significant decline. The

emigration rate declined from 26.7 per 100 households in

2003 to 24.5 per 100 households in 2007. The corresponding

decline in return emigration rate has been from 13.0 per 100

households to 11.7 per 100 households. The rate of non-

resident Keralites (NRKs) per 100 households declined from

39.7 to 36.2. The proportion of Kerala households with an NRK

each in them has remained more or less at the same level as

in 2007; it had been in 2003, 25.8 percent. Three-fourths of

the Kerala households are yet to send out migrants outside

India. And this situation has not undergone any change in

recent years. Gulf migration from Kerala is not as widespread

among Kerala households as it is often depicted to be in the

media. The northern districts of Kerala are gaining importance

as areas of emigration. As years pass, more and more Kerala

emigrants emanate from districts such as Malappuram,


Kannur and Kasaragod. In Malappuram, 71 percent of the

households have in them either an emigrant or a return

emigrant each. The United Arab Emirates is becoming the

preferred destination of Kerala emigrants. In recent years,

Saudi Arabia has been losing ground to UAE as the preferred

destination of Kerala emigrants. Countries beyond the Middle

East such as the United States of America and the United

Kingdom have also been receiving increasing numbers of

emigrants. Nearly half the number of emigrants were Muslim.

Among the Muslims, 3 out of every 4 households (74 percent)

have an NRK each, but among the Hindus less than 1 in 5

households (22 percent) only have an NRK each in them.

Labourers in non-agricultural sectors constituted the largest

proportion of emigrants from Kerala, 27.4 percent of the total.

Unemployed persons were the second largest group (24.3

percent). Workers from the private sector (16.0 percent), and

from self-employment sector (12.5 percent) also emigrated in

large numbers. The unemployment rate among emigrants

was as high as 29.1 per cent, prior to emigration, but it is only

6.9 percent among emigrants who have returned to Kerala.

Emigration has thus had a significant salutary impact on the

unemployment situation.
1.4. Internal Migration

Out-migration (OMI) from Kerala to other states in India

has registered a significant decline, not only in terms of the

rate as in the case of external migration, but also in absolute

numbers. OMI declined from 11.2 lakh in 2003 to 8.7 lakh in

2007. OMI per 100 households declined from 16.2 in 2003 to

11.5 in 2007. Return out-migration (ROM) registered a small

increase in absolute numbers but has declined in terms of the

rate, from 14.4 per 100 households in 2003 to 14.0 in 2007.

Unemployed persons have been the largest group (26.9

percent) among out-migrants. The unemployment rate among

out-migrants has been as high as 56.6 percent, but it is only

8.4 percent among returned out-migrants. As with external

migration, internal migration also has had a significant

salutary effect on the unemployment situation. Students

constituted the second largest proportion of out-migrants

from Kerala (25.8 percent). Among them, 47.6 percent have

been Christians, although, in the general population,

Christians constitute less than 20 percent. One of the smallest

districts in the state, Pathanamthitta, has sent out the largest

number of students to areas outside Kerala (17.2 percent of

the total student migrants). These statistics have a story to


tell about the inadequacy of post-metric educational facilities

within Kerala. Inter-state migration used to be a major factor

in bridging the gap between the persons looking for jobs and

the opportunities for employment within the state. It

continues to ameliorate the unemployment problem in the

state even today. At the same time, inter-state migration has

recently emerged as a significant factor in bridging the gap

between demand for post-metric educational opportunities

and their availability within the state.


1.5. Deceleration in the Migration Trend

Demographic contraction (reduction in the proportion of

persons in the younger age groups as a result of decrease in

the birth rate) could have been an underlying factor in the

stability of the volume of migration from the state.

Demographic trends seem to have started exerting their

inexorable pressure more effectively on migration from the

state in recent years than in earlier years. The district that

has advanced most in demographic transition,

Pathanamthitta, is also the district that has evinced the

largest decline in emigration. The effect of demographic

contraction is probably accentuated by Kerala's retrogression

in terms of the employability of its graduates in general arts

and sciences. An equally important factor accounting for the

stagnation in migration from Kerala could be the increase in

employment opportunities within the state. It seems that in

recent years, remittances to the state are being invested

more productively, generating increased demand for

youngsters and thus reducing the urge for their migration.

1.6. Remittances

International migrants have sent about Rs 24.525

thousand crores as remittances to Kerala in 2006-07. This


amount represents a modest but consistent acceleration

compared to the corresponding figures in 1998 and 2003.

Remittances in 2006-07 were about 20 percent of the state's

NSDP. Thus, remittances have not kept pace with the growth

of NSDP; in 2003 remittances had formed 22 percent of NSDP.

Earlier in 1998, they had accounted for 26 percent. The

Muslim community that forms nearly 25 percent of the state's

population received 50 percent of the total remittances during

2006-07. The share of the seven northern districts of the state

in the total remittances (61 percent) was almost double the

share of the seven southern districts (39 percent). In the

matter of regional development, developments based on the

cultivation of rice and coconut gave way to rubber-based

development since a long time ago. Soon, rubber -based

developments could be giving away to developments based

on external remittances. This will have considerable long-term

impact on the type of regional development within Kerala.

1.7. Employment and Unemployment

The most unexpected result of the recent Migration

Monitoring Study of the Centre for Development Studies,

Thiruvananthapuram 2007 has been in the area of

employment and unemployment. The study has indicated


that a complete turn-around has taken place in the

employment scenario in Kerala. Employment has increased by

350,000 persons. The fact that the increase was mostly in the

private sector (679,000) and in the self employment sector

(413,000) is a very significant development that portends a

continuation of the trend that began in recent years. In the

private sector, employment has more than doubled during

2003-07 (116 percent) and in the self-employment sectors;

the increase has been by 19 percent. The increase in

employment has been led to a decrease in the unemployment

rate. The number of unemployed persons decreased by a

healthy 921,000. Consequently, the unemployment rate

declined to 12.2 percent in 2007, a 40 percent reduction from

its level 4 years ago (19.1percent). The decline in the

unemployment rate is reflected in all the sections of the

population, males and females, young and old, the well

educated and the less educated, among all religious groups

and between the districts of north and the south. Four factors

(among several others) could be cited as the possible reasons

for the observed rapid decline in the unemployment rate in

the state. First, the demographic factor, namely, the decline

in the proportion of the population in the prime

unemployment-prone ages (15-24 years). The proportion of


male population 15-24 years of age in Kerala has declined

from 10.1 percent in 1991 to 9.2 percent in 2001 and is

expected to decline to 7.9 percent by 2011 and to 7.1 percent

by 2021. A second factor could probably be the liberalization

measures taken in many sectors during the past few years. In

the new more investment friendly environment, external

remittances are used more effectively than earlier in

employment-creating investments in the state. The study

does not provide any direct evidence to support this

assertion. However, the increase in employment in the private

sector and in the self-employment sector, that would require

considerable capital investments, could be cited as possible

indirect evidence to support this conclusion. Thirdly,

youngsters in the state are continuing their education for

longer periods now than earlier, resulting in a reduction in

their numbers in the pool of the unemployed. The proportion

of students among persons 15 years of age or more increased

from 7.4 percent in 2003 to 9.7 percent in 2007.

A fourth factor could be the Government of India's Rural

Employment Guarantee Scheme, which is being implemented

in some districts in the state. Empirical support to this

surmise is provided by the inter-district variation in


employment and unemployment rates in 2007. Two districts

with the lowest unemployment rate in 2007 are also the two

districts in which the scheme is under implementation in the

first phase: Wayanad with an unemployment rate of 4.0

percent and Palakkad with an unemployment rate 7.3

percent. These two districts have also the highest

employment rate: 48.4 percent in Wayanad and 44.4 percent

in Palakkad compared with 39.1 percent for the state as a

whole.

1.8. Migration and Development Prospects

Population mobility in the state has become stagnant.

Remittances have accelerated but moderately. The

employment sector has, however, undergone a complete

turn-around for the better. What do all these trends mean with

respect to the impact of emigration on Kerala's development?

After about two decades of continuous increase, migration

from the state seems to be losing some of its steam and

edging towards a more stable stage. In the early period of

construction worker's emigration, much of the financial

dividends from emigration were used up for household

consumption - subsistence, education of children, house

renovation and house construction, and dowry and debt


repayments. Not much was left for investments in

development-oriented activities. Moreover, the business

climate in the state was not as investment-friendly as it is

today either. The return emigrants of earlier days did not

possess the required educational background nor the know-

how for starting new business ventures. That stage seems to

be getting over now. More than a million former emigrants

have returned with their accumulated savings, acquired

expertise and external contacts with individuals and

establishments that matter very much in business. The stage

is now set for more productive utilization of the acquired

wealth for developmental activities. We may look forward with

some degree of confidence to an era in which emigrants and

return emigrants take leading roles in the developmental

activities of Kerala. Remittance-based investments are taking

over from remittances based consumption as the state's new

growth driver.

1.9. Emigrants' Destination Countries

In the past, Gulf countries used to be the principal

destination of Kerala emigrants. In this matter there has been

no change in 2007 also. In 1998, 95 percent of Kerala

emigrants went to one of the Gulf countries. By 2003 the


corresponding percentage declined to 91 percent. In 2007 the

proportion of Kerala emigrants who went to the Gulf region

has come down further to 89 percent. However significant

changes are observed in the distribution of emigrants within

the Gulf region. Saudi Arabia had been the principal

destination country in 1998. By 2003, it yielded its first rank

to the United Arab Emirates, which at that time received 37

percent of the total emigrants from Kerala compared to 27

percent in Saudi Arabia. The UAE continued its dominance

and by 2007 it has received 42 percent of the Kerala

emigrants. In the mean time, Saudi Arabia's share declined

further to just 24 percent. Apart from the UAE, Kuwait also

continues to attract an increasing share of Kerala emigrants.

1.10. Relevance of the Study

The importance of the topic arises from the fact that

there is a record million of expatriate population in the Middle

East. The most attractive destination so far has been Saudi

Arabia which is overtaken by the country in focus of this study

– The United Arab Emirates. If one observes the peculiarity of

the migrant statistics of this country, we get a feeling that it’s

a country of migrants (see fig: 1.1)


Fig: 1.1
Countries with highest stock of international migrants in
total population, 2005.

Source: United Nations, Department of Economic and Social Affairs, Population Division, World
Population Policies 2005 (ST/ESA/SER.A/254). Data available online at: http://www.unpopulation.org

71% of UAE population4 represents migrants and that

number is huge compared to the countries population. Kerala

holds a major portion of this number.

However significant changes are observed in the

distribution of emigrants within the Gulf region. Saudi Arabia

had been the principal destination country in 1998. By 2003,

it yielded its first rank to the United Arab Emirates, which at

that time received 37 percent of the total emigrants from

Kerala compared to 27 percent in Saudi Arabia. The UAE

continued its dominance and by 2007 it has received 42

percent of the Kerala emigrants. In the mean time, Saudi

Arabia's share declined further to just 24 percent. Apart from

the UAE, Kuwait also continues to attract an increasing share

of Kerala emigrants5.

According to MMS 2007 6


(Migration Monitoring Study -

2007, Centre for Development Studies, Thiruvananthapuram,

Kerala), the number of Kerala migrants living abroad was 18.5

lakh, more or less the same as the estimate for 2003 made in
SMS 2003 (South Asia Migration Study 2003, Centre for

Development Studies). Emigration from Kerala seems to have

lost much of its steam. Has it peaked? Is the situation in 2007

the beginning of a downward trend? “After our two

consecutive failures in prediction, we do not venture to

prognosticate once again. The proposed MMS 2008 will show”

(K.C. Zachariah, S.Irudaya Rajan; Migration, Remittances and

Employment - Short-Term Trends and Long-Term implications;

December 2007). The MMS study further substantiates their

findings:

Even the nominal increase by 9,400 persons could be

attributed to population increase and not due to increase in

migration propensity. Relative to the number of households,

the change in the number of migrants per household during

2003-07 was negative. Emigrants per 100 households

decreased from 26.7 in 2003 to 24.5 in 2007. The increase in

the number of emigrants during 2003-07 has not kept pace

with the increase in the number of households in the state

during the period. (See Fig: 1.2).

In the past, Gulf countries used to be the principal

destination of Kerala emigrants. In this matter there has been

no change in 2007 also. In 1998, 95 percent of Kerala


emigrants went to one of the Gulf countries. By 2003 the

corresponding percentage declined to 91 percent. In 2007 the

proportion of Kerala emigrants who went to the Gulf region

has come down further to 89 percent.

Fig: 1.2:

Emigrants per 100 House Holds in Kerala

Source: Migration Monitoring Study - 2007, Centre for Development Studies,


Thiruvanathapuram, Kerala

Though the predictions by some of the studies on

migration earlier had failed, it seems to be a down ward trend

for Keralites migrating to Gulf region. This trend can be due to

many factors ranging from low salary - unsatisfactory working

conditions to depreciation in dollar. This study will try to

explore into the working condition, wages and satisfaction of

working labourers in United Arab Emirates.

There are certain issues which when researched out will

throw more light on the topic in discussion. Does these

workers get paid reasonably for the hard labour they put in

and how much they contribute to the economy of their native

state?, What kind of social life they are exposed to? Do they

work under benevolent employers? On the whole are they

satisfied with their work and life? This study will bring out the
realities and throw light on the grey areas apprehended above

and more.

1.11. Statement of the Problem

A large majority of 70 per cent of the Indian migrants in the Gulf is

comprised of semi–skilled and unskilled workers, the rest being white–collar

workers and professionals. Ever since independence, the number of workers

migrating to the gulf from India have increased to a condiderable extend.

Though there has been a fall in the number of migrants in 1990-1991, it could

be attributed to the control by Government of India in issuing emigration

clearance in the year following the Gulf War in 1990–91 when large numbers

of Indians were evacuated from the Gulf by the Government of India.

However, the classification more or less resumed although some changes

might have taken place due to the demand tilting more towards skilled

professionals as infrastructure development progressed in the Gulf. On the

supply side, Indian government’s monitoring and control of labour migration

has been to streamline the process of emigration to some extent, increasingly

in the last couple of years.

The demand for low category of workers like housemaids, cooks,

bearers, gardeners, helpers etc. has been large, though systematic all–India

data are not easily available. The workers in these vocations however do not

enjoy the protection of any local labour laws. Women, working as housemaids

or governesses face ill treatment in some Gulf countries, sometimes being


subjected to even sexual abuse (GOI, MOIA 2006). Unskilled and semiskilled

workers working in infrastructural and development projects generally live in

miserable conditions and are accommodated in small cramped rooms in the

labour camps. Often toilet and kitchen facilities are inadequate, and working

conditions are harsh. Thus, adverse working condition, unfriendly weather,

inability to participate in social and cultural activities, and long periods of

separation from families and relatives leading to emotional deprivation are

known to have wrecked the lives of low skilled Indian workers in the Gulf

(Zachariah et al, 2002; GOI, MOIA Annual Report, 2005–6, 17; GOI, MOIA

2006).

The unskilled and semi–skilled workers have a high rate of turnover as

their contracts are for short periods of employment and work, usually not

more than two years at a time. Those completing their contracts must return

home, although a large proportion of them manage to come back with new

contracts which are not available before a gap of one year. This has facilitated

the proliferation of recruitment and placement agencies, sometimes colluding

with the prospective employers and exploiting illiterate job seekers. The

various forms of exploitation range from withholding of the passports; refusal

of promised employment, wages, and over–time wages; undue deduction of

permit fee from wages; unsuitable transport; inadequate medical facilities;

denial of legal rights for redressal of complaints; use of migrants as carriers of

smuggled goods; victimisation and harassment of women recruits in


household jobs like maids, cooks, governesses etc (Overseas Indian, 2006,

various issues).

This study tried to understand the working conditions and satisfaction

level of NRK workers in United Arab Emirates to throw more lights on the

pending problems faced by them.

1.12. Scope of the Study

This research work focus on the satisfaction level and

working conditions of NRK (Non Resident Keralites) labourers

working in United Arab Emirates. Earlier studies found to be

done in this arena are mostly studies related to migration

patterns, migration monitoring studies, international labour

issues, on remittances etc. No study was found to be done on

the work spot of workers, analyzing the satisfaction level of

workers, their living conditions etc. This study is based on the

researched out data directly from the labour camps where the

laborers stay in the gulf countries. It is here one can get the

real feel of the problems faced by the workers in the gulf

countries. This study, it is hoped, will help us understand

more on the problems faced by the hardworking NRK

labourers in the gulf with regard to how they feel and perceive

their life and work in the desert climate.


The hard earned money of the gulf migrant which flows

to Kerala is one of the crucial elements in strengthening the

economic back bone of the state. Amidst reports of hardening

survival conditions and shooting living cost in the gulf region

the monetary contribution made to the state is praiseworthy.

The recent gulf migration monitoring studies by Centre for

Development Studies reveals declining trend in the migration

of Keralite workers to the gulf region.

In broader terms, this study tries to explore the living

conditions and the satisfaction level of workers in United Arab

Emirates with special reference to Non resident

Keralites. The study also covers labourers Pay structure,

safety level of workers, social life, method of money

remittances to India, age and educational factors. The efforts

of the govt agencies and its impact on the working class is

also analysed to judge if improvements are needed.


1.13. Objectives of the Study

Against this background the following objectives are set

for the purpose of the study.

1.13.1. Main objective of the study are:

1. To study the migration pattern from Kerala to the gulf

countries, especially to the United Arab Emirates.

2. To analyse the level of job satisfaction among Keralite

labourers working in various industries in the United Arab

Emirates

3. To test the awareness level of NORKA (Non Resident

Keralites Affairs Department) among the Keralite workers in

the United Arab Emirates.

1.13.2. Secondary Objectives:

a. To analyse the factors affecting the satisfaction

level of the non resident Keralites workers in United Arab

Emirates

b. To analyse the earning and spending habits of the

non resident Keralites workers in United Arab Emirates

c. To analyse the working hours and pay structure of

different class of non resident Keralites workers


d. To explore the various means of money transfer

practiced by non resident Keralites workers in United

Arab Emirates

e. To analyse the pattern and classify the labourers

with regard to their education background, type of

organisation, industry and trade to which they belong

On the basis of the above objectives set with regard to

the analysis of the satisfaction level of the workers, the

following hypothesis have formulated and tested.

Ho: There is no significant relationship between the

satisfaction level and the type of organisations in

which the workers are employed.

Ho: There is no significant relationship between the

satisfaction level and their educational

background.

Ho: There is no significant of relationship between the

satisfaction level and the trade of the

workers.

Ho: There is no significant level of relationship

between the satisfaction level and the type of

industry where the workers are employed.


1.14. Methodology of Research

The study is designed as a descriptive one based on

primary and secondary data.

1.14.1. Secondary Data

The secondary data collected from various sources

provided a detailed background information and history of the

topic of study. There are findings drawn from the secondary

data in addition to the findings from the analysis of the

secondary data. Secondary data have been collected from the

following sources.

1. Collected reports and research work done world wide

relating to the topic of this research work

2. Annual reports and year books of United Arab Emirates

3. Various websites of the government of Kerala.

4. White papers and research works published by the

Centre for Development Studies, Thiruvananthapuram

regarding various Kerala Migration Monitoring studies.

5. Report of the RBI and the World Bank.

6. Census India reports


7. Various papers on international migration

8. International Labour Review etc

9. Latest news paper articles press releases in United Arab

Emirates

1.14.2. Primary Data

The study is mainly based on the primary data. The

primary data have been collected through a questionnaire

designed to fulfill objectives set for this study. A pilot study

was conducted among few workers who came on leave from

UAE to Kerala to test the feasibility and usefulness of the

questionnaire in collecting the data required. The

questionnaire was modified in the light of suggestions

received from the respondents (See Appendix-1). The

questionnaire was then used to collected data from 200

respondents from UAE. Most of these workers lived in various

labour camps in Al Quoz and Sonapur area in UAE. Collection

of most of the data from these laborers has been successful

mainly due to the support of some of the business men who

are involved in the supply of labour to the industry in UAE.

1.14.3 Sample Design


The study was confined to Keralite labourers who worked

in UAE. Initially the researcher tried to select samples based

on the regions in UAE; ie by selecting three of the prominent

emirates (Abu Dhabi, Dubai and Sharjah) out of the seven

emirates which comprised UAE. These three emirates are the

regions where one may find concentration of Keralite working

population. But later the study went ahead without

considering the regions due to the fact that many of the

workers who live in Sharjah may work in Dubai or Abu Dhabi

and vice versa.

Since the working regions of workers were not

permanent there could not be any variations in the data

collected from the different emirates. Data has been collected

from 200 respondents selected on a random basis working in

the various regions of United Arab Emirates.

Though there were no permanent working regions for

the labour class in UAE, to avoid any regional disparities if any

when failcities are also a subject matter of the study, the

samples were taken from all the three major emirates, namely

Abu Dhabi, Dubai and Sharjah, there by making the

researched data to be foolproof as far as possible. The break

up of the sample and sample frame is given below:


Telecom
Wholesale/Retail
Others
Construction
Govt (Water, Electricity…)
Manufacturing
Various industries samples belonged to
Total Sample
(200)
Abu Dhabi
(50)
Dubai
(100)
Sharjah
(50)
Sample Frame (Industry wise):

Industry/Region Abu Dhabi Dubai Sharjah Total


Manufacturing 6 10 4 20
Govt (W&E) 2 5 3 10
Construction 30 65 35 130
Wholesale/Retail 7 10 3 20
Telecom 3 5 2 10
Others 2 5 3 10
Total 50 100 50 200

1.15 Data collection and tools of analysis

Data collection was done using the questionnaire

designed for the study. Analysis has been done by using

techniques such as percentages, averages, chi-square tests

and factor analysis. All analysis has been done with the help

of SPSS statistical package.

1.15.1 Primary data collection:

The questionnaire, in its first part collects basic data

regarding the type of organisation the worker is employed,

their educational back ground, their marital status, the job

trade to which they belong, the industry the workers are

engaged in, it also tries to collect data on certain

discrepancies of job – trade mismatch as seen in their

contract and the real work that they do in the field etc. In the
later part the data mainly collected include details regarding

basic pay, overtime and hours of work that the workers

spend, details regarding the duration the workers planned to

stay in the host country and the duration they have spend,

the means of money transfer to home. The questionnaire also

collects data on some of the aspects related to the working

conditions of the workers such as food and accommodation

allowances, safety level on the work spot, social activities of

the workers etc. Lastly there are questions to find out the

awareness of NORKA among the work force. Workers are also

asked about the grievance handling mechanisms and the

level of satisfaction they have on that.

1.15.2 Major tools of analysis:

Cross tables and percentages are used to interpret data

on the intra relations of various factors and to infer aspects

with regard to working conditions of NRK workers.

Chi-square test is mainly used to measure the

dependency of satisfaction level of workers on various factors

Chi-square is used to assess two types of comparison:

tests of goodness of fit and tests of independence. The

analysis in this study uses chi-square for test of


independence. A test of independence assesses whether

paired observations on two variables, expressed in

a contingency table, are independent of each other.


Calculating chi-square (χ2):

Where O is the observed frequency

E is the expected frequency

The degrees of freedom for the two –dimensional

statistics is:

df = (C - 1) (R – 1)

Where C is the number of columns or levels of the first

variable and R is the number of rows or levels of the

second variable.

For two variable chi-square, the expected frequencies

are calculated with the formula:

Expected Frequency for a Cell = (Column Total X

Row Total)/Grand Total

Factor analysis

Factor analysis is also done to rate the different factors

that influence the workers. The purpose of factor analysis is to

discover simple patterns in the pattern of relationships among

the variables. In particular, it seeks to discover if the


observed variables can be explained largely or entirely in

terms of a much smaller number of variables called factors.

The factors analysis is applied by simplifying data into

smaller set of homogenous groups (factors). Therefore, data

has been reduced into handful numbers of factors, to gain

insight into the subject.

1.16. Period of Study

The study covers a period of 5 years commencing form

2003 to 2008. The primary and secondary data were collected

for a period of five years from 2003 to 2008. When ever found

necessary, data relating to prior periods were also considered.

1.17. Limitations of the Study

As limitations are common to almost all the studies in a

social survey, the present study is also subjected to certain

limitations:

1. Where the study focused on the saving and spending

habits of labourers working in UAE and which involved

collection of financial data, some of the workers were

reluctant to reveal these matters which they consider as very

personal.
2. Especially when questions related to the amount of

money the workers might have given to agents were asked,

many of them hesitated in giving a proper figure.

3. In a similar case with regard to questions on the method

of transfer of money home by the workers were asked, the

researcher found the workers were not revealing as expected.

4. Some of the respondents were reluctant to give all the

information which the questionnaire demanded because of

the fear of exposing themselves.

5. Since the sample respondents were 200 Non Resident

Keralites who works in various parts of United Arab Emirates,

the conclusions may be applicable to Keralites and United

Arab Emirates alone and a generalization may not be

possible.

1.18. Frame work of the report

This report has been divided into six chapters.

The first chapter deals with the introduction relevance,

scope, statement of problem, objectives, hypothesis,

methodology, sampling design, period of study and limitations

of the study.
The second chapter deals with data collected from

secondary sources as review of literature. Information has

been briefly described regarding some studies done related to

the topic of this research. This chapter includes excerpts from

studies on migration reported so far. There are country

specific studies, region wise studies, religion wise studies on

migration

The third chapter deals with an overview of international

migration including some of the recent statistics available on

migration. This chapter deals with an analysis of gulf

migration from India and it mainly focuses on the migration to

United Arab Emirates. It also analyse the various studies done

in the field of migration, especially the one to the gulf region.

The fourth chapter is descriptive with an analysis on gulf

migration. The chapter progressively covers some of the

historical back ground of gulf migration and trends in

migration with regard to United Arab Emirates.

Demographics, labour and social affairs, labour regulations,

policies, industry and gulf migration from Kerala to UAE are

also dealt with.

The fifth chapter is devoted to the analysis of

satisfaction level and working conditions of NRK workers in


UAE based on the primary data collected. The researched

data is analysed with standard statistical tool wherever

necessary to draw conclusions.

Sixth chapter looks into the details on NORKA (Non

Resident Keralite Affairs Department) and its activities. This

chapter also analyses the primary data pertaining to NORKA.

The summary of findings and suggestions are presented

in chapter seven.
References:

1. UN department of economic and social affairs,

population division, www.unmigration.org, International

migration and development, Fact sheet - international

migration facts & figures

2. United Nations, Department of Economic and

Social Affairs, Population Division, World Population

Prospects: The 2004 Revision, Volume I: Comprehensive

Tables, Sales No.E.05.XIII.5. Data available online at:

http://www.unpopulation.org.

3. K.C. Zachariah, B.A. Prakash, S. Irudaya Rajan. Gulf

Migration Study: Employment, Wages and Working

Conditions of Kerala Emigrants in the United Arab

Emirates.

4. United Nations, Department of Economic and

Social Affairs, Population Division, World Population Policies

2005 (ST/ESA/SER.A/254). Data available online at:

http://www.unpopulation.org

5. K.C. Zachariah, S.Irudaya Rajan; Migration,

Remittances and Employment - Short-Term Trends and

Long-Term implications; December 2007


6. MMS 1997 by Centre for Development Studies

(CDS) - Migration Monitoring Studies (MMS) being

conducted periodically by the Centre for Development

Studies. It covers three areas: migration, remittances and

employment.

7. United Arab Emirates Year Book 2008, Social

Development.

8. Ravi Srivastava, Jawaharlal Nehru University, New Delhi,

India and S.K. Sasikumar. An overview of migration in

India, its impacts and key issues - V. V. Giri National

Labour Institute, Noida, Uttar Pradesh, India

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