Why Labor Rules Are Such a Big Issue in Persian Gulf: QuickTake - Bloomberg:
For decades, Gulf Arab states have attracted scrutiny for migrant sponsorship rules widely criticized as abusive to the foreigners who make up large parts of their labor forces. Governments have taken gradual steps to reduce the scope for exploitation under the so-called kafala system, and in August, Qatar became the first to guarantee foreigners a minimum wage regardless of wage or nationality. It says it will ultimately dismantle kafala, a pledge Bahrain made in 2009 and has yet to completely fulfill. With Gulf states reliant on foreigners to do everything from build towers to sweep roads to tend children, the system has proved durable.
1. Where does the kafala system come from?
During the oil boom of the 1970s, Arab Gulf states began importing large numbers of foreign workers to build infrastructure quickly and cheaply, and to provide services for their suddenly prospering societies. Kafala is an Arabic word meaning sponsorship or guarantorship, and has evolved into a system of employment. The six nations of the Gulf Cooperation Council -- Saudi Arabia, Kuwait, Bahrain, Qatar, Oman and the United Arab Emirates -- are most closely associated with the practice. It’s also used for low-skilled workers employed in Lebanon and Jordan.
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