Abu Dhabi: The Emirati workforce in the insurance industry will be increased to more than 17 per cent by 2020 from around 11 per cent currently, a minister told the Federal National Council (FNC) on Wednesday.
Sultan Saeed Al Mansouri, Minister of Economy, told the FNC that 883 Emiratis were currently employed in the sector, roughly 11 per cent of the sector’s work force.
“The figure is expected to grow to 1,007, or 12 per cent of the work force, in [the] insurance industry by next year. By 2020, the government plans to increase the Emirati work force in the insurance industry to more than 17 per cent, or 1,184 citizens, mostly in senior management,” Al Mansouri said.
Dr Saeed Abdullah Al Mutawa, a FNC member from Sharjah, criticised the insurance sector for not supporting the government’s Emiratisation plan to hire more Emiratis, blaming the lack of government’s intervention.
Dr Al Mutawa put a question to Al Mansouri in his capacity as chairman of the Insurance Authority to identify why Emiratis are not being employed in the insurance sector and draw up a strategy to tackle the issue.
Authorities had named 2013, The year of Emiratisation to promote job opportunities in the private sector and improve technical skills of the working population.
Al Mutawa said with the investments of insurance companies totalled Dh40 billion last year, it is not acceptable that only 8 per cent of more than 10,000 workers are Emiratis.
The member also raised the issue of fake Emiratisation, where citizens are employed on paper only or in low-level management.
Al Mutawa said Emiratisation efforts in the insurance industry were falling short, suggesting that the economy ministry should not tolerate “bogus Emiratisation”, in which citizens are being hired only on paper to allow companies to meet quotas set by the Government.
“Targets for Emiratisation in the insurance industry was 15 per cent in 2003, to be increased by 5 per cent on a yearly basis. Now, after more than 12 years, Emiratis are no more than 8 per cent,” Al Mutawa said.
The UAE government has been keen to attract more of its citizens to the private sector to diversify the economy and ease pressure on state finances.
Members of the FNC have repeatedly demanded Emiratisation quotas be introduced in all private companies and salaries should be subsidised by the government.
A recent report by the House said Emiratisation efforts lack strategic planning, tangible results and coordination between various organisations in charge of employment and training of job seekers.
There are 3.8 million jobs in the private sector, of which at least 800,000 jobs can be filled by citizens. But just 20,000 to 30,000 Emiratis are employed in private businesses, while the line of job seekers is constantly growing, according to the report.
Preference for public sector jobs and a lack of awareness about long-terms prospects within the insurance sector are making it difficult for UAE insurance companies to attract UAE national candidates in enough numbers, industry sources confirmed.
