1

Submitted in partial fulfilment of the requirement of the degree

of Master of Business Administration of the University of

Strathclyde

THE UNIVERSITY OF STRATHCLYDE

DEPARTMENT OF MANAGEMENT

Julian Eynon & Karen Ryan

2011 McNab

Hugh Livingstone

2

Acknowledgements

We would like to thank Hugh Livingstone of the University of Strathclyde Business School for

his support and guidance in supervising this project; Essa AlMulla, Executive Director of

National Workforce Development for sharing the data collected from the Emirates National

Development Programme (ENDP) Retention Sectors Report, 2008; the Human Resources

managers who found the time in their busy schedules to be interviewed; the faculty staff at

the Higher Colleges of Technology (HCT) Dubai Men�’s and Dubai Women�’s Colleges who gave

their time and support with the HCT research application process and in meeting our research

sample targets; the HCT research committees for granting approval to conduct the survey; the

HCT teachers who administered the survey in class time and the students that completed the

survey; our respective organisations, Cambridge University Press and the British Council for

their flexibility and support in granting study leave during this busy period of the year.

3

Statement of Academic Honesty

We declare that this dissertation is entirely our own original work.

We declare that, except where fully referenced direct quotations have

been included, no aspect of this dissertation has been copied from any

other source.

We declare that all other works cited in this dissertation have been

appropriately referenced.

We understand that any act of Academic Dishonesty such as plagiarism or

collusion may result in the non award of a Master�’s degree.

Signed �…�…�…�…�…�…�…�….�…�…�… �…�…�…�…�…�…�…�….�…�…�…

Julian Eynon Karen Ryan

Dated �…�….�…�…�…�…�…�…�…�…

4

Abstract

This research project sets out to explore the gaps that appear to exist between the attitudesand expectations of host country nationals, and the HR strategies and practices currently inplace pertaining to workforce localisation programmes in private sector companies in theUnited Arab Emirates.

Primary data was collected through an online survey of final year UAE national students inDubai and through semi structured interviews with HR managers in private sectororganisations. Secondary data was also included through the analysis of results of a survey intothe reasons for UAE nationals resigning from corporate positions in various UAE based privatesector organisations.

The results yielded rich insights into UAE nationals�’ awareness of employment opportunities inthe private sector, their attitudes, values and priorities towards employment, and how thisrelates to the HR �‘best practice�’ that contributes to the successful employment of UAEnationals in private sector organisations. The research revealed the need for organisations inthe private sector to keep pace with the basic requirements of UAE national employees, whileat the same time focussing on developing a powerful offer in terms of learning anddevelopment, long term career management and opportunities for promotion. The researchfurther suggests that the future success of Emiratisation initiatives may be dependent on theability of organisations to foster greater levels of organisational commitment among theirEmirati employees. A final insight to emerge was the strongly expressed desire on the part ofUAE nationals for training on working in diverse teams.

Research limitations included concerns about the relevance of our study to the wider UAEcontext, the size and make up of our sample populations, as well as methodology concernsassociated with possibility of �‘acquiescence bias�’ resulting from the use of Likert scales.

Directions for future research include the further exploration of the high priority given to thework goals, �‘opportunities to learn new things�’ and �‘interpersonal relations�’, while a furtherarea would focus on the need for diversity training for UAE national employees. Finally, datacollection in the other GCC countries would yield further interesting insights into otherregional localisation initiatives.

This study is valuable as there has been no previous research linking the attitudes andexpectations of UAE nationals with the HR practices and polices currently in use in UAE privatesector organisations.

Word Count: 23,983

5

Table of Contents

1. Introduction .......................................................................................................................... 8

1.1 Historical background to the UAE labour market ....................................................... 9

1.2 Emiratisation initiatives in the UAE private sector.................................................... 11

1.3 Education and Emiratisation ..................................................................................... 16

1.4 Research objectives ................................................................................................... 17

1.5 Personal learning objectives...................................................................................... 19

2 Literature Review................................................................................................................ 21

2.1 Culture ....................................................................................................................... 21

2.2 Values and attitudes.................................................................................................. 25

2.2.1 Personal values...................................................................................................... 25

2.2.2 Attitudes................................................................................................................ 27

2.3 Motivation and job satisfaction................................................................................. 28

2.3.1 Content theories of motivation............................................................................. 29

2.3.2 Process theories of motivation ............................................................................. 31

2.4 Diversity and affirmative action ................................................................................ 34

2.5 Training and development ........................................................................................ 36

3 Methodology....................................................................................................................... 40

3.1 Methodological approach ......................................................................................... 40

3.1.1 Self administered questionnaires ......................................................................... 40

3.1.2 Semi structured interviews................................................................................... 44

3.2 Analytical strategy ..................................................................................................... 45

3.2.1 Questionnaire data ............................................................................................... 45

3.2.2 Semi structured interview data ............................................................................ 47

3.2.3 Retention sectors report data............................................................................... 47

4 Findings ............................................................................................................................... 48

4.1 Research objective 1.................................................................................................. 49

4.2 Research objective 2.................................................................................................. 51

6

4.3 Research objective 3.................................................................................................. 61

4.4 Research objective 4.................................................................................................. 64

5 Discussion............................................................................................................................ 74

6 Conclusion........................................................................................................................... 80

6.1 Limitations of this study ............................................................................................ 80

6.2 Directions for future research ................................................................................... 81

6.3 Personal learning and reflection ............................................................................... 81

6.3.1 Substantive learning.............................................................................................. 82

6.3.2 Methodological learning ....................................................................................... 82

6.3.3 Processual learning ............................................................................................... 83

6.3.4 Self knowledge...................................................................................................... 84

7 Appendices.......................................................................................................................... 85

7.1 Appendix 1: Survey questionnaire............................................................................. 85

7.2 Appendix 2: Survey results raw data ....................................................................... 92

7.3 Appendix 3: HR manager interview framework ...................................................... 102

7.4 Appendix 4: HR manager interview transcripts....................................................... 104

7.4.1 Interviewee A ...................................................................................................... 104

7.4.2 Interviewee B ...................................................................................................... 110

7.4.3 Interviewee C ...................................................................................................... 115

7.4.4 Interviewee D ...................................................................................................... 122

7.5 Appendix 5: ENDP Retention Sectors Report .......................................................... 132

7.6 Appendix 6: Blue sky................................................................................................ 138

7.7 Appendix 7: Typical data analysis sheets ................................................................ 139

8 References ........................................................................................................................ 141

7

List of Figures and Tables

Figures PageFigure 1.1 UAE labour market segmentation 10Figure 2.1 Maslow�’s hierarchy of needs 29Figure 4.1 Respondents�’ programme of study by gender 4.8

Figure 4.2Mean ratings of attitudes to the public versus private sector, bywork placement experience

50

Figure 4.3 Employment sector intentions 51Figure 4.4 Employment sector intentions by work placement experience 52Figure 4.5 Starting salary expectations by programme of study 53Figure 4.6 Attitudes towards salary and pay rises 54Figure 4.7 Hours per week that respondents expect to work (%) 54Figure 4.8 Expected working hours per week by gender 55Figure 4.9 Attitudes towards fixed versus flexible working hours by gender 55Figure 4.10 Attitudes to career management, training, coaching, and mentoring 57

Figure 4.11Means ranks of 11 work goals for UAE and five countries fromHarpaz�’ s 1990 study

58

Figure 4.12 Attitudes about the importance and nature of work by gender 60Figure 4.13 Attitudes to diversity: mixed versus single gender teams 61Figure 4.14 Attitudes to diversity: nationality of line manager 61Figure 4.15 Attitudes to diversity: mixed nationality versus Emirati only teams 61Figure 4.16 Attitudes to training on working in diverse teams 62Figure 4.17 Turnover rate per sector (ENDP Retention Sectors Report, 2008) 69

Figure 4.18Reasons for resignation �– Trade sector (ENDP Retention SectorsReport, 2008)

70

Figure 4.19Reasons for resignation �– Hospitality sector (ENDP Retention SectorsReport, 2008)

70

Figure 4.20Reasons for resignation �– Banking & Finance sector (ENDP RetentionSectors Report, 2008)

71

Figure 4.21Reasons for resignation �– Insurance sector (ENDP Retention SectorsReport, 2008)

71

Figure 4.22Reasons for resignation �– Real Estate sector (ENDP Retention SectorsReport, 2008)

72

Tables PageTable 4.1 Attitudes to the public versus private sector 50Table 4.2 Employment sector intentions by work placement experience (%) 52

Table 4.3Minimum starting salary (AED) that respondents expect from theirfirst job

53

Table 4.4Summative data of responses to training, development and careerprogression statements

56

Table 4.5 Intra country ranking of work goals 59Table 4.6 Intra country ranking of work goals �– men and women 60

8

1. IntroductionThe purpose of this project is to explore the gaps that appear to exist between the attitudes

and expectations of host country nationals, and the HR strategies and practices currently in

place pertaining to workforce localisation programmes in private sector companies, both

foreign and locally owned, in the United Arab Emirates.

Workforce localisation, defined as �‘the extent to which jobs originally filled by expatriates are

filled by local employees who are competent to perform the job�’ (Selmer, 2004, p.1094), has

emerged as a key strategic objective for all Gulf Cooperation Council (GCC) countries in recent

years. However, the success of government initiatives has varied widely across the region. In

the United Arab Emirates (UAE) in particular, efforts to localise or �‘Emiratise�’ the private sector

have met with limited success.

One of the primary reasons for this lack of success appears to be the failure of private sector

organisations to attract and retain Emirati graduates by providing a working environment and

reward package that is suitably attractive to their cultural requirements and employment

expectations.

Historically, UAE nationals have favoured public sector employment but this sector is now

saturated. At the same time it has become clear that the future economic viability of the UAE

as a whole, and Dubai in particular, will be determined by economic growth and related

opportunities in the private sector and if UAE nationals are excluded from participating in this

sector, they run the risk of becoming increasingly marginalised in their own country.

In an attempt to counteract this situation, the UAE government has made the employment of

nationals in the private sector a strategic priority and private sector organisations have

responded by putting in place �‘Emiratisaton programmes�’ to attract and retain UAE national

workers. Despite these initiatives however, the current literature suggests that UAE nationals

continue to show a preference for the public sector and for those nationals who do choose to

enter private sector organisations, retention is a real challenge.

Previous research suggests that a number of minimum requirements must be in place for

Emirati jobseekers to be successfully employed in the private sector (Fernandes & Awamleh,

2006; ENDP Retention Sectors Report, 2008, unpublished, see Appendix 5). However, the

9

relative importance of these factors has not been fully investigated. Our assumption is that any

such investigation will have important implications for HRM practice and policy in UAE based

private sector organisations.

As managers working in the education sector in the GCC region �– one of us in UAE public sector

education reform, and the other in educational publishing and previously in training contracts

for the British Council we both have a professional interest in education related issues of

significance to the UAE, and both have experience of working on Emiratisation programmes. In

the mid 2000s we were involved in Emiratisation training programmes which included English

and workplace skills for school leavers, graduate training programmes for locally owned banks,

and training and work placement for visually impaired job seekers.

Moreover, reflecting on the MBA experience up to now, we both found theManaging People

in Organisations (MPIO)module and the International HRM elective to be two of the most

engaging and interesting areas of the course. Therefore, in addition to our own particular

professional reasons, we both view the project as an opportunity to explore in more depth,

theories of culture, values and attitudes, motivation and job satisfaction, diversity and

affirmative action, and training and development, as they relate to HRM in the GCC, and the

United Arab Emirates in particular.

Following on from our interests in these areas, this research project sets out to explore the

perceptions and attitudes of final year UAE national students towards employment in the

private sector and will investigate the range of HRM practices and initiatives that are

commonly adopted by private sector organisations to attract and retain UAE national workers.

To familiarise the reader with the context for this study, this chapter will provide a brief

overview of the socio and geo political circumstances that have created the unique

population and labour market demographics of the UAE. It will then outline the Emiratisation

strategies that the UAE government has pursued in education and the economy. This

discussion will also highlight the challenges that the government and private sector companies

have faced in their efforts to Emiratise the workforce.

1.1 Historical background to the UAE labour marketThe United Arab Emirates is a young nation, having been formed in 1971 when the British

withdrew their administrative presence from the lower Gulf region. Like the other member

countries that now make up the Gulf Cooperation Council (GCC) �– Oman, Bahrain, Saudi

Arabia, Kuwait and Qatar, the UAE has experienced phenomenal economic, political and social

change since the discovery of oil in the 1950�’s. Prior to this, the UAE was a collection of small,

desert sheikdoms with a long history of trade with the Indian subcontinent and Iran, but with

most of the population engaged in either camel herding, fishing or pearl diving. From a

sociocultural perspective, the participation of women in these activities was seen as

incompatible with Islamic tradition, and so women were largely restricted to domestic duties

(Randeree, 2009, p.71).

As oil revenues poured in from the 1960�’s onwards, the UAE experienced rapid economic

growth and development and started drafting in expatriate workers (primarily from the Indian

subcontinent) to fill the shortage that existed in the supply of local labour �– both in terms of

physical numbers and also in terms of necessary skills. Davidson describes the result of this

open door policy as follows:

�‘�…this influx continued unabated until the 1990s, leaving the indigenous �‘locals�’ a minority in

their own country and, as most would agree, rendering them totally reliant on the millions of

foreigners who have built and continue to build the UAE�’ (Davidson, 2005, p.144 145).

Today, expatriates are estimated to make up 86.6 per cent of the total population of the UAE

(Shaheen, 2011). This reliance on expatriates has also influenced the way in which the UAE

labour market is segmented, with expatriate workers making up the major proportion of the

working population, as shown in Figure 1.1 below.

Figure 1.1 UAE labour market segmentation

Source: Tanmia (2006) www.tanmia.ae

10

11

With expatriate workers filling the millions of jobs that were created as the UAE economy

developed and expanded, UAE citizens were instead assigned lucrative public sector positions

in the UAE bureaucracy. In the view of Forstenlechner and Rutledge (2010), this �‘social

contract�’ or �‘ruling bargain�’ is the main reason why the UAE labour market is today segmented

in such a way that the private sector is dominated by expatriate workers, while UAE nationals

show a marked preference for employment in the public sector. As they explain:

�‘For it is the way in which oil wealth has been historically distributed that has led to a situation

in which nationals choose to remain unemployed until they obtain a government job. It is the

primary transmission mechanism of the social contract �– the provision of well remunerated

public sector jobs �– that, albeit unwittingly, has caused GCC labour markets to become so

highly segmented�’ (Forstenlechner and Rutledge, 2010, p.38).

Employment in the public sector has been made all the more attractive to nationals because

public sector jobs provide salaries several times higher than those in the private sector and

convey an array of benefits. In recent years, the situation has been further exacerbated by the

Ministry of Labour raising the pay of Emirati public sector employees by as much as 70 per

cent, while private sector salaries have either seen slight increases or none at all (Al Qassemi,

2010). As Forstenlechner and Rutledge point out:

�‘This was ill conceived, primarily because it has further exacerbated the public/private sector

pay discrepancies. Such increases will make graduated nationals all the more determined to

hold out for a government job�’ (Forstenlechner and Rutledge, 2010, p.41 42).

Despite public sector employment serving for so long as the key component of the UAE�’s social

contract mechanism, it is an arrangement that cannot last indefinitely. With a dramatically

increasing young population, i.e. the 2005 census found that 51 per cent of nationals are

under the age of 19 and 26 per cent are under the age of nine (UAE Yearbook 2010, p198),

the public sector simply cannot absorb all new UAE national entrants to the labour market. The

cost would be prohibitive and would very quickly cause a serious fiscal deficit. Accordingly, to

address the economic imperative of providing UAE citizens with gainful employment, the UAE

government has made Emiratisation of the private sector a key domestic priority.

1.2 Emiratisation initiatives in the UAE private sectorThe term Emiratisation emerged only in recent years, but localisation of the workforce dates

back to the 1930s when foreign firms were granted oil concessions and the contract with the

local ruling sheikhs included a commitment to train and employ UAE nationals (Davidson,

12

2005, p150 1). In the 1990s, as increasing numbers of young Emiratis began to enter the

labour market and the threat of increasing national unemployment loomed, a more

comprehensive �‘Emiratisation�’ policy emerged (Kapiszewski, 2000, p.33). As Alserhan et al

attest, this was the �‘first major systematic approach to human resource management

regulation implemented by the government�’ (2010, p.46). The initiative was also driven by

concerns about the over reliance on foreigners which as Davidson explains, �‘although not an

official aim of the Emiratisation process, there is little doubt that it has also been seen as an

increasingly necessary preventative check on the perceived cultural and religious erosion

resulting from the massive influx of expatriates�’ (Davidson, 2005, p.149).

Emiratisation initiatives have broadly covered the areas of education, national identity,

training and human resource development (Elhussein and Elshahin, 2008, p.85). A major

initiative was the formation of the countrywide National Human Resource Development and

Employment Authority (Tanmia) in 1999, which was described by Forstenlechner as a

�‘milestone in the period of stronger government regulation of human resource management in

the private sector,�’ (2008, p.83). Tanmia commissions research, advices the government on

policy, and has spearheaded a comprehensive programme of workplace training and

placement for UAE nationals in the public and private sector.

Within the private sector, Emiratisation policies have primarily focused on imposing

employment quotas on target business sectors with companies facing financial and non

financial penalties for non compliance (Godwin, 2006, p.9). One of the first, introduced in

1999, required the banking sector to Emiratise at four per cent per year. Then in 2001, a 5 per

cent quota was imposed on the insurance sector (Al Ali, 2008), and later, two per cent on

trading companies with more than 50 employees (Randeree, 2009, p77). A very recent

regulation has introduced fifteen per cent Emiratisation across all large companies regardless

of the sector (Gulf News, 7 December 2010).

Apart from quotas, certain job roles have been targeted for Emiratisation. In 2006 a regulation

decreed that all HR manager positions had to be Emiratised within 18 months, and no new or

renewed work visas would be issued for expatriate secretaries (UAE Yearbook, 2007, p.220).

Similarly companies with over 100 employees are now obliged to have an Emirati government

relations officer (Al Sadafy, 2011).

Other initiatives have included restricting the number of work permits issued for expatriate

workers (Rees et al, 2007), job design strategies that require employers to review shift

13

patterns (Rees et al, 2007), and the introduction of a law mandating that Emiratis can only be

dismissed for serious misconduct (Hassan, 2010).

Private sector companies that have responded to the call for Emiratisation include those

affected by quotas, such as banks, but also many locally owned (many of which are partly

government owned) and multinational companies. To support their Emiratisation

programmes, some companies have forged links with one or more of the federal higher

education institutes, whom they engage by attending career fairs, providing work placements,

or sitting on skills councils. Another, possibly complementary, initiative is to employ the

services of one of the government bodies, such as Tanmia, ENDP and Tawteen, that advise on

HRM issues, assess and provide training, and facilitate placement and integration of UAE

nationals into private sector positions. Companies that hire larger numbers of UAE nationals,

such as banks, have also designed specific training programmes for UAE school leavers or

graduates, and some companies have opted to introduce distinct HR policies and practices for

their UAE national workforce. The last few years have also seen the appearance of HR forums

that focus on aspects of managing UAE nationals and which offer HR managers a platform to

showcase their Emiratisation programmes and to exchange insights and best practice.

On the whole however, these measures have met with limited success. In contrast with the

public sector, which achieved 61 per cent Emiratisation in 2009 (Qabbani and Shabeen, 2011a),

Emiratis in the private sector hold less than 1 per cent of the jobs (UAE Yearbook, 2009, p.209).

UAE national unemployment is also at its highest in its 38 year history (Al Qassemi, 2010) at

12.9 per cent, rising to 23.1 per cent among 15 to 24 year olds (Qabbani and Shabeen, 2011b).

Seemingly, the most successful of the Emiratisation initiatives has been the quotas imposed on

the banking sector, with one bank, Sharjah Islamic Bank, having achieved fifty per cent

Emiratisation by early 2007 (Randeree, 2009, p8). However, most other banks are �‘nowhere

near the ambitious targets of 50 per cent Emiratisation rate by the year 2008�’ (Alserhan et a,

2010, p.47). It has also been reported that in some cases figures do not necessarily reflect

genuine employment of Emiratis; �‘Despite many banks achieving the commendable level of

over 20 per cent Emiratisation in 2005, financial sector officials often admit that much of this

national workforce is employed in menial or created positions so as to meet quota numbers�’

(Oxford Business Group, 2006). The churn rate is also reportedly high, with unofficial estimates

at 40 per cent (AMEInfo, 2007, cited in Forstenlechner, 2008).

14

The insurance sector had only achieved 5.3 per cent Emiratisation by 2007, with the reason

given that the sector was unattractive to nationals (UAE Yearbook, 2008, p.218), and there has

been little mention of this sector in recent years.

The Emiratisation of specific job roles seems to have been largely unsuccessful. UAE Prime

Minister and Ruler of Dubai, HH Sheikh Mohammed bin Rashid Al Maktoum, said that such

initiatives �‘were not successful because they ignored reality as well as the nation's priorities.

One such decision was Emiratising secretarial jobs. As important as secretarial jobs are, and all

jobs are important, we need to have UAE nationals in more important roles and responsibilities�’

(Salama, 2009). He went on to stress the need for real and effective Emiratisation, based on

UAE nationals�’ priorities.

Thus, despite the UAE government�’s commitment to the pursuit of Emiratisation, the

endeavour has not met with the success that was hoped for. As Kasim Randeree makes clear,

�‘the policy has been dogged with difficulties in implementation from its inception as it faces

seemingly insurmountable hurdles�’ (Randeree, 2009, p.1).

These hurdles or barriers to Emiratisation can be considered from the perspective of

government intervention, the response from private sector companies and the orientation and

attitudes of UAE nationals themselves.

With regards to government policy, Forstenlechner describes the confusion that has resulted

from frequent changes to the rules and regulations, and also highlights the government�’s

failure to enforce the measures (2010, p.139), whilst Rees et al assert that there is no clear

national framework, and that responses from companies have consequently been fragmented

and piecemeal (2007, p.39).

Clearly with UAE nationals making up less than 1 per cent of the private sector, the response to

the call for Emiratisation from private sector companies has been disappointing, and indeed, it

is worth noting that for companies unaffected by quotas, Emiratisation is voluntary. One Gulf

localisation expert summarises the situation by saying that, �‘response to directives has usually

been to resist and if pushed hard by governments, to undertake small scale programmes�’

(Harry, 2007, p.143). For many companies required to fulfil quotas, the policy is just seen as a

form of taxation (Godwin, 2007; Al Waqfi and Forstenlechner, 2010) with fines for non

compliance being �‘so negligible that it is far less costly to pay them than it would be to hire and

train nationals�’ (Forstenlechner 2010a, p.43). One Emiratisation consultant recently

15

interviewed acknowledged that �‘there are employers who are not totally committed to

Emiratisation and apply what we call window dressing and ghost employees to fill the quotas�’

(Shaheen, 2010). Alternatively, companies can move into the free zones where they are

exempt from quota regulations (Oxford Business Group, 2006).

The reason for such resistance may be that, as Forstenlechner contests, neither practitioners

nor academics consider localisation in the Middle East to confer any advantage for

organisations, with the only benefits upheld by empirical evidence being that of gaining

legitimacy and goodwill with government and the ruling class (2010b).

Moreover, the range of obstacles that can face companies pursuing an Emiratisation agenda is

extensive. These can include a lack of applicants (Sekhri, 2010), the high reservation wages

expected by UAE nationals (Harry, 2007; Fasano and Goyal, 2004) which can be at least three

times that of expatriates (Alserhan et al, 2010), educational standards and skills gaps including

English fluency levels (Al Ali, 2007; Harry and Collings, 2006), lack of top management

commitment (Rees et al 2007), resistance and even sabotage on behalf of expatriates who are

threatened (Rees et al 2007), and negative stereotypes regarding UAE nationals�’ work ethic,

(Rees et al 2007; Forstenlechner, 2008).

Retention of UAE nationals can also be a problem. A recent study cited in the UAE Yearbook

found that around 10 per cent of UAE nationals resign each year due to problems in the

workplace. The most common reasons cited included low wages, lack of training and

development opportunities, negative stereotyping of locals, and a lack of trust between

employees and employers (UAE Yearbook 2009, p.210). Similarly, a Tanmia survey of UAE

nationals working in the private sector revealed that there was widespread dissatisfaction, but

respondents who did report job satisfaction cited good career progression and opportunities

for promotion as reasons (UAE Yearbook, 2005, p.229 230).

For UAE nationals, certain aspects of private sector employment are unacceptable. There are

cultural barriers to jobs that are seen as menial, for example those requiring physically

demanding work (Al Ali, 2007) or cash handling and customer service jobs (Harry and Collings,

2006); long working hours, low remuneration; poor training opportunities, lack of career

structure (Al Ali, 2007), and cultural diversity (Freek, in Al Ali et al, 2008) are also disincentives.

In fact, the private sector can be so unattractive that reportedly �‘nationals are willing to forgo

the �‘going wage�’ and become inactive or voluntarily unemployed�’ (Shediac. and Samman 2010,

p.10).

16

Having briefly discussed the various initiatives adopted by the UAE government in recent years

to encourage the process of Emiratisation in the private sector, we will now provide an

overview of the current state of education in the UAE and its links to Emiratisation policy.

1.3 Education and EmiratisationAs recently as 1962, the UAE had only 20 schools (Randaree, 2009, p.79). There are now 1190

public and private schools (Melly, 2010), over 50 public and private higher education institutes,

and a number of vocational colleges (UAE Yearbook, 2010).

All UAE nationals are entitled to a free education in the public school and higher education

system. The public education system is gender segregated, and at the tertiary stage admits

only UAE nationals. Of the three federal higher education institutions, the network of Higher

Colleges of Technology (HCT), which offers a technical and employment focused education, is

the largest HE institution in the country with 18,000 students enrolled in the 2010 11 academic

year (�‘Nahyan bin Mubarak opens HCT's 23rd conference�’, 2010). Instruction at all three federal

(and most private) higher education institutions in the UAE is in English.

The government has made the link between Emiratisation and education explicit in its 2021

Vision, with a stated ambition that long term prosperity will be achieved by the UAE becoming

a diversified and flexible knowledge based economy powered by skilled Emiratis; �‘More

Emiratis will enter higher education, where they will enrich their minds with the skills that the

nation needs to fuel its knowledge economy. Universities will listen closely to the needs of

Emiratis and of their future employers, and will balance their teaching to the demands of the

workplace�’ (UAE Vision 2021, pp18 20).

However, despite several years of school reform, the system mostly fails to equip UAE citizens

with the skills needed for the workplace or to enter tertiary education (Muysken and Nour,

2006). Standards in science and maths fall well below international benchmarks as evidenced

by the 2007 TIMSS results (Lewis, 2009) and low levels of English language attainment result in

most Emiratis admitted into higher education requiring at least one foundation year before

starting their chosen course of study (UAE Yearbook, 2010, p.205). Furthermore, a recent

consultancy report by Booz and Co identifies a dearth of science and engineering graduates,

compared to an excess of social science and humanities graduates, which �‘has contributed to a

17

quantitative and qualitative skills gap among UAE nationals�’ (Shediac and Samman, 2010, pp7

14).

With the UAE�’s increasing national unemployment and young demographic, government policy

is focused on encouraging more Emiratis to enter the private sector (Fitch and Shaheen, 2010)

and related to this, it has emerged from some as yet unpublished research by Forstenlechner

that better careers advice could help boost Emiratisation of the private sector. He says the

research indicates that, �‘some students don't know about the private sector, not even in theory.

There are Emirati families where the entire family works in the public sector,�’ (Moussly, 2011)

and �‘telling people at a much younger age what career options they have would by itself have

an impact on their willingness to work in the private sector�’ (Fitch and Shaheen, 2010).

Whilst the public school system provides little or no career guidance, greater awareness of the

private sector should exist in higher education institutions who provide career counselling and

host annual careers fairs. Moreover, Zayed University and HCT organise two month work

placements for final year students, with between thirty to fifty per cent of these being in

private sector companies. Some private sector companies have established links with HE

providers in which they contribute to on going dialogue about instructional content and also

provide work placements for target students. Such collaborations do result in UAE national

hires for these companies (Forstenlechner, 2010a, p.142).

However in 2007, a study at Abu Dhabi Women�’s Higher College of Technology found that only

10 per cent of students expressed an interest in working in the private sector, despite 96.5 per

cent expressing a desire to work (Randeree, 2009, p.78). Now, in 2011, we predict that a shift

in attitude is taking place as students become more aware of the lack of openings in the public

sector and start to heed the messages coming from the ruling elite that Emiratis can make a

contribution to the nation�’s development by working in the private sector.

1.4 Research objectivesThrough this research project, we aim to discover whether a gap exists between the needs and

aspirations of UAE nationals and what the private sector is currently able to offer in terms of

employment opportunities. If a gap is found to exist, we hope to be able to generate new

insights into why this is the case and how private sector organisations might enhance their

ability to attract and retain UAE nationals by reflecting on their current Emiratisation strategy

and perhaps considering the adoption of new strategies and approaches. With these aims in

mind, we have generated the following research objectives:

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Research objective 1

To identify whether an awareness exists among UAE national undergraduates that they will no

longer be guaranteed employment in the public sector.

Research objective 2

To identify UAE national undergraduates�’ expectations, in terms of sector preference, salary,

terms and conditions, training and development, and career progression and to determine

which of these factors they prioritise.

Research objective 3

To identify UAE national undergraduates�’ attitudes to working in diverse working environments

(mixed gender, mixed nationality), and to explore the extent to which diversity in private sector

organisations is a barrier to Emiratisation.

Research objective 4

To explore how the HR practices/policies of private sector organisations have developed to

respond to the culturally determined preferences of UAE nationals and to explore their success

in terms of recruitment and retention.

We opted to generate research objectives in preference to research questions following the

contention of Saunders et al. that �‘research objectives are likely to lead to greater specificity

than research or investigative questions�’ (Saunders, Lewis & Thornhill, 2009, p.34).

To achieve our research objectives, we decided to collect primary data, both on the attitudes

and perceptions of UAE national undergraduates towards work, and on HR practices and

procedures currently in use by private sector organisations with Emiratisation agendas.

We also chose to examine some secondary data collected as part of a UAE government funded

study into the reasons behind the low retention rates among UAE nationals in the private

sector. The study, carried out by the Emirates National Development Programme (ENDP),

surveyed more than 6,000 nationals who had recently resigned from corporate positions in

various UAE based private sector organisations.

As well as adding to the limited volume of scholarly literature that currently exists on the

subject, we also hope our study will identify fruitful areas for further research.

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1.5 Personal learning objectivesOur personal learning objectives for undertaking this project are broadly similar and will

include aspects of all four types of learning, i.e. substantive, methodological, processual and

self knowledge, with the emphasis being placed on the first two.

Substantive learning

To explore the area of Emiratisation with a view to deepening our understanding of how

cultural norms and employment expectations of UAE nationals have affected the

implementation of Emiratisation in the private sector.

First and foremost, we view this project as an opportunity to explore the area of Emiratisation

in greater depth. In terms of its policy and implementation, Emiratisation can be looked at

from a variety of disciplines such as economics, psychology, sociology and cultural studies. This

consideration of Emiratisation from a range of perspectives should yield a rich and complex

theoretical framework. This in turn has the potential to broaden our knowledge and expand

our understanding of theories that are of great relevance to our own practice as managers in

the multicultural and highly diverse working environment of the UAE. We will know that we

have achieved this objective if our literature review coherently draws on a range of theories

such as those related to diversity, motivation and training and can effectively relate these to

the phenomenon of Emiratisation in the UAE and to our specific research questions.

Methodological learning

To gain an understanding of how knowledge can be developed from data by learning how to

research a complex issue through the practical application of data collection and data analysis

techniques.

We view this project as a vehicle for developing skills specific to the selection, design and

execution of effective research tools specifically, self administered questionnaires and semi

structured interviews that facilitate the capture of data needed to explore and meet research

objectives. Equally, we hope to develop a greater understanding of how we can advance our

knowledge through data analysis, by actively reflecting on the processes by which we select,

visually represent and interpret data. We will measure our success at achieving this objective

by considering whether, at the end of the project, we feel confident that we can apply these

skills effectively in our own organisations, where the opportunity arises to use them.

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Processual learning

To reflect on the process of undertaking a Master�’s project and the problems and solutions in

implementing techniques, concepts and theoretical models to assist with the understanding of

a complex issue.

We view the undertaking of this research project as a valuable learning experience that will

present many challenges and pitfalls we will be required to navigate. By the time we come to

submit our completed project, we will have had the opportunity to practise a range of research

approaches, strategies and methods needed to see through the endeavour from beginning to

end from the initial formulation of the research idea, to the final development of our

conclusions and recommendations. We will also have had the opportunity to apply a range of

techniques, concepts and theoretical models, both new and revisited from earlier aspects of

the course.

Self knowledge

To focus on the self knowledge that comes from the experience of working on a research

project of this size and the associated challenges involved.

Karen

As a project manager myself, I would like to reflect on my own strengths and weaknesses and

energy levels throughout the project in order to develop a greater understanding of why

certain aspects of the project particularly motivate me, and how, if at all, I am able to

overcome the more challenging aspects.

Julian

I view the undertaking of this project as an opportunity to enhance my learning in the areas of

organisational culture and motivation theory, which I find fascinating. I also hope that it will

present an opportunity for me to reflect on my strengths and weaknesses as a team member.

Having discussed the unique challenges faced by the various actors involved in efforts to

Emiratise the UAE private sector, and having identified both our research and learning

objectives, in the next chapter we propose to conduct a review of the relevant contemporary

literature as it relates to our research topic.

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2 Literature Review

This chapter examines Emiratisation through a review of the current literature in the following

areas: culture, values and attitudes, motivation and job satisfaction, diversity and affirmative

action, training and development. Within each of these areas, we will discuss some of the main

theories and examples of best practice as they relate to localisation in general, and

Emiratisation in particular.

2.1 CultureThe importance of culture to any study of workforce localisation in the UAE cannot be

overstated. Firstly, an understanding of national cultural is particularly pertinent to the human

resources (HR) function of most UAE based private sector organisations due to the highly

multinational nature of the workforce. It is therefore important that the impact of national

culture and its interaction with organisational culture is accounted for in the practices and

policies of human resource management (HRM). Not only do �‘employees bring their societal

culture to work with them in the form of customs and language�’ but the �‘mixing of societal and

organisational cultures can produce interesting dynamics in multinational companies�’ (Kreitner

and Kinicki, 2007, p.112).

Secondly, and with particular relevance to this study, UAE nationals are a minority in their own

country and have only recently been integrated into the private sector, where they are even

more underrepresented. With UAE culture characterised by a traditional, conservative, and

tribal society, it can be a challenge for UAE nationals to adjust to a multi cultural and diverse

workplace, and to regulations and standards that can be as foreign to them as their

multinational colleagues and managers. This unique situation, shared arguably only with other

GCC countries, reverses the findings of immigration theory so that instead of new immigrants

needing to adapt and acculturalise to a host country, it is UAE nationals who have become

foreigners in their own country (Al Waqfi and Forstenlechner, 2010, p.375).

Culture can be defined as �‘values, attitudes, meanings, beliefs, and ways of acting and

interacting that are learned and shared by a group of people over a period of history and are

often taken for granted as reality by those within the �‘said�’ culture�’ (Glazer 2008, p2). As a

result of the different types of survival challenges that communities have faced over the

course of their history, and which have impacted upon their collective learning, distinct

cultural differences are observed to exist between different societies (Javidan & House, 2001,

pp292 293).

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Within business practices and the study of organisational behaviour in particular, there is a

large body of theory and research which has focused on the effects of culture. However, as

Kreitner and Kinicki point out, the domain of culture can be a challenge to penetrate and study

because it is multilayered and its effects are often unconscious, but that nevertheless, �‘one

cannot afford to overlook relevant cultural contexts when trying to understand and manage

organisational behaviour�’ (2007, p.109). However, this comes with a caveat from Glazer, who

says that �‘as scholars in pursuit of generalizing human behaviour in the workplace, it is

important to maintain a respectable level of scientific analysis, if only by giving a priori

hypotheses and explanations as to why theories or relationships should or should not be found�’

(Glazer, 2008, p.24).

With this advice in mind, we will draw on the extensive cross cultural work of Geert Hofstede

in order to explore the culture of the UAE and its workplace. It should be pointed out that

there has been very little research into culture related business issues in the Middle East with

which to support Hofstede�’s work. A review of articles appearing in the Journal of Business

Studies from 1990 �– 1999 discovered that less than 1 per cent focused on the region

(Robertson et al, 2001, p.224).

Hofstede�’s (1980) seminal study, Culture�’s Consequences, which he conducted with employees

from 66 nationalities at IBM, including a grouping of seven Arab countries, resulted in a

conceptual framework comprising of five cultural dimensions; power distance, uncertainty

avoidance, individualism,masculinity, and in his later study (1994a), long term orientation.

These dimensions are said to �‘capture the universality of social behaviour within the work

context�’ (Klein et al, 2009, p.47).

Hofstede�’s Arab group comprised of three countries from the Gulf region, including the UAE,

and four other Arab countries. This arguably broad set of Arab countries led Robertson et al to

comment that this �‘grouping of Middle Eastern countries into one homogeneous group serves

as a cultural panacea for the problem of understanding diversity in this region�’ (2001, p.230).

Whilst there is certainly some truth to this analysis and despite the research now being quite

old and culture arguably not a static phenomenon, Hofstede�’s descriptions can still provide

some useful insights into prominent aspects of UAE culture. Furthermore, while the country

has witnessed huge economic and social changes in recent years, �‘the very essence of

traditional society; religion, language, family and tribal affiliations, remain constants�’ (UAE

Yearbook, 2004, p.43).

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We now propose to discuss three of Hofstede�’s dimensions in turn; power distance,

uncertainty avoidance, and individualism. We will not considermasculinity as the Arab

countries score was in the middle of the spectrum, and nor will we discuss long term

orientation as the Arab countries were not measured on this dimension (2001, p.256).

The first dimension, power distance, refers to the extent to which the less powerful members

of society accept and expect power to be distributed unequally. Arab countries scored highly

on this dimension, with a score of 90, which ranked 7th out of 53 countries. Politically, the

strong top down authoritative structures of the Middle East have been coined as Bedo

aucracies or Sheikocracies (Kassem & Habib, cited in Robertson, 2001, p.227). In the UAE the

government is based on a feudal political structure whose representatives are chosen by the

ruling families. As one observer has noted, �‘this leaves the entire UAE population powerless to

influence the direction of their own country�’ (Godwin, 2006, p.4). However, in keeping with

Hofstede�’s definition, the population is supportive of the power distance; a recent article that

interviewed UAE nationals about the revolutions in Tunisia and Egypt is revealing, with one

UAE national reporting that �‘the government gets its legitimacy from tribal roots. The ruling

families were originally selected by their tribes, a practice that dates back more than 150

years�… they are benevolent and paternalistic�’ and another stating that, �‘we have lived with this

kind of government structure, we are used to it. We treat them like fatherhood. We like their

decisions�’ (Campion Smith, 2011).

Furthermore, in high power distance countries, the more powerful are regarded as superior

persons who are entitled to privileges (Hofstede, 2001, p.97). In the UAE, the �‘social contract�’,

described earlier, results in all UAE nationals receiving privileges over the expatriate

population, such as free housing, exemption from paying housing fees or utilities, and the

imposition of a UAE Nationals Allowance in the workplace. This state of affairs arguably

creates a power distance between UAE nationals and expatriates and there is support for this

idea in the Emiratisation literature. For example, Alserhan et al contend that Emiratisation

policy is �‘not designed or promoted as a diversity management initiative but as a means of

giving Emiratis what is considered �‘rightfully�’ theirs; superior job opportunities with superior

pay�’ (Alserhan et al, 2010, p.45). This would fit with the claim that UAE nationals have �‘come to

see themselves as a natural middle class, and will generally only accept work congruent with

these expectations�’ (Mashood et al, 2009). This attitude, no doubt also bolstered by the

privileges that UAE nationals receive in public sector jobs, has created a widespread sense of

24

entitlement which has affected expectations and attitudes of a younger generation of

jobseekers (Al Waqfi and Forstenlechner, 2010).

Moreover, individuals in high power distance cultures tend to display their power in visible

signs of status (Hofstede, 2001, p.105). In the UAE, particularly Dubai and Abu Dhabi, status is

very evident in the skylines, palatial villas, cars and designer labels, the assertion that

�‘nationals don�’t really need the money but they need the image of having a highly paid job�’ (HR

Manager quoted in Forstenlechner, 2010b, p.145) rings true. Such observations of UAE culture

caused us to incorporate questions into our undergraduate survey about salary expectations

and the value respondents place on the status symbols of having their own office and parking

space.

The second of Hofstede�’s dimensions is uncertainty avoidance, defined as �‘the degree to which

people in a country prefer structured situations �… in which there are clear rules as to how one

should behave�’ (Hofstede, 1994b, p.5) . Arab countries scored 68 which is high for this

dimension and which implies a low tolerance for uncertainty and ambiguity. Some of the

characteristic traits include a need for job security; lower ambition for advancement; a

tendency to avoid competition among employees, a preference for group rather than

individual decisions, a dislike of working for a foreign manager, and resistance to change

(Hofstede, 2001, p.153). Further support for the importance of job security was evident in a

study into religious beliefs, which revealed that for Muslims, the most important work related

value was continuity, expressed in a desire for a stable environment, job longevity and a

reduction of uncertainty (Kreitner and Kinicki, 2007, p.122 3).

A more recent, UAE based study by Stephanie Jones (2008) draws on Hofstede�’s power

distance and uncertainty avoidance dimensions to explain the behaviour of a group of UAE

national bank trainees, when faced with theoretical conflict scenarios. The study revealed that

the trainees overwhelmingly selected avoidance and compromising behaviours rather than the

competitive and collaborative modes that require greater problem solving, creative thinking

and taking responsibility, all of which the author says are at odds with the uncertainty

avoidance culture and its need for detailed guidance and instructions. Furthermore, whilst

engaged in the exercise itself, the trainees were observed exhibiting uncertainty avoiding

behaviours such as, �‘seeking approval from others for their choices, depending on others for

opinions, following the path of which was the most conventional approach, and avoiding

making decisions at all�’ (Jones, 2008, p.55). She also argues that the high power distance

political structures of the Middle East create disempowerment, which manifests itself in such

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workplace behaviours as the need for self preservation, avoidance of making mistakes or

accepting blame. In dealings with customers or co workers this can lead to �‘an aversion to

exercising, valuing or enabling discretionary workplace attitudes and behaviors�’ (p.50).

The third of Hofstede�’s dimensions is individualism, as opposed to collectivism. Arab countries

scored 38 on this dimension, thus placing them among the collectivist societies in which

�‘people from birth onwards are integrated into strong, cohesive in groups which throughout

people�’s lifetime continue to protect them in exchange for unquestioning loyalty�’ (Hofstede,

2001, p.225). In the UAE, the extended family, led by the eldest male, is the strongest and

most cohesive unit of UAE society (Peck, 1986, p.64). For Hofstede, there is a crucial distinction

between the �‘in group�’ and the �‘out group�’ for collectivist cultures and it is perfectly

acceptable to give preferential treatment to members of your �‘in group�’ �– this is seen as

natural, ethical and good business practice (Hofstede, 2001, p.238). Indeed, apart from the

family �‘in group�’, the wider tribal social structure of the UAE means that �‘people are inter

connected socially and are continuously engaged in providing and reciprocating favours�’

(Forstenlechner, 2011, p.5).

2.2 Values and attitudesAs with culture, an understanding of the impact of values and attitudes on workforce

localisation initiatives in the UAE private sector is of central importance. All organisations face

the challenge of attracting and retaining skilled employees and research indicates that,

�‘�…employees are less likely to quit when their personal values are consistent with the

organisation�’s values, when they have positive attitudes about the work environment, and

when they are satisfied with their jobs�’ (Hom & Griffeth, 1995, cited in Kreitner and Kinicki,

2007, p.174).

In the following section we will examine whether the values and attitudes of young adult UAE

nationals share a common bond with the values and attitudes espoused by private sector

organisations operating in the UAE, with a view to assessing their impact on job satisfaction,

performance and retention.

2.2.1 Personal values

Milton Rokeach defined an individual�’s personal value system as an �‘enduring organisation of

beliefs concerning preferable modes of conduct or end states of existence along a continuum of

relative importance�’ (Milton Rokeach, cited in Kreitner and Kinicki, 2007, p.174). According to

26

his model, personal values can be categorised along two dimensions: terminal and

instrumental. Terminal values are desired end states or life goals and include such concepts as,

�‘happiness�’, �‘a sense of accomplishment�’, �‘pleasure�’, �‘salvation�’ and �‘wisdom�’. Instrumental

values, on the other hand, are the various behaviours by which individuals achieve their

desired end states, and include such behaviours as �‘ambition�’, �‘honesty�’, �‘independence�’,

�‘love�’, and �‘obedience�’ (Kreitner and Kinicki, 2007, p.174).

In a recent UAE based study, Fayez Simadi conducted research into whether a common

personal value system exists among young adult UAE nationals (Simadi, 2006). Simadi focused

on six value classes each with a subset of corresponding value aspects (Simadi, 2006, p.177).

UAE national respondents were asked to prioritise the six value classes (along with the

associated value aspects) and the results were as follows:

1. Religious values

2. Cognitive values such as �‘culture�’, �‘success�’, �‘aspiration�’, �‘achievement�’, �‘technology�’

and �‘discovery�’.

3. Political values such as �‘unity�’, �‘nationality�’, �‘freedom�’, and �‘diplomacy�’

4. Aesthetic values

5. Social values such as �‘obedience�’, �‘friendship�’, �‘forgiveness�’, and �‘generosity�’

6. Economic values such as �‘productivity�’, �‘economic mentality�’, �‘planning�’, �‘annual

income�’ and �‘profitability�’

What then, emerges from this enlightening research? First, it is important to recognise the fact

that our personal value systems and behaviour patterns tend to be fairly well set by the time

we are in our teens (Kreitner and Kinicki, 2007, p.174), and so in the case of young adult UAE

national employees, we can confidently assume that their value structures are already firmly in

place by the time they enter the workplace. Next, it is significant that the respondents placed

the least importance on the economic values class, which encompasses the very work values

most prioritised by private sector enterprises. With religious and economic values placed at

extreme ends of the values continuum, along with the associated aspects of �‘charity�’ and

�‘profitability�’, a contradiction and disconnect appears to exist in the work lives of UAE national

employees. Such individual organisation value conflict is seen to occur when an organisation�’s

espoused values conflict with the personal values of its employees. In this situation, a lack of

value congruence or person culture fit is said to exist, which can have an important influence

on factors such as job satisfaction, commitment, performance, career success, work stress and

27

retention (Kreitner and Kinicki, 2007, p. 177). In the case of UAE national employees, this may

partly explain why so many fail to sustain employment in private sector organisations.

2.2.2 Attitudes

Like values, attitudes exert a powerful influence on an individual�’s behaviour at work, although

unlike values, which influence behaviour in all circumstances, �‘attitudes relate only to

behaviour directed toward specific objects, persons, or situations�’ (Kreitner and Kinicki, 2007, p.

182).

Organisational commitment

Organisational commitment is a key work attitude and reflects the extent to which an

individual identifies with an organisation and its goals. Defined as, �‘the totality of internalised

pressures to act in a way that is consistent with the interests of the organisation�’, the

importance of organisational commitment as a determinant of higher organisational

performance and retention has long been noted by organisational theorists (Yavas, Luqmani

and Quraeshi, 2007, p.5). Commitment researchers Meyer and Allen developed a model of

organisational commitment that includes the following three components:

1. Affective commitment. This refers to an employee�’s desire to continue working in an

organisation. This desire will be influenced by the degree of value congruence that

exists between the employee and the organisation and by personal factors, such as

how interesting the work is perceived to be.

2. Continuance commitment. This refers to an employee�’s decision to continue working

in an organisation based on a �‘weighing up�’ of the costs and benefits of leaving �–in

other words, they stay because they need to. In the case of UAE nationals, it is unlikely

that they will stay with an organisation because they need the salary, although they

may be attracted by the perceived benefits to leaving, such as the chance of securing a

less demanding/higher paying position in the public sector.

3. Normative commitment. This refers to an employee�’s decision to continue working in

an organisation based on the nature of the psychological contract they perceive to

exist between themselves and the organisation.

Recent research carried out among UAE based private sector organisations appears to support

this model of organisational commitment by highlighting the relative strength of continuance

commitment exhibited by expatriate, as opposed to UAE national, employees. Their research

discovered that, �‘Foreign workers, arguably, in the face of governmental policies that favour

28

nationals, demonstrate greater levels of commitment to their organizations, possibly due to

higher levels of insecurity�’ (Khan et al, 2010, p.302).

Furthermore, Abdelkarim (2001) has pointed out that the UAE government seems to have

ignored the importance of commitment based work culture, instead relying heavily on

monetary rewards and top down mechanisms as a means of combatting high levels of staff

turnover amongst UAE nationals (Abdelkarim, 2001, cited in Al Ali et al, 2008).

2.3 Motivation and job satisfaction

Effective employee motivation has long been the holy grail of human resource management.

Identifying what motivates people at work goes a long way to explaining the reasons behind

successful individual and organisational performance and as Lester Thurow (1992), observed,

�‘successful companies (and countries) will compete in the future based principally on the

quality of both their technology and their human resources. A motivated workforce becomes a

critical strategic asset in such competition�’ (Steers et al, 2004, p.383).

While the relationship between job satisfaction and motivation is not clear cut (Beech et al,

2001, p.415), it is now generally accepted that such a link does exist; as is the view that

managers can potentially enhance employees�’ motivation through various attempts to create

and/or increase job satisfaction (Kreitner and Kinicki, 2007, p.195).

Motivation theories have been divided into two general categories; content and process

theories. Content theories of motivation focus on identifying internal factors such as instincts

and needs, which serve to motivate employees, whilst process theories focus on explaining

the processes by which these internal factors and cognitive behaviours influence employee

motivation (Kreitner and Kinicki, 2007, p.236).

In this section we will discuss the main motivation theories and will discuss the extent to which

cross cultural differences affect their applicability. As Beech et al (2001) point out, �‘One might

ask whether the theories of motivation derived largely from the United States and Europe are

equally applicable elsewhere in the world?�’ (Beech et al, 2001, p.416). Ultimately, our aim will

be to assess the usefulness of these theories in helping us to understand what motivates UAE

nationals in the workplace in the context of Emiratisation.

2.3.1 Content theories of motivation

Maslow�’s �‘hierarchy of needs�’ theory

In Maslow�’s famous theory, people are motivated by a set of five key needs that people seek

to satisfy. These needs are arranged in more or less a set order, or �‘hierarchy�’, as shown in

Figure 2.1 below, with the more primitive needs at the bottom and the more complex needs at

the top. Only once an individual�’s basic physiological needs are satisfied will safety needs

emerge, and so on up the need hierarchy, until finally self actualisation needs are activated.

Figure 2.1Maslow�’s hierarchy of needs

Source: http://psychology.wikia.com/wiki/Maslow's_hierarchy_of_needs

Although Maslow�’s theory has been widely used it has also been the subject of various

criticisms. One such criticism questioned the motivational value of satisfied needs in Maslow�’s

model by identifying an inherent paradox. If individuals are motivated to attain something they

lack, so the argument goes, then once they achieve it, the source of motivation will be gone

(Beech et al, 2001, p.415).

Application of Maslow�’s model to the UAE context reveals the importance placed by UAE

nationals on satisfying esteem needs. As Dr Tommy Weir of the EM Leadership Centre has

pointed out, �‘there is too much emphasis placed on prestige and position,�’ and �‘the local

culture judges success on a position attained rather than performance in that position�’ (Brooks,

2009).

29

30

Aldefer�’s ERG (Existence, Relatedness, Growth) theory

Alderfer developed another popular content theory of motivation, based on a smaller

hierarchy of core needs. More dynamic than Maslow�’s hierarchy, in that more than one need

can be activated at a time, the ERG theory also includes a �‘frustration regression�’ component,

whereby the frustration of higher order needs can influence the desire for lower order needs

to be satisfied (Kreitner and Kinicki, 2007, p.238). In the context of Emiratisation, it is

interesting to speculate on whether the widely reported demands by UAE national employees

for pay rises and frequent promotions is perhaps more symptomatic of higher order needs (for

example, the need for a clearly defined career path) being frustrated.

Herzberg�’s motivator hygiene factor theory

Herzberg�’s landmark 1950s study identified a number of distinct factors associated with job

satisfaction and dissatisfaction. Satisfied feelings were found to be associated with

achievement, recognition, the characteristics of the work (i.e. level of challenge, variety etc.),

responsibility and career progression, and these he referred to asmotivators. On the other

hand, negative feelings were primarily associated with company policy and administration,

relationships with superiors and colleagues, technical competence, working conditions and

pay, and these he referred to as hygiene factors (McKenna & Beech, 2002, p.212).

According to Kreitner and Kinicki, �‘the key to adequately understanding Herzberg�’s motivator

hygiene theory is recognising that he believes that satisfaction is not the opposite of

dissatisfaction�’ (Kreitner and Kinicki, 2007, p.241). To illustrate, an employee may complain of

dissatisfaction at being underpaid for the work he/she does, but giving them a pay rise does

not make them satisfied, rather, it removes the feeling of dissatisfaction. Giving them a sense

of achievement, responsibility and recognition for their efforts is what leads to satisfaction.

Thus, Herzberg concludes, �‘the opposite of job satisfaction is not job dissatisfaction, but rather,

no job satisfaction; and similarly, the opposite of job dissatisfaction is not job satisfaction, but

no dissatisfaction�’ (Hertzberg, 1968, p.56).

Hertzberg�’s work has been subject to a great deal of criticism over the years. One of the

earliest criticisms was that while his theory may apply to one group of employees, i.e. white

collar workers in developed countries; it may have little or no relevance to employees in other

parts of the world, i.e. manual labourers in developing countries (Beech et al, 2001, p.433).

Furthermore, his proposition that hygiene factors are not related to job satisfaction does not

appear to be supported by research. A recent study of 600 employees in the US, for example,

revealed that the top five factors given for job satisfaction (as opposed to dissatisfaction) were

31

all from Herzberg�’s hygiene factors (Kreitner and Kinicki, 2007, p.241). However, his contention

that the absence of hygiene factors, such as adequate pay, will cause dissatisfaction

irrespective of other factors does appear to be applicable in the case of UAE nationals. In a

recent study into job satisfaction amongst UAE nationals, Fernandes and Awamleh (2006)

found that employees who made less than AED 10,000 a month (equivalent to US $3,700, and

generally considered below average income) did not report feelings of job satisfaction

(Fernandes & Awamleh, 2006, p.709).

2.3.2 Process theories of motivation

Process theories aim to explain how cognitive processes influence employee�’s motivation and

lay emphasis on the belief that individuals are aware of their needs and wants, and that their

behaviour, as a result, is purposeful. As Steers explains, �‘process theorists view work

motivation from a dynamic perspective and look for causal relationships across time and events

as they relate to human behaviour in the workplace�’ (Steers, et al, 2004, p.381).

Expectancy theory

Based on Vroom�’s work in the 1960�’s, the theory emphasises the fact that people make

choices about their behaviour at work, and that these choices are influenced by the outcomes

they expect to result from this behaviour and whether or not they value these outcomes.

Motivation, according to Vroom, is therefore about how much effort employees are willing to

exert in specific task situations. Vroom�’s model identifies three key concepts as follows:

Instrumentality (performance outcome perception). This describes an individual�’s

belief that behaviour will lead to outcomes. For example, achieving/exceeding sales

targets will be rewarded with a sales bonus.

Expectancy (effort performance perception). This describes an individual�’s belief that

a particular degree of effort will result in a particular level of performance. For

example, increasing sales calls will result in higher sales.

Valence (outcome value perception). This describes the positive or negative value

individuals place on outcomes. For example, a sales bonus is worth having.

In a 1998 study using expectancy theory to assess the motivation of individuals across ten

different countries, Geiger et al. (1998) found that Hofstede�’s cultural index scores �‘were found

to be significantly associated with each of the expectancy theory components examined�’

(Geiger et al, 1998, p.154). Of particular interest was the inclusion of results for a group of

Omani nationals who participated in the study. Using Hofstede�’s 1991 �‘Arab Countries�’ index

32

scores, the study concluded that their �‘effort level�’ decisions significantly correlated with the

individualism, power distance and uncertainty avoidance index scores (Gieger et al, 1998,

p.154). Assuming the Omani results would be indicative of those for UAE nationals, the above

findings suggest that when deciding on how much effort to expend on a particular task at

work, a UAE national employee, coming from a culture characterised with low tolerance of

uncertainty �‘�…would be expected to react more positively to increases in expectancy (i.e.

probability) of success and, thus, place more emphasis on the expectancy component�’ (Gieger

et al, 1998, p.142).

Equity theory

Equity theory is concerned with employee perceptions of effort and reward and explains how

these perceptions influence motivation. Equity theory identifies two important variables in the

employee employer relationship: inputs and outputs. Inputs include education and training,

skills, creativity, seniority, age, personality traits, effort expended, and personal appearance.

Outputs include pay, bonuses, fringe benefits, challenging assignments, job security,

promotions, status symbols and involvement in decision making (Kreitner and Kinicki, 2007,

p.242).

If employees compare each other�’s inputs and outputs and perceive inequity, so the theory

goes, then feelings of unfairness and demotivation can arise. However, research has shown

that the response of individuals to such instances of inequity varies widely because of differing

levels of �‘equity sensitivity�’; Equity benevolents describes individuals who are more tolerant of

situations in which they feel they are being under rewarded; Equity sensitives adhere to a

strict norm of reciprocity and feel both negative and positive inequity acutely and equity

entitleds experience less dissonance when they are over rewarded and more dissatisfaction

when under rewarded.

In a cross cultural study of equity theory, Bolino & Turnley (2007), argue that culture is likely to

have a strong influence on the way in which individuals in different countries conceptualise

inputs and outputs in the workplace. Research has shown, for example, that cultures that

score high on the power distance index, such as Korea, place relatively less emphasis on

performance and more on seniority and education when making judgements about inputs

(Bolino & Turnley, 2007, p.42). As previously discussed, Arab countries score highly on power

distance, and so we might realistically expect to find that UAE nationals make similar

judgements about inputs.

33

Bolino & Turnley also argue that cultural variables influence how individuals in different

countries perceive and react to instances of inequity in the workplace. Collectivist cultures,

which we have seen to characterise Arab countries, attach greater importance to group

harmony than the specific interests of individuals, and are therefore more likely to engage in

the �‘cognitive restoration of equity�’ (i.e. by convincing themselves that a situation is, in fact,

equitable, when in reality it is not), than by taking action to restore equity, i.e. by altering the

inputs/outputs of themselves or others (Bolino & Turnley, 2007, p.40).

Such cross cultural equity sensitivity differences can have a major impact on the operations of

multinational companies with Emiratisation agendas, suggesting important implications for

their HRM strategies and practices. As Allen et al (2005) observes:

�‘Most notably, cultural equity differences could have a profound impact on the way that global

organizations structure and utilize their pay, reward and performance management systems.

Performance management strategies and practices that work in one culture may not be

effective or even have potentially adverse effects in a different culture�’ (Allen et al, 2005, p 643

4).

The concept of organisational justice

Equity theory has since been expanded to include the concept of organisational justice, which

describes the extent to which individuals and/or groups perceive they are treated fairly at

work. Three different components of organisational justice have been identified: distributive,

procedural and interactional.

Distributive justice reflects employees�’ concerns about how resources and rewards are

distributed or allocated within organisations. Procedural justice refers to the perceived

fairness of the processes and procedures used to make allocation decisions. Interactional

justice refers to the perceived fairness of how such processes and procedures are

communicated by management (Kreitner and Kinicki, 2007, p.244).

Research by Fernandes and Awamleh (2006), into the influence of organisational justice on the

performance and job satisfaction of UAE nationals found that while employee perceptions of

distributive and interactional justice were positively correlated to both performance and job

satisfaction, as might be expected, perceptions of procedural justice did not influence these

variables (Fernandes & Awamleh, 2006, p.706). The reason for this appears to be that UAE

nationals do not identify organisations as being ultimately accountable for the processes and

34

procedures used to make allocation decisions. As Fernandes and Awamleh (2006) explain, �‘in

the case of UAE nationals, there is an understanding that their continuous employment and

career progress is more dependent on government programs and policies than on

organisational procedures�’ (Fernandes & Awamleh, 2006, p.707).

2.4 Diversity and affirmative actionUnlike in the mainstream management literature where diversity in the workforce is

something that is deliberated created and managed (Kreitner and Kinicki, 2007; McKenna and

Beech, 2002) diversity in the UAE is an inescapable reality for most private sector companies

where �‘workplaces are unparalleled in terms of nationality, language, religion and work

attitude diversity�’ (Alserhan et al, 2010, p.44).

Attitudes towards diversity in the UAE workplace, however, appear to be mixed. One study

that interviewed UAE based managers of different nationalities revealed that staff welcomed

and held diversity in high regard (Khan et al, 2010, p303) but when surveying staff themselves,

it was found that employees in Abu Dhabi were less positive in their attitudes towards

diversity than those in Dubai. Khan et al, suggest this could be due to Abu Dhabi�’s more

traditional and conservative culture. Another study found that employees working in the UAE

banking sector were neutral about the value of diversity in their organisations, and one

conclusion that the authors of the study drew was that this may be because diversity is just

�‘the natural state of affairs�’ in UAE organisations, and consequently employees have never had

never given it any thought (Alserhan et al, 2010, p.51).

One way in which governments and organisations have tried to manage diversity in the USA is

through affirmative action, which is a deliberate intervention that aims to increase

representation of women and minorities in the workplace (Kreitner and Kinicki, 2007, p. 49).

Although Emiratisation has been described as an affirmative action quota driven policy

(Godwin, 2006), this goes against US policy where quotas are illegal. Nevertheless, there are

parallels inasmuch as UAE nationals are a minority group whose employment is being

facilitated, and in some sectors imposed, and consequently a discussion of some of the

findings from affirmative action studies elsewhere could be relevant to Emiratisation.

One important finding is that beneficiaries of affirmative action policies can believe that those

of the majority group hold negative attitudes towards them, such as that they lack

competence, or that the majority group harbours resentment and shows resistance because

they view the policy as unfairly discriminating against them. Whilst the underlying reasons for

35

such attitudes on the part of the majority group, i.e. expatriate workers in the UAE, may be

wider than the affirmative action policy (higher salaries, preferential terms and conditions

etc.), there is evidence that negative stereotypes are widely held (Al Waqfi and

Forstenlechner, 2010) and that resistance from expatriates is common (Rees et al, 2007;

Forstenlechner, 2008).

The above study by Al Waqfi and Forstenlechner also revealed that negative stereotypes were

widely held by UAE nationals themselves. Over and above the acknowledgement that there

may be some truth in the stereotype, relating to poor work ethics, skills and competencies, Al

Waqfi and Forstenlechner put forward another plausible explanation which could be linked to

affirmative action. This is the possibility that negative stereotypes have been internalised and

have led to a self fulfilling prophecy (p.375), known as the Golem effect, whereby others�’

negative attitudes and expectations have caused the recipient to doubt their abilities and to

behave in a way that meets these expectations (Kreitner and Kinicki, 2007, p.222).

Furthermore, Niemann and Dovidio also report studies that have shown that beneficiaries of

affirmative action, who believe that they were not hired through a fair and transparent

selection process, will tend to question their competence, show less commitment to the job,

and �‘self handicap, setting up excuses (e.g. by not trying hard) for anticipated failure�’ (p.511).

In terms of job seekers, this effect may be part of the reason that a recent study found that

UAE nationals felt insecure about their abilities and lacked the confidence to compete against

expatriates for jobs in the private sector (Yousef, 2009).

Moreover, Niemann and Dovidio highlight that when beneficiaries perceive that affirmative

action is willingly pursued and given organisational support, this will contribute to job

satisfaction, whereas perceptions that it is involuntarily applied have a negative effect.

Furthermore, they comment that affirmative action initiatives often focus solely on

recruitment and induction, and fail to sustain efforts that will create better retention, and cite

the critical finding that minorities in the workplace tend to have lower levels of job satisfaction

than their majority group member counterparts. Thus they stress the importance of providing

training and mentoring as part of an organisation�’s on going efforts at diversity management

(2005). With this in mind, we will now turn to a consideration of training, coaching and

mentoring in the localisation process.

36

2.5 Training and developmentAs Harry and Collings highlight, employers often have to invest more heavily in training host

country nationals in cases where there is a significant gap between education provision and

employment needs (2006, p.149). This is true of the UAE, where training courses are often

provided for UAE nationals when they join private sector companies, particularly in the quota

driven sectors that employ cohorts of Emirati school leavers or graduates, such as banking

(Rees et al, 2007; Oxford Business Group, 2006; Shaw, 2010). In our own experience of

delivering training courses for private sector companies, trainees typically receive short

courses in English, communication skills, time management, and work ethics, in addition to

technical training specific to their job role. However, one training area that we have not

encountered in the literature or from our own experience relates to diversity training.

Diversity training aims to �‘help employees work effectively with a diverse workforce, to

become aware of group based dilemmas among employees and to decrease negative

stereotyping and prejudice�’ (Scullion and Linehan, 2005, p.77 8) Whilst there may be a host of

very good reasons for providing diversity training across the organisation, the cultural

background of many UAE nationals arguably merits special attention. The UAE public

education system reflects society�’s traditional and Islamic values and consequently all schools

and tertiary institutions are gender segregated and, apart from controlled numbers of fee

paying Arab expatriates at primary and secondary level, the system provides exclusively for

UAE nationals. It is thus not uncommon for UAE nationals to leave school or higher education

having rarely mixed with members of the opposite sex outside of their own family, or with

expatriates apart from domestic staff such as maids and drivers, or in public transactional

encounters such as when shopping.

Recent research by Bennett and Wright (2010) that studied Emirati females in their first job,

observed that these women were disadvantaged by their cultural background and frequently

expressed unwillingness to working in cross cultural teams. Moreover, when engaged in team

exercises, they tended to replicate behaviours that they had learnt from their mono cultural,

single gender education experience, which included not sharing their opinions in a misguided

attempt at maintaining group harmony. Bennett and Wright argue that never having had the

opportunity to experience alternative team styles, nor having had to take the lead before,

resulted in these employees being even less willing to exercise voice when exposed to a new

and challenging workplace situation (Bennett and Wright, 2010, p.279 280). With this in mind,

and having found no studies in the literature looking at Emirati males in mixed gender and

multinational work environments, we decided to explore students�’ attitudes to working in

37

diverse teams, and investigate whether private sector organisations focus on such training

with new UAE national employees.

A relevant cross cultural study by Holladay and Quinones (2005) found that trainees from

collectivist cultures rated training as more effective when it was delivered by a trainer who

also came from a collectivist culture. A further South African study found that despite different

racial groups having being segregated for many years, employees did not report experiencing

any cultural issues. However, the role of the team leader emerged as an important variable in

the success of these mixed teams. Team leaders who were well trained in diversity and

leadership, and who were equally involved and approachable with all members of the team,

produced more effective communication and teamwork than team leaders who did not exhibit

these characteristics (Kokt, 2003).

Two other training methods that provide on the job training rather than formal training

courses are mentoring and coaching. Mentoring is particularly suitable for junior employees

and involves the assigned mentor modelling behaviour, providing on going support and

guidance, and being an advocate for his mentee, so that he or she is given developmental

opportunities (McKenna and Beech, 2002, p.233). Coaching is more structured and focuses on

providing advice and feedback to a junior colleague, and often involves regular appraisals,

monitoring progress and preparing the individual for promotion (McKenna and Beech, 2002,

p233). Both can be used as part of the career management system of employees.

Furthermore, as Niemann and Dovidio contend, mentoring is an especially significant success

factor for minority group employees in helping to foster job satisfaction and promote

retention, and is particularly successful when the mentoring is sensitive to the culture, values

and particular issues pertaining to the minority group (2005, p517). However in the UAE, there

is not much evidence of a mentoring culture as a study of HRM practices revealed that only 2

out of 25 organisations had such a system in place (Forstenlechner, 2010). Nevertheless, it

appears that UAE private sector organisations need to pay attention to these training systems

as it has emerged from a recent unpublished study, conducted by the Emirates National

Development Programme (ENDP) that up to 60 per cent of Emiratis resigned from their private

sector jobs due to a lack of career management and mentoring culture (Emiratisation Now,

2010).

Thus career management is a key factor in retaining UAE nationals. In China, a study on

localisation noted that expatriates play a crucial role in the localisation process by coaching

38

and mentoring and managing the career of host country nationals, but that they can be

resistant to taking on this role (Selmer, 2004). This phenomenon was also noted in the section

on affirmative action. However in the UAE, there is an additional, more systemic barrier to the

implementation of such HR practices. UAE labour law has enabled employers to hire and fire

expatriates at will, thus creating a transient working culture and discouraging employee

training and development (Fasano and Goyal, 2004; Harry, 2007). This has militated against the

development of structured career management for long term employees, both expatriates and

nationals (Al Ali, 2008, p.367).

Having examined Emiratisation through a review of contemporary literature in a number of

key theoretical areas, we can summarise the main points arising as follows:

The importance of culture to any study of workforce localisation in the UAE cannot be

overstated. Both expatriate and Emirati culture has an influence on the UAE

workplace. Gert Hofstede�’s conceptual framework provides some interesting insights

into aspects of Arab culture in an organisational context and goes some way to

explaining the behaviour of UAE nationals in the workplace.

As with culture, an understanding of the impact of values and attitudes on the success

of Emiratisation initiatives is of central importance. A common personal value system

appears to exist for young adult UAE nationals and this may result in individual

organisation value conflict and may help to explain the failure of Emiratisation efforts

in the private sector. Theories focussing on attitudes also appear to have some

relevance to a UAE context and offer some interesting insights into the behaviour of

UAE national employees. A lack of organisational commitment, for example, may

explain high levels of staff turnover among UAE nationals.

Understanding what motivates UAE nationals at work is also very important.

Motivation theories, both �‘content�’ and �‘process�’ help to shed light on the cognitive

processes that take place within individuals and which contribute to feelings of job

satisfaction and successful employment.

Diversity is what makes the UAE workplace so unique and arguably represents the

greatest challenge to the successful employment of UAE nationals. Emiratisation has

been compared to an affirmative action policy as UAE nationals are in practice a

39

minority group in their own country. The extent to which affirmative action leads to

positive outcomes in terms of employment is, however, hotly contested.

UAE nationals appear to be disadvantaged by their cultural and educational

backgrounds with the result that they are ill prepared to meet the requirements of

private sector organisations. As a result, organisations are required to invest

significantly in training and development. The transient nature of the UAE labour

market has worked against the establishment of a long term career management

culture, of which coaching and mentoring are important features.

In the following chapter we will explain how we went about developing our knowledge and

understanding of Emiratisation further by conducting exploratory research. This will be

followed by a discussion of how our research findings contribute to the theoretical debate

outlined above, so as to establish areas of congruence, divergence and highlight where gaps in

knowledge and understanding still lie.

40

3 Methodology

3.1 Methodological approachAs the aim of our research project was to examine the topic of Emiratisation to find out �‘what

is happening; to seek new insights; to ask questions and to assess phenomena in a new light�’

(Robson, 2002, quoted in Saunders et al, 2009, p.139) our research approach was necessarily

exploratory in nature.

To achieve our research objectives we decided to collect and examine both primary and

secondary data. Primary data would focus on two main areas: (1) the attitudes and

perceptions of UAE national undergraduates, and (2) HR practices and procedures currently in

use by a range of private sector organisations with Emiratisation agendas currently operating

in the Emirate of Dubai. To facilitate our exploratory approach, we therefore decided to adopt

a survey strategy involving both self administered questionnaires with UAE national final year

students and semi structured interviews with HR managers.

Secondary data would involve the analysis of data from a survey conducted by the Emirates

National Development Programme (ENDP) into the reasons given by 6,000 nationals for

resigning from corporate positions in various UAE based private sector organisations.

3.1.1 Self administered questionnaires

A survey was carried out at two of the colleges of the federal Higher Colleges of Technology

(HCT, Dubai Men�’s College and Dubai Women�’s College), to uncover the attitudes and

expectations of male and female UAE national undergraduates towards employment

opportunities in the private sector. We felt that researching the opinions of UAE national

undergraduates in their final year of study was relevant, as they would soon be entering the

workplace and would therefore most likely have already formed opinions about the nature of

employment in the private sector. HCT was chosen because it represents the most common

educational pathway for UAE nationals before entering the workplace. This dictated that a

non probability sampling strategy be adopted using a quota sampling approach (Saunders et

al, 2009, p.235) in an attempt to ensure a representative sample. To achieve this, the sample

population was divided into two groups, males and females, and then quotas for each group

were calculated to reflect the proportions of male (24%) and female (76%) students in the total

HCT student population. A target quota of 50 male and 160 female respondents was therefore

41

decided upon, representing approximately 28% of the total final year student population at

the Dubai Colleges.

Gaining access to UAE national students proved to be considerably more problematic than we

had initially anticipated. While we both had good contacts in key positions at HCT and felt

confident that we would be able to persuade them to assist with the task of data collection,

we underestimated both the time and complexity of securing official permission from HCT

management to carry out research at the colleges. By the time permission was finally granted,

the students had gone away on a two week mid semester break, resulting in a considerable

delay to our data collection schedule. Furthermore, while our original research proposal had

included Sharjah based students in the survey (in an effort to capture data from an Emirate

other than Dubai), ultimately this was not possible as the director of the Sharjah Colleges

refused permission because he felt that the survey would be �‘too distracting�’ for students

during their examination period.

Questionnaire design

We initially planned to use a self administered, paper based questionnaire for the final year

student survey. The decision to use a paper based questionnaire in preference to an online

one was based on the premise that we would achieve a higher response rate by enlisting the

help of HCT teachers in administering the questionnaire during class time. However, ultimately

we decided to use a web based survey solution using the SurveyMonkey�™ platform (see

Appendix 1), primarily because of the assistance it would provide in collecting responses and

analysing results, but also because we learnt that all HCT students attend classes with their

college issued laptops, and we felt that an online format would be more appealing to the

technology savvy students, therefore delivering a higher response rate.

To comply with the University of Strathclyde�’s Research Code of Conduct, we provided all

research participants with a Participant Information Sheet, in both English and Arabic. Arabic

translation was considered necessary because we felt that the content of this document would

be above the linguistic level of some of the respondents. However, we were confident that

students would cope with the language level of the questionnaire and so, although this was

not translated, we did pay particular attention to the wording of individual

questions/instructions and when we felt that a particular item might cause confusion, we were

careful to provide a short definition (e.g. Q12,mentor: a colleague who can advise/guide you,

Q13, diversity: a mix of culture and/or gender). AnMBA Masters Project Consent Form was also

included at the start of the questionnaire, requiring the respondents to agree to being a

42

participant in the project before allowing them to proceed to the questionnaire proper (see

Q1).

When constructing the questionnaire, we spent time considering the order and flow of

questions. Questions that were easier for respondents to answer were placed at the beginning

with more complex questions placed towards the end with the rationale that if respondents

abandoned these more cognitively challenging questions, we would still have access to the rest

of their data. We also took advantage of the Skip Logic functionality available on

SurveyMonkey�™ to filter one of the questions (Q7) that asked respondents about work

intentions. Respondents who indicated that they had no plans to work were sent directly to

the �‘Thank You�’ page, to avoid wasting their time asking questions that had no relevance for

them.

A range of closed question types were used, including List (Q8), Category (Q1, Q2, Q3, Q4, Q6,

Q7, Q9, Q10), Rating (Q11, Q12, Q13, Q14) and Ranking questions (Q15). Two open questions

were also included; (Q5) asking respondents what subject they were studying and (Q8) asking

them what other sectors they would consider working in.

The list and category type questions (Qs1 10) asked students about attributes, preferences and

expectations in the following areas:

Gender

Emirate of origin

Current educational level

Subject of study

Work placement experience

Employment sector preferences

Expectations of salary and working hours

The rating questions (Qs11 14) used a five point Likert rating scale using attitude dimensions

ranging from �‘strongly agree�’ to �‘strongly disagree�’ to measure respondent�’s attitudes to the

following:

Pay and conditions

Career development, coaching and mentoring

Diversity (cultural/gender)

43

Private versus public sector jobs

A balanced scale was selected to avoid bias and a weighting was assigned to each scale, from 1

to 5, to facilitate the calculation of ratings averages for later analysis.

The ranking question (Q15) asked respondents to evaluate the relative importance of twelve

work goals. This question replicates that used by Harpaz (1990) in a cross cultural study of

8,192 employees from seven different countries with but one exception; we added long

holidays to Harpaz�’s original eleven factors as a number of local press reports had suggested

that this factor was given considerable importance by UAE national employees (Moussly, 2011;

Al Qassemi, 2010; Fitch & Shaheen, 2010; Forstenlechner & Rutledge, 2010).

Our rationale for choosing Harpaz�’s factors were that they were based upon those used in

earlier large scale studies by Quinn and Hertberg et al (1971 and 1957 respectively and cited in

Harpaz, p.78) and Harpaz had already tested and refined the format and language of the work

goals in several countries during the pilot stage. Moreover, by replicating his study we could

compare the responses given by UAE nationals with those given by other nationalities.

Having finalised the questions, we considered layout design. From our knowledge of

educational publishing we knew that UAE nationals find cluttered page layouts extremely off

putting and so when designing the questionnaire we tried to make the task of reading

questions and filling in responses as easy as possible for respondents by including lots of �‘white

space�’ and by adding extra pages if questions looked cramped. Research also indicates that

colour has an influence on response rates to questionnaires, with warm pastel shades

generating slightly more responses than white or cool colours, such as green or blue

(Saunders, et al, 2009, p.391). We therefore chose the pale yellow colour scheme offered by

SurveyMonkey�™.

Prior to collecting data, we pilot tested the questionnaire with a group of eleven UAE national

students studying at the British Council, to test for face validity. Based on their responses, we

made a number of small revisions to the wording of the rating questions (Qs 11 14) and

simplified the format of the ranking question (Q15).

By persuading our contacts at the Colleges to manage the questionnaire administration

process, we were able to send the survey web link in an email, which was then forwarded to

students in specific classes for completion during class time with the cooperation of their

44

teachers. Students currently engaged in work placement off campus were also invited to

participate. This approach proved to be very successful at the Women�’s College, with an

encouraging response rate after only a few days. This success was not replicated at the Men�’s

College, however, where a very disappointing response rate over the same period was

observed. It was not clear whether the reason for this lower response rate amongst the male

students was because of a lack of cooperation on the part of the teachers or due to a lack of

interest on behalf of the students. Despite follow up calls and email reminders to our contacts

at the Men�’s College, the response rate from the male students only marginally increased.

3.1.2 Semi structured interviews

The second part of our survey strategy involved collecting data on current HR practices and

policies specific to Emiratisation in a number of private sector organisations in sectors of

strategic importance to the UAE economy, including Trade, Banking & Finance, Hospitality,

Telecommunications, Transport, and Real Estate. As this part of our research was exploratory

in nature, we collected data though semi structured interviews with HR managers working in

Dubai based private sector organisations with established Emiratisation programmes. As

Robson (2002) points out, such interviews can be very helpful to �‘find out what is happening

[and] to seek new insights�’ (Robson 2002, quoted in Saunders et al, 2009, p.322).

To select our sample, we again adopted a non probability sampling strategy, this time using a

self selection sampling approach (Saunders et al, 2009, p.240) that involved carrying out a

thorough search of local press reports and relevant academic literature to draw up a �‘hit list�’ of

high profile HR managers working in key sectors of the economy and actively involved in the

Emiratisation process. These target HR managers were then contacted by email and asked to

participate in the survey by agreeing to a one hour interview.

Gaining access was more problematic than we had anticipated. The original aim had been to

carry out between five and eight interviews; the sample size chosen based on available time

and resources, as well as an awareness that, �‘the validity, understanding and insights that you

will gain from your data will be more to do with your data collection and analysis skills than

with the size of your sample�’ (Patton, 2002, cited in Saunders et al, 2009, p.235). However,

despite sending interview requests and follow up emails to nineteen HR managers, only four

responded and agreed to take part.

We had assumed that the majority of HR managers would see the topic of Emiratisation as

interesting and relevant to their current work and be more likely to agree to an interview than

45

complete a questionnaire. We can only speculate on the reasons for their reluctance to take

part. Strategies used to gain access included allowing sufficient time to schedule meetings at

their convenience, explaining clearly the purpose of our research in the covering email and

Participant Information Sheet, highlighting issues of confidentiality and discussing the possible

benefits of taking part. While the majority of the HR managers were selected using a self

selection sampling technique, snowball sampling was also used after one of the HR managers

referred us to relevant contacts we had not initially identified.

The interview framework was structured to capture similar data to that of the students. Our

questions were pre prepared to guarantee some consistency (see Appendix 3) but as with the

nature of exploratory research, the order of questions varied depending on the flow of the

conversation and we responded to insights as they emerged; revising, omitting and adding

questions as required.

3.2 Analytical strategy

3.2.1 Questionnaire data

The data collected from the final year student questionnaire was explored and analysed using

non statistical and statistical tools. Firstly, we employed Tukey�’s exploratory data analysis

(EDA) approach with its emphasis on diagrammatic representations to enable us to explore the

data visually and see possible relationships and patterns emerging. For example, we utilised:

Pie charts, e.g. to look at the salary range expected from respondents first job (Q9)

Comparative pie charts, e.g. to compare the number of hours male respondents versus

female respondents expect to work (Q10)

Bar charts, e.g. to explore the relative popularity of different sectors for respondents�’

future employment (Q8)

Multiple line graph, e.g. to show the comparative relative mean ranks of job satisfaction

factors for the UAE and 5 other countries (Q15)

Cross tabulation tables, e.g. to show the interdependencies between work placement

experience and attitudes to employment in the public and private sector (Q6 and Q14)

Stacked bar charts e.g. to view the breakdown of salary expectations by the sector that

respondents intend to work in (cross tabulation of Q7 and Q9)

46

This approach allowed us the, �‘flexibility to introduce previously unplanned analyses to respond

to new findings,�’ (Saunders et al, 2009, p428). For example, having filtered the data by gender

and examining the tables and charts, we made the decision to cross tabulate gender with the

questions relating to salary expectations, working hours and all of the Likert scale questions

even though we had not originally planned to subdivide the data into gender based samples.

Our initial examination of the data also suggested we cross tabulate the variables of work

placement experience, sector intentions, and programme of study against certain questions.

To analyse the cross tabulated data, we also used charts and tables. However where the

distribution or mean suggested there could be significant differences between groups in their

response to some of the questions e.g. male versus female in their responses to the diversity

questions (Q13), we looked for appropriate statistical tools to test the significance.

Our 5 point Likert items and many of our other questions were categorical, yielding ordinal

data. In order to explore the relationships between variables, we considered the gaps between

categories to be similarly sized so that we could apply weighting scales. Then, following the

reasoning of some researchers e.g. Blumberg et al (2008, cited in Saunders et al, p.418) we

could treat the data as if it were numerical interval data. This would allow us to use parametric

statistical tests such as the t test which was available in the Excel application, our only source

of statistical tools.

However, once we examined our data, it often breached all three of the assumptions of the t

test; our distributions were often very skewed or peaked rather than normal, e.g. a positive

skew was common in the Likert scale questions (Q11 14), our samples did not have equal

variance, which could be overlooked if our two samples were of similar size (Hayes, 1994, cited

in Saunders, p.457) but this generally did not hold for our samples, e.g. we had a sample of 80

females compared to a sample of 30 males. Consequently, we reconsidered our data to be

non parametric and explored possible tests. The Mann Whitney Wilcoxon test has been

shown to be more powerful than the t test when distributions are skewed or peaked (de

Winter and Dodou, 2010) and although this was this test was not available on Excel, we found

it online through the University of Amsterdam�’s Faculty of Humanities website,

(www.fon.hum.uva.nl/Service/Statistics/Wilcoxon_Test.html ).

For Q15, the question on job goals, we followed Harpaz�’s (1990) method of using the mean

rank for each factor in order to establish its relative importance and thereby draw up the

overall ranking order of the 12 factors. Also following one of Harpaz�’s sub categories, we

47

divided the data according to gender and established the mean ranks for each group in order

to discover if the relative priorities of men and women differed.

3.2.2 Semi structured interview data

To foster an open atmosphere and a higher degree of honest feedback during the interviews,

interviewees were assured complete anonymity and as a result, their names and those of their

organisations have not been included in our research findings. However, as argued by Rees et

al. (2007), the interviewees�’ nationality status may be considered highly relevant when

exploring their responses and so the nationality and gender of each interviewee has been

provided (Rees et al. 2007, quoted in Forstenlechner, 2010, p.140).

All interviews were audio recorded and transcribed to assist with analysis. While Saunders et

al. (2009, p.490) point out that there is no standardised procedure for analysing qualitative

data such as this, they recommend using summarising, categorising and structuring processes

to assist with interpretation. We therefore began by reviewing the transcripts of the interviews

in detail and developing categories or topic areas that broadly coincided with our research

objectives. Using these topic areas as a framework for structuring our findings, we then

undertook a detailed dissection of the interview data that involved matching �‘chunks�’ of

interviewee discourse to each of the relevant topic areas.

3.2.3 Retention sectors report data

Data from the ENDP Retention Sectors Report was included despite our identifying certain

problems with it. For example, the data we were given access to constituted a summary of the

research findings �– we did not have access to the raw data or background information on the

sampling strategy/size etc �– and so were unable to accurately determine its validity and

reliability. Furthermore, across the employment sectors studied, there was a lack of

consistency in the �‘reasons for resignation�’ categories used, making comparison more difficult.

We decided to use it nonetheless because we felt that it would contextualise the findings from

our primary research. To assist with analysis, charts were reformatted for clarity and to make

comparison across sectors easier.

In the following chapter, we present the results of our primary research, along with an analysis

of relevant findings from the retention sectors report.

4 Findings

This chapter will begin by briefly describing our sample populations for the quantitative

student survey and qualitative semi structured interview phases of the project and will then

describe our main findings under each of our stated four research objectives.

The survey was started by 117 respondents, of whom 111 completed it, yielding a completion

rate of 95%. 31 respondents were male (28%) and 80 were female (72%). Although the survey

was conducted at the Dubai HCT Colleges, only 79.3% were from Dubai. 8.1% were from

Ajman, 8.1% from Sharjah, and the remaining 4.5% were from three other Emirates combined.

Respondents were studying on one of three programmes; Diploma (73%), Higher Diploma

(15.3%) or Bachelors (11.7%). The breakdown of programmes by gender is shown below and as

can be seen, despite requesting the colleges to select students randomly, the majority of the

female respondents were on Diploma programmes, whilst the men were on either Higher

Diploma or Bachelors.

0

10

20

30

40

50

60

70

80

90

Diploma Higher Diploma Bachelors

male

female

Figure 4.1 Respondents�’ programme of study by gender

The semi structured interviews were conducted with four HR managers working in four private

sector organisations in the Telecommunications, Banking & Finance and Transport sectors.

Two of the HR managers were male and two female, and all four were expatriates; two Asian,

one Arab and one Western. See Appendix 4 for interviews transcripts.

In addition to the survey and semi structured interviews, we also analysed data from a UAE

government departmental report into the reasons given by nationals for resigning from their

positions in a variety of private sector organisations in the Trade, Hospitality, Banking &

48

49

Finance, Insurance and Real Estate sectors (see appendix 5, ENDP Retention Sectors Report,

2008).

The findings of our research, and the extent to which we were able to achieve our research

objectives, are discussed below.

4.1 Research objective 1To identify whether an awareness exists among UAE national undergraduates that they will no

longer be guaranteed employment in the public sector.

This research objective was explored via one section of the student survey. Respondents were

presented with four statements that had been designed to draw out their opinions regarding

the changing state of employment opportunities for UAE nationals in the public and private

sectors (See Appendix 1, Q14, statements 2 5).

The results showed a very strong awareness on the part of respondents to the declining

employment opportunities on offer in the public sector, with 78.7 per cent of respondents

either strongly agreeing or agreeing with the statement that, �‘It is becoming more difficult to

find jobs in the public sector�’ and only 4.6 per cent disagreeing; 75 per cent strongly agreeing

or agreeing that �‘It is important for the UAE�’s future that more Emiratis work in the private

sector�’ compared to 3.7 per cent disagreeing or strongly disagreeing; and 74.1 per cent

strongly agreeing or agreeing that �‘More young Emiratis will have to work in the private sector

from now on�’, with only 2.8 per cent expressing disagreement.

Furthermore, while respondents were clearly aware that guaranteed employment no longer

exists in the public sector, they also displayed a keen understanding that there were still

significant barriers to UAE nationals finding employment in the private sector, with 71.3 per

cent of respondents either strongly agreeing or agreeing with the statement that �‘The number

of Emiratis in the private sector will not increase until pay and conditions match those of the

public sector�’. A summary of results can be seen in the table below.

Table 4.1: Attitudes to the public versus private sector

Strongly

agreeAgree Not sure Disagree

Strongly

disagree

Rating

Average

A. It is becoming more difficult to findjobs in the public sector.

32

(29.6%)

53

(49.1%)

18

(16.7%)

5

(4.6%)

0

(0%)4.04

B. More young Emiratis will have towork in the private sector from now on.

25

(23.1%)

55

(50.9%)

24

(22.2%)

3

(2.8%)

1

(0.9%)3.93

C. It is important for the UAE�’s futurethat more Emiratis work in the private

sector.

38

(35.2%)

43

(39.8%)

24

(22.2%)

1

(0.9%)

2

(1.9%)4.06

D. The number of Emiratis in theprivate sector will not increase until

pay and conditions match those of the

public sector.

28

(25.9%)

49

(45.4%)

27

(25%)

4

(3.7%)

0

(0%)3.94

We also explored whether there were any significant differences between students based on

the sector they intended to work in. Figure 4.2 below shows the mean rating for each group.

3.203.403.603.804.004.204.404.60

A. It is becoming moredifficult to find jobs in

the public sector.

B. It is important forthe UAE’s future thatmore Emiratis work in

the private sector.

C. More youngEmiratis will have towork in the private

sector from now on.

D. The number ofEmiratis in the private

sector will not increaseuntil pay and

conditions matchthose of the public

sector.

Intends to work in publicsectorIntends to work in privatesectorIntends to work in either sector

Figure 4.2:Mean rating of attitudes and opinions regarding future employment opportunities

for UAE nationals in the public and private sectors by employment sector intentions

Generally across statements A, B and C, students who intend to work in the public sector show

less agreement with the statements than students in the other groups. The Wilcoxon two

sample test showed that these scores were significantly different however only from the group

intending to work in either sector, (W = 1318, p <= 0.01701, W = 1332.5, p <= 0.01137, W =

1362.5, p <= 0.004655).

50

4.2 Research objective 2To identify UAE national undergraduates�’ expectations, in terms of sector preference, salary,

terms and conditions, training and development, and career progression and to determine

which of these factors they prioritise.

This objective was explored via the student survey and we will discuss the findings relating to

each of the above areas of UAE national graduates�’ in turn.

a) Sector Preference

In Q7, respondents were asked to select which sector they intended to work in, public or

private. There was also an either option for respondents who had no preference and an option

for respondents who did not plan to work. The figure below shows respondents�’ intentions by

percentage.

53%

23%

24%

0%

Public

Private

Either (don't mind)

No plans to work

Figure 4.3 Employment sector intentions

When cross tabulated with work placement experience, there emerges a strong relationship,

particularly for students whose work placement was in the public sector with 67 per cent also

intending to work in the public sector. For students whose work placement was in the private

sector, 40.6 per cent expressed intent to work in the private sector but another 37.5 per cent

expressed no preference which could indicate that as many as 78.1 per cent are willing to work

in the private section. This compares to only 32.4 per cent of students with public sector work

experience. Figure 4.4 and Table 4.2 below summarise the relationships.

51

0

10

20

30

40

50

60

70

Public Private Either (don't mind)

I didn't do any workexperience

Private sector workplacement

Public sector workplacement

Figure 4.4 Employment sector intentions by work placement experience

Table 4.2 Employment sector intentions by work placement experience (%)

Intention

Public sector work

placement

Private sector

work placement

I didn't do any work

experience

Public 67.6% 21.9% 37.5%

Private 16.9% 40.6% 25.0%

Either (don't mind) 15.5% 37.5% 37.5%

b) Salary, terms and conditions

Respondents were asked to indicate their minimum starting salary expectations by selecting

from one of six salary ranges (given as monthly salary in UAE dirhams), and were also given a

not sure option. The finding showed a fairly even spread ( + / 5%) across the second lowest

through to the highest salary category as can be seen from the table below. Sterling

equivalents have been added to the table for the purposes of comparison. Also a 2010 11

report cited average mid manager salaries for UAE nationals at AED 26,000 per month

(GulfTalent.com)

Table 4.3Minimum starting salary (AED) that respondents expect from their first job

AED/monthResponse Per

cent

Number of

responses

5,000 7,000 (£10K £14K) 1.8% 2

8,000 10,000 (£16K £20K) 16.2% 18

11,000 13,000 (£22K £26K) 21.6% 24

14,000 16,000 (£28K £32K) 16.2% 18

17,000 19,000 (£34K £38K) 19.8% 22

20,000 + (£40K+) 18.9% 21

Not sure 5.4% 6

Number of respondents 111

52

When respondents are grouped according to their programme of study, the minimum salary

expectations rise with the qualification level. When the not sure category is excluded, 71.4 per

cent of Higher Diploma students and 83.3 per cent of Bachelors students selected from the

two highest salary categories compared to only 29 per cent of Diploma students. The

distribution of minimum salary expectation by programme level is clearly shown in figure 4.5

below.

0

5

10

15

20

25

Not sure 5,000 -7,000

8,000 -10,000

11,000 -13,000

14,000 -16,000

17,000 -19,000

20,000 +

DiplomaHigher DiplomaBachelors

Figure 4.5 Starting salary expectations by programme of study

We also checked whether there were differences in expectations by future employment sector

intention (public or private) but this proved to be not significant, (W=1110.5, p <= 0.5513).

Respondents were also presented with four rating statements related to pay all of which

produced positively skewed distributions (see figure 4.6 below). Although the distributions are

largely similar, statement A relating to guaranteed regular pay rises and statement B to post

training pay rises generated the most agree or strongly agree answers (79.1 per cent and 78.2

per cent combined respectively). When given comparative statement C, �‘A high starting salary

is more important to me than regular pay rises�’ and D, �‘A regular pay rise is more important to

me that regular promotion,�’ there was slightly less positive skew with 30 per cent of the

sample unsure or disagreeing with C and 37.3 per cent with statement D.

53

39 37

2621

48 49 50 48

21 20 2128

2 3 8 100

10

20

30

40

50

60

A. I would only consider ajob that guaranteed regular

pay rises.

B. I expect a pay rise whenI finish my training period.

C. A high starting salary ismore important to me than

regular pay rises.

D. A regular pay rise ismore important to me than

regular promotion.

Strongly agreeAgreeNot sureDisagreeStrongly disagree

Figure 4.6 Attitudes towards salary and pay rises

Also under this section, we explored the UAE national graduates�’ expectations in terms of

working hours per week, and their preference for fixed or flexible working hours.

In terms of expected working hours, only 17 per cent of the sample indicated that they

expected to work the UK standard of between 36 �– 40 hours per week whereas 58 per cent

indicated that they expect to work between 25 �– 35 hours per week (see figure 4.7 below).

15%

32%

26%

17%

10%

)Part time (less than 20

25 30

31 35

36 40

41 45

Figure 4.7 Hours per week that respondents expect to work (%)

When cross tabulated against gender, a clear difference between the men and women

emerged as can be seen in figure 4.8 below.

54

0

5

10

15

20

25

30

35

40

Part time (less than20)

25-30 31-35 36-40 41-45

male

female

Figure 4.8 Expected working hours per week by gender

This was tested using the Wilcoxon two sample test and found to be significant (W = 2296, p

<= 0.0002296).

Respondents were also asked about fixed versus flexible working hours and 73.6 per cent of

respondents agreed or strongly agreed with the statement, �‘I would prefer fixed working hours

to flexible working hours�’. Figure 4.9 below shows how the responses break down by gender.

'I would prefer fixed working hours to flexible working hours.'

0

10

20

30

40

50

60

Stronglyagree

Agree Not sure Disagree Stronglydisagree

male

female

Figure 4.9 Attitudes towards fixed versus flexible working hours by gender

This data was also subjected to the Wilcoxon two sample test but there was no significant

difference between men and women (W = 1663, p <= 0.992).

55

56

c) Training, development and career progression

These aspects, covering attitudes towards mentoring, autonomy in decision making, career

management and training, were covered in ten Likert items under Q12. All resulted in

positively skewed distributions despite the fact that the set contained oppositional

statements. The data is presented in summary form in table 4.4 below showing the median,

mode, mean and range for each statement.

Table 4.4 Summative data of responses to training, development and career progression

statements

Mentoring Mean Mode Median Range

A. After I have finished my training programme, I do

not expect to be mentored. 3.47 4 4 4

B. After I have finished my training, I expect a junior

manager to be my mentor. 4.03 4 4 4

C. After I have finished my training, I expect a senior

manager to be my mentor. 4.03 4 4 4

Autonomous decisions Mean Mode Median Range

D. I expect to take decisions on my own (after I

have completed my training). 4.15 4 4 4

E. It is better to refer to a manager before taking

decisions. 4.09 4 4 3

Career path and training Mean Mode Median Range

F. It is important that I have a clear career path in

my company. 4.47 5 5 2

G. It is important to me that my job develops my

skills and knowledge through regular training,

coaching and mentoring.

4.36 5 4 3

Promotion Mean Mode Median Range

H. I would only consider a job that guaranteed

regular promotion. 4.16 4 4 3

I. Getting a promotion should be based on

performing better than colleagues. 4.04 4 4 4

J. Promotion should be based on how long you

have worked for the company. 3.96 4 4 4

The results of the three mentoring questions were surprisingly undifferentiated. However,

despite the slight positive skew in statement A, it was the lowest mean of all the Likert

statements in the survey.

The two statements under career path and training yielded the two highest means (4.47 and

4.36) among all the Likert statements. Their extremely positively skewed distributions are

clearly highlighted in figure 4.10 below.

0

10

20

30

40

50

60

Stronglyagree

Agree Not sure Disagree Stronglydisagree

G. It is important that I have aclear career path in mycompany.

H. It is important to me that myjob develops my skills andknowledge through regulartraining, coaching andmentoring.

Figure 4.10 Attitudes to career management, training, coaching, and mentoring

The ten statements were cross tabulated against gender, workplace experience, programme

of study, and also sector intention. The distributions and means suggested little difference

between these groups. Those with larger mean differences were tested but these were not

significant.

d) Relative importance of various work goals

Respondents�’ rankings of the twelve work goals were summed and the mean ranks calculated.

Whilst the UAE means were not directly comparable on account of the 12th factor that we had

added (long holidays), we nevertheless plotted the means for the 11 factors included in

Harpaz�’s study (1990) against 5 of the countries from that study (see figure 4.11 below).

57

3

4

5

6

7

8

9

Opp's tolearn

Pay Jobsecurity

Interestingwork

Opp's forpromotion

Matchbetween

person andjob

Variety Convenientwork hours

Inter-personalrelations

Workingconditions

Autonomy

Mea

n ra

nks

UAEBritainGermanyJapanN'landsUSA

Figure 4.11Means ranks of 11 work goals for UAE and five countries from Harpaz�’ s 1990 study

Table 4.5 below shows the rankings of the 12 work goals for UAE nationals compared with five

of the countries from Harpaz�’s study. The most striking differences was that �‘opportunities to

learn new things�’ was the UAE respondents highest ranked goal compared to 5th to 9th for the

other countries. �‘Interesting work�’, ranked 1st or 2nd by four of the countries and 3rd in

Germany was only ranked 4th by the UAE respondents, whereas �‘opportunities for promotion�’

ranked 5th by the UAE, came out 10th or 11th in the 5 comparison countries. Finally, the 12th

factor �‘long holidays�’ that we had added based on our reading was ranked least important by

the UAE respondents.

58

59

Table 4.5 Intra country ranking of work goals

Work goals UAE Britain* Germany Japan*Nether

lands*

United

States*

Opportunities to learn 1 8 9 7 9 5

Pay 2 2 1 5 5 2

Job security 3 3 2 4 7 3

Interesting work 4 1 3 2 2 1

Opportunities for promotion 5 11 10 11 11 10

Match between person and job 6 6 5 1 6 4

Variety 8 7 6 9 4 6

Convenient work hours 7 5 6 8 8 9

Interpersonal relations 9 4 4 6 3 7

Working conditions 10 9 11 10 10 11

Autonomy 11 10 8 3 1 8

Long holidays 12

*Source of data for all countries except UAE: Harpaz (1990) �‘The Importance of work goals: an international perspective�’, Journal

of International Business Studies, First Quarter, 21, 1 (p.81)

We also filtered the UAE data by gender and compared this with Harpaz�’s rankings (see Table

4.6 below). This highlights the greater importance of pay for UAE men and job security for UAE

women which were identical to Harpaz findings for 7 countries. The filter also brings to the

fore the 3rd highest ranking for UAE males was �‘opportunities for promotion�’, which falls to 7th

place for UAE women. Another marked difference between the sexes was that between

�‘match between person and job�’ ranked 9th for UAE men but 5th for UAE women. Finally,

compared to the international rankings, interpersonal relations was much lower for UAE men

(8th compared with 3rd) and for women (9th compared with 2nd).

Table 4.6 Intra country ranking of work goals �– men and women

Men Women

Work goals UAE7

countries*UAE

7

countries*

Opportunities to learn 1 8 1 5

Pay 2 2 3 3

Job security 4 5 2 6

Interesting work 5 1 4 1

Opportunities for promotion 3 11 7 11

Match between person and job 9 6 5 4

Variety 7 7 6 8

Convenient work hours 6 9 8 7

Interpersonal relations 8 3 9 2

Working conditions 10 10 12 10

Autonomy 11 4 11 9

Long holidays 12 10

Source of data for 7 countries* (Belgium, Britain, Germany, Israel, Japan, Netherlands, U.S.A.), Harpaz (1990) �‘The Importance of

work goals: an international perspective�’, Journal of International Business Studies, First Quarter, 21, 1 (p.85)

Respondents were also presented with the statement; �‘Work is not a priority for me. I would

prefer a job that is routine and not stressful so that I can focus on other areas of my life,�’ which

although still resulting in a positively skewed distribution, produced the lowest male mean

(3.13) of all the attitudinal statements (see figure 4.12 below).

'Work is not a priority for me. I would prefer a job that is routine and not stressful so that I can focus on other areas of my life.'

0

10

20

30

40

50

Stronglyagree

Agree Not sure Disagree Stronglydisagree

malefemale

Figure 4.12 Attitudes about the importance and nature of work by gender

However the mean for female respondents was 3.75, and a total of 67.5 per cent of female

respondents agreed or strongly agreed with the statement.

60

The data was tested using the Wilcoxon two sample test which yielded a significant difference

between men and women (W = 1325.5, p <= 0.02289).

4.3 Research objective 3To identify UAE national undergraduates�’ attitudes to working in diverse working environments

(mixed gender, mixed nationality), and to explore the extent to which diversity in private sector

organisations is a barrier to Emiratisation.

A section containing seven statements focused on diversity. Again, responses showed a

positive skew but when oppositional statements were paired, some differences were

observable as can be seen in figures 4.13 �– 4.15 below.

0

10

20

30

40

50

60

Stronglyagree

Agree Not sure Disagree Stronglydisagree

I would like to work in a mixedgender team.I would prefer to work in asingle gender team.

Figure 4.13 Attitudes to diversity: mixed versus single gender teams

0

5

10

15

20

25

30

35

40

45

50

Stronglyagree

Agree Not sure Disagree Stronglydisagree

The nationality of my linemanager is not important.I would prefer an Emirati linemanager.

Figure 4.14 Attitudes to diversity: nationality of line manager

61

0

10

20

30

40

50

60

Stronglyagree

Agree Not sure Disagree Stronglydisagree

I would like to work in a mixednationality team.I would prefer to work in an all-Emirati team.

Figure 4.15 Attitudes to diversity: mixed nationality versus Emirati only teams

The first pair, concerning mixed versus single gender team, was tested using the Wilcoxon Two

Sample Test and the difference was significant (W = 10218, p <= 0.001095) suggesting that

there is more desire to work in mixed as opposed to single sex teams. In fact the statement �‘I

would prefer to work in a single gender team,�’ yielded the lowest mean (3.48) of all the

attitudinal statements.

The second pair, concerning the nationality of the respondent�’s line manager, also yielded a

significant difference (W = 10235, p <= 0.001247) which suggests that participants would

prefer an Emirati line manager.

The third pair of statements related to mixed nationality versus all Emirati teams did not yield

a significant difference (W = 11142, p <= 0.2102) but the mean for both is high, with 4.08 for

mixed nationality versus 3.90 for all Emirati suggesting that respondents view both types of

teams positively.

The final statement, �‘I would like training on working in diverse teams�’, yielded the highest

mean (4.21) in the diversity section with only 3 (2.8 per cent) respondent disagreeing with this

statement (see figure 4.16 below).

62

I would like training on working in diverse teams.

0

10

20

30

40

50

60

Strongly agree Agree Not sure Disagree Strongly disagree

Figure 4.16 Attitudes to training on working in diverse teams

In addition to approaching this research objective through the student survey, we also

examined the extent to which diversity in private sector organisations could be a barrier to

Emiratisation in the HR manager interviews.

All of the interviewees confirmed that their UAE national employees were required to work in

multi gender/multi national teams and the general feeling was that despite most of them

having grown up in an Emirati only/gender segregated environment, this did not present any

real challenges to their successful employment or influence retention.

Interviewee B explained that while new recruits were initially somewhat uncomfortable with

mixed gender working, this did not present any major challenges in the long run, as �‘after a

week, this changes and they become more comfortable with each other�’. She went on to say

that because the UAE was such a cosmopolitan place, there were no real problems associated

with Emiratis working in multi national teams, although �‘there are a few challenges in dealing

with Westerners�’.

Interviewee A explained that because the UAE had a long history of trade with both India and

Iran, UAE nationals were very comfortable with Asian culture in the workplace and although he

conceded that they found it more challenging to deal with Westerners, �‘now for the more

educated lot of nationals, even that myth has gone. They are very used to the new Dubai�’.

Interviewee D described how she had received negative comments from Emirati employees

�‘about the fact that they were reporting to a different nationality group, and likewise, they�’ll

63

64

make comments about why there aren�’t more Emirati Station Masters�’. She also described how

expatriate line managers sometimes struggled to manage UAE national employees, so that �‘in

relation to things like timekeeping, it�’s difficult for them to have conversations, maybe they

sometimes feel a bit intimidated. They�’re just not sure sometimes how to handle the situation�’.

4.4 Research objective 4To explore how the HR practices/policies of private sector organisations have developed to

respond to the culturally determined preferences of UAE nationals and to explore their success

in terms of recruitment and retention.

This research objective was covered via the results of the semi structured interviews with the

HR managers, this time focussing on Emiratisation related HR practices and policies currently

in place in their organisations in the following areas: recruitment and selection, attractiveness

of the organisation and positions offered, career management and promotion, performance

management, coaching and mentoring, training and development and retention. Our findings

in each of these areas are described below.

Recruitment and selection

Each of the HR managers interviewed reported that formal targets and quotas for

Emiratisation were in place in their organisations and that these were based on a federal

government mandate requiring every organisation to grow the number of UAE nationals it

employs by a certain percentage each year. All interviewees stated that their organisations

hired three kinds of UAE nationals: high school leavers, graduates and mid career hires.

They identified the following methods used by their organisations to recruit suitable UAE

nationals: open days (2); attending career fairs (all); visiting university/college campuses (3);

word of mouth referrals (1); government recruitment agencies (Tanmia/ENDP/Tawteen) (2);

and private recruitment agencies (1).

Interviewee A stated that his organisation spent 3 million dirhams (approximately 1 million US

dollars) a year on career fairs, but that ultimately, word of mouth referrals were more

successful because they resulted in more suitable candidates. As he explained, �‘A friend of a

bright guy would usually be a bright guy�’. He went on to describe the importance of finding

UAE nationals with the right profile and attitude:

65

�‘So, we will not hire a UAE graduate just because he has the passport. We have a model of a

person, and irrespective of what background or education etc. we will hire you if you fit this

model�…a person who is passionate about something�…anything. This kind of person has almost

always taught himself that�…this young person must have done something. Because wanting to

do something is not good enough for us. And this young person must be able to tell what he did

and how he did it�’.

All the interviewees confirmed that they earmarked specific positions within their

organisations for UAE nationals and that these were largely entry level positions. Interviewee

C explained that the policy in his bank was that �‘for all jobs we reserve entry level positions for

Emiratis and give them the first shot at it. If we do not find Emiratis then we look at

expatriates�’. He explained the reason for this as being �‘essentially supply�’, because �‘in the end

there are teller jobs, there are customer meet and greet jobs, there�’s a lot of high school

Emiratis who can do these jobs with a little bit of training�’.

Interviewee D explained that in her organisation, Emirati school leavers, and mature UAE

nationals who had been out of work for a while, were recruited at entry level to work as

customer service agents in the metro stations, with graduates targeted for technical

apprenticeships to fill a range of engineering positions.

Attractiveness of the organisation and positions offered

Interviewee A stressed the need to attract suitable young UAE nationals by �‘inspiring�’ them

and appealing to their patriotism, pride in their country and desire to make a contribution to

the development of their country and region. He mentioned that his organisation had

developed a specific campaign to recruit nationals with the message �‘if you are up for it, you

are up for anything�’.

Interestingly, Interviewee D also reported a sense of pride as being important, stressing that

the metro itself was very appealing to UAE national jobseekers, explaining, �‘It�’s new, it�’s their

metro, and they think they�’re part of what�’s going on in this country, part of its development. It

does have quite a kudos working for the metro for them, it�’s showing people around the area,

around those stations, it has quite a buzz and they feel like ambassadors�’.

Interviewee C pointed out that one aspect of his bank�’s appeal for UAE nationals was their

perception that the bank was a valuable provider of skills and experience that would be useful

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to them in any number of future careers. �‘We�’re seen as a training ground for a lot of young

Emiratis�’, he said.

Interviewee B, on the other hand, identified the salaries her bank offered as being attractive,

with high school leavers offered 7,000 dirhams per month, diploma graduates 10,000 to

12,000 dirhams per month, and higher diploma graduates 14,000 to 15,000 dirhams per

month.

For Interviewee C, aspects he identified as being off putting to UAE nationals included �‘various

issues around timing�’, as some young Emiratis wanted to finish at half past two, as in the public

sector, and the �‘unfriendly laws in the country around women and pregnancy and stuff like

that. You see, they�’re not very supportive, �… but this is a country wide issue not only our bank�’.

Interviewee D also reported timing as being an issue for UAE nationals, with the shift work

required at the metro proving to be very unpopular.

She went on to say that the salaries they were paying were also off putting, with UAE nationals

currently earning 7,000 dirhams per month, which was below that offered by public sector

organisations paying 8,000 to 8,500 dirhams per month to new starters.

Career management and promotion

All interviewees confirmed that their organisations had policies in place to manage career

progression and promotion of UAE national employees.

Interviewee A highlighted the strong desire on the part of UAE nationals to have a clearly

defined career path and described the approach his organisation was taking in providing this

for them:

�‘Our UAE nationals want to get ahead, and they want to know how they will get ahead. They

have been lulled by the society to say that you�’ll get ahead if you stick around. Our deal is

sticking around doesn�’t help. If you produce these outcomes for sure you�’ll get ahead�…. It�’s a

policy, a written down policy�’.

Interviewee C explained how his bank had introduced a fast track programme to manage the

careers of �‘high profile�’ UAE national graduates �‘who get hired and then they are in accelerated

development programmes that takes them to mid management positions in a spate of two

years, but beyond that we don�’t want to guarantee anything because it�’s all down to

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performance�’. When it comes to promotion, �‘criteria is the same for everyone, because you can

get promoted based on if you move to a more senior job, or if your own job gets�…grows to a

point where the job moves to a higher grade�’.

Interviewee D described how career management in her organisation involved recruiting UAE

nationals as Station Agents, giving them an appropriate amount of experience to pass various

competency assessments, and then bringing them up to Station Master level. As with

Interviewee A, she stressed the importance of providing a clearly defined career path because

�‘there�’s a huge desire (on their part) to move from Station Agent to Station Master because it�’s

a step up in responsibility, it�’s your station and you�’re kind of in charge�’.

Interviewee B stressed how the career development of UAE nationals was the responsibility of

the entire organisation, not just the HR function, and that to succeed it would require

�‘changing the mind set of the whole organisation. It�’s a big challenge�’. She went on to discuss

how her bank had put in place a programme to assist UAE national employees develop their

careers in the bank and that this was in response to a lack of confidence on their part where

�‘they are happy to be tellers but lack the confidence to become head tellers�’. She also discussed

the importance of moving Emirati employees from positions in which they were failing, to ones

that better matched their educational backgrounds and skills sets.

Performance management

Interviewee A described how his organisation used a �‘standardised�’ performance management

system and that �‘there is every forty days a sit down performance review�’ when employees�’

performance is measured against job specific targets and outcomes. He went on to say that

�‘we made life tough for everybody. What does tough really mean? Tough means expectations

are really clear, here are things you got to do, you do this you get ahead, you don�’t do this, you

don�’t get ahead�’.

Interviewee C also confirmed that his organisation used one system to evaluate all employees,

irrespective of nationality and that everyone was evaluated online.

Coaching and mentoring

Interviewee B explained how all UAE national employees were managed by Emirati line

managers as a deliberate policy. She went on to describe how her bank had recently created

its own coaching unit, with the aim of training all line managers to become coaches and

mentors.

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Interviewee C also confirmed that the preference was for more experienced Emiratis to act as

coaches and mentors. This was because �‘Emiratis prefer to talk to Emiratis. We try to ensure

that every unit or function has a senior Emirati, who can be, you know, reached out to by the

younger people. These people are also used to counsel them in the case of absenteeism, late

coming, you know, stuff like that�’.

Interviewee A, however, stressed that the nationality of the line manager was no longer

important in his organisation. In his view, �‘a couple of years ago it did matter, they preferred

national line managers, but it�’s progressively becoming less and less. We are giving them both

national and expat managers�’.

Interviewee D explained that while there was no �‘formal�’ coaching and mentoring system in

place in her organisation �‘our Emiratis do tend to have mentors�…; they�’re assigned within the

business, within line management�’. However, she went on to describe how they tried to avoid

�‘putting Emirati with Emirati�’ and instead �‘we try to separate that out in that they�’re managed

equally�’.

Training and development

Interviewee C described how new recruits at his bank were put through a two month training

programme that focussed on a variety of areas including customer service, English language

skills, and in depth product training.

At Interviewee D�’s organisation, new recruits were put through a 12 week, classroom based

training course that emphasised working in an organisational set up, time keeping, safety and

critical communication skills and team working.

Interview A explained that in his organisation new recruits were given a 40 day programme

that focussed on, among other things, communication skills and report writing.

In Interviewee B�’s organisation, initial training focussed on how to behave at work (how to

interact with colleagues, for example), as well as job application skills.

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Retention

All Interviewees confirmed that retaining UAE national employees was a real challenge for

their organisations and highlighted a number of common reasons given by nationals for

leaving.

Interviewee B reported a 25 per cent turnover of UAE nationals each year and stressed that

most of them were not leaving for a better salary, but rather because of an absence of a clear

career path and because of a perceived lack of support from their line managers, who were

often reluctant to transfer knowledge and skills because of a fear of being replaced once the

Emirati line manager was deemed suitably experienced to take on the role.

Interviewee C reported a 38 per cent turnover in the previous year. He also mentioned

resistance on the part of expatriate line managers as a reason given for leaving and reported

that a common complaint from UAE national employees was �‘we�’re not being given work�’.

Other reasons discussed were as follows:

�‘Some of them prefer to go to entities where the fact that they�’re a national will push them

upward quicker, and there�’s a lot of people who would leave a 14,000 dirham job and move to

a 10,000 dirham job, where you can be home by two thirty and you�’re guaranteed

employment�’.

He went on to say that although some Emiratis leave for higher pay and �‘things like working

hours, culture, more nationals in the workplace, this is all very important�’.

Interviewee A reported a much more positive picture with a turnover rate of 14 per cent in his

organisation in 2008, which had been dramatically reduced so that it was now �‘pretty much

touching 0 per cent�’.

Interviewee D reported a higher turnover rate of national versus expatriate employees and

identified frustration in waiting for a promotion as a common reason given, explaining that

�‘they probably think we�’ve over promised and under delivered, there�’s probably a lack of

understanding about what they need to achieve to get to the next level�’. She also mentioned

dissatisfaction with shift work and pay as common reasons given for leaving.

When considering retention, it is interesting to compare the experiences of the HR managers

interviewed with the data collected for the ENDP study. The study found that in 2008, turnover

rates in the organisations they surveyed ranged from 33 per cent in the Banking & Finance

sector to 25 per cent in the Real Estate sector (See Figure 4.17). As previously discussed,

Interviewees B and C, both from the Banking & Finance sector, reported turnover rates of 25

per cent and 38 per cent respectively; figures which largely concur with the ENDP findings.

Figure 4.17 Turnover rate per sectorSource: ENDP Retention Sectors Report (2008)

The HR manager interviews had indicated that the most common reasons given by nationals

for leaving included �‘unsupportive line managers�’ and �‘lack of a clear career path�’, but also

mentioned �‘working hours�’, �‘culture�’, �‘number of Emiratis in the workplace�’, �‘infrequent

promotion�’ and �‘inadequate pay�’, as contributing factors. Looking at the reasons given by

nationals surveyed in the ENDP study (see Figures 4.18 4.22), it is interesting to note that while

�‘line manager�’ was the most frequent cited reason for leaving organisations in both the Trade

(31 per cent) and Hospitality (60 per cent) sectors, it was not given so much importance by

employees in the Banking & Finance sector (8 per cent). �‘Lack of career development�’,

however, was reported by employees in the Insurance (25 per cent), Banking & Finance (17 per

cent), and Trade (5 per cent) sectors.

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Figure 4.18 Reasons for resignation Trade sectorSource: ENDP Retention Sectors Report (2008)

Figure 4.19 Reasons for resignation Hospitality sectorSource: ENDP Retention Sectors Report (2008)

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Figure 4.20 Reasons for resignation Banking & Finance sectorSource: ENDP Retention Sectors Report (2008)

Figure 4.21 Reasons for resignation Insurance sectorSource: ENDP Retention Sectors Report (2008)

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Figure 4.22 Reasons for resignation Real Estate sectorSource: ENDP Retention Sectors Report (2008)

In the following chapter we will interpret the research findings detailed above as they relate to

our research objectives and will consider the implications for the theories outlined in the

literature review.

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5 Discussion

Our research findings suggest a number of important implications for the UAE government�’s

Emiratisation strategy. As previously discussed, the main focus in recent years has been on the

Emiratisation of the private sector and the message being passed down to UAE employees is

that the old social contract can no longer be relied upon. Last year, for example, Sheikh

Nahyan bin Mubarak Al Nahyan, the Minister of Higher Education and Scientific Research

made clear the government�’s view going forward:

�‘We must develop strategies with private sector employers to help persuade nationals that

employment in the private sector is highly desirable�… and we must provide data and

information about different careers and job openings to students and others seeking work

across the country�’ (UAE Yearbook 2010, p.164).

From the results of our research it appears that this message has successfully filtered down to

Emirati students in higher education as our findings indicated a very high awareness of the lack

of opportunities for UAE nationals in the public sector, and an acknowledgement that more

Emiratis will need to work in the private sector from now on. Moreover, these same students

also displayed an awareness of the importance to the UAE�’s future economic success of more

UAE nationals working in the private as opposed to public sector.

Our findings seem to contradict recent research by Fostenlechner, which identified a lack of

awareness on the part of UAE national students about employment opportunities in the

private sector (Moussly, 2011). The study is not yet published and so we are unable to

determine the demographics of the survey sample used. It could be that their sample was not

Dubai centric, and if so, perhaps Dubai based UAE nationals have a much greater awareness of

the private sector than their compatriots in other emirates. This is because Dubai has the most

developed of the emirates�’ economies and consequently, the HCT colleges based in the

emirate are better served by private sector organisations when it comes to participating in

career fairs and providing work placements.

Nevertheless, this increased level of awareness on behalf of UAE national jobseekers, will not

necessarily convert into new hires for private sector companies. This is because there is still a

disconnect between what is said by official government spokespersons and what the

government actually does in reality; i.e. despite campaigning to encourage more nationals into

the private sector, the government has not reduced the disparity between the two sectors and

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in some cases (e.g. with recent large pay rises in the public sector) has actually increased the

gap. This state of affairs must create some degree of cognitive dissonance for UAE job seekers,

and until there is greater parity between the two sectors, it could be that although these

future job seekers proclaim to have an awareness of the employment opportunities available,

they may still decide to hold out for a more lucrative public sector job. As we pointed out

earlier, a further matter for concern is that only 10 per cent of female students at Abu Dhabi

HCT expressed a desire to work in the private sector in 2009.

That said, our findings do suggest a quite dramatic change in mind set among young UAE

nationals with 23 per cent of our sample expressing an intention to work in the private sector

and 24 per cent willing to work in either sector. Furthermore, employment sector intention

appears to be correlated with the sector in which students did their work experience, implying

that the more private sector companies can engage with the federal education sector, the

greater the positive impact on students�’ future employment sector intentions. However, it

could also be that Dubai based students just have a higher awareness than students in other

emirates where the private sector is less developed.

With respect to salary, our research indicated that there was a wide variation in starting salary

expectations. However overall, expectations were high and although they rose with

qualification level, it was notable that there was no significant difference between

expectations of students intending to work in the public sector and those intending to work in

the private sector. From this study it is difficult to assess to what extent these expectations are

unrealistic. Clearly, for students planning to enter the telecommunications sector, the AED

19,000 starting salary offered by company A would be agreeable, whereas the much lower

starting salaries at companies B and D would probably require some adjustment. What seems

critical however, especially in order to recruit local Emiratis is the need for private sector

companies to set their entry level salaries above those of the public sector.

However, the work goals ranking offers some hope for private sector companies who cannot

match salary expectations. �‘Good pay�’ was ranked 2nd but this was the same as Britain and the

U.S. and lower than Germany in Harpaz�’s study. As shown in the findings chapter, �‘interesting

work�’ was the most valued work goal. As Harpaz notes in his study, �‘the typical orientation of

people toward their work might be quite complex. What is revealed is a picture of workers who

are neither exclusively expressive nor completely instrumental in their attitudes, but highly

concerned with both aspects of work�’ (Harpaz, 1990, p86). Thus private sector companies

might do well to focus on more expressive goals that UAE nationals seem to value.

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Of the 12 work goals, �‘opportunities to learn new things�’ was the most valued factor for both

men and women, it�’s importance further reflected in the Likert item on developing skills and

knowledge. This was surprising as it was given a much lower priority by participants surveyed

in the other countries. While only Interviewee C identified it explicitly as an aspect that

appealed to UAE national jobseekers, the fact that most private sector companies with

Emiratisation programmes do provide school leavers and graduates with training courses and

on the job training, leads us to recommend that this aspect of the positions offered be given

salience in their recruitment campaigns.

Whilst not included in our list of work goals, HR managers reported having some success at

promoting organisational commitment with UAE national employees by appealing to their

patriotism and desire to be part of the country�’s development. As discussed in Chapter Two,

organisational commitment may result in increased job satisfaction and higher levels of

retention and this appears to be the case according to the HR managers interviewed. It may

prove to be a more successful strategy than the UAE government�’s preference for monetary

rewards and top down mechanisms like quotas.

�‘Opportunities for promotion�’ was also prioritised by UAE nationals, particularly by males, and

this goal was ranked much higher than by other countries. The Likert items relating to

promotion also showed it to be very highly valued by UAE nationals and this corresponds to

the status needs of individuals in Hofstede�’s high power distance cultures, although it also

contradicts the �‘low ambition for advancement�’ trait identified as common among high

uncertainty countries.

Furthermore, the strong desire on the part of UAE national employees to have a clearly

defined career path and to �‘get ahead�’, echoes Aldefer�’s �‘growth needs�’, as discussed in

relation to motivation theory.

Among our private sector company sample, it was common practice to earmark positions and

fast track certain UAE national employees, although the practice of over promoting Emiratis in

the banking sector to have come to an end and was not reported as being acceptable practice

by any of the organisations studied. So, whilst promotion was highly prized, the route to it

should be through career management, mentoring, coaching and talent pools and other such

support and fast tracking techniques.

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In contrast to the ambitious, status seeking Emirati stereotype, however, evidence also

emerged from the survey that work was not a priority for many UAE women. Whilst this would

tend to be expected in a more traditional culture, it seems surprising coming from a group of

Dubai based women who are just completing higher education. However, when considered

alongside Simadi�’s findings in which economic values were valued least by young Emiratis, this

is more congruent. Moreover, if the agreement relates as much to the part of the statement

relating to �‘routine and non stressful work�’, then this could present some challenges for

private sector companies trying to attract UAE nationals to take up employment in a fast and

dynamic sector driven principally by economic values that they do not prioritise.

�‘Job security�’ emerged as the third most prioritised factor, which would appear to support

Hofstede�’s finding that job security is a priority for high uncertainty avoidance countries and

also that stability is valued in Islamic cultures.

We had expected �‘working conditions�’ to be prioritised, as this would fit with Hofstede�’s claim

that powerful members of society in high power distance countries such as the UAE express

power through visible signs of status. However, although this goal was rated more highly

among UAE men than women, it nevertheless emerged overall in 10th position which was the

same ranking or within one rank of all the other comparison countries. This does suggest

therefore that either this ranking question does not capture the importance conferred on

visible status symbols, or that the importance placed by UAE nationals on satisfying such

�‘esteem needs�’ has been overstated.

The additional factor, �‘long holidays�’, which we added because of press reports suggesting UAE

nationals prioritised it greatly, ultimately proved to be unimportant to them, with both UAE

national men and women ranking it at 12th and 10th positions respectively.

Looking at cultural issues, while the HR managers interviewed confirmed that attempts were

made to accommodate the cultural requirements of UAE nationals, results from the ENDP

report suggested that organisational values sometimes came into conflict with the values

espoused by Emiratis. For example, 17 per cent of resignations from the Banking & Finance

sector were reportedly due to individual organisation value conflict among UAE nationals

working in non Islamic banks. When considered alongside Simadi�’s research, which found

religious values to be prioritised by young UAE nationals, this should no longer be surprising.

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With respect to diversity, UAE national students appeared to prefer mixed gender to single

gender teams. They also valued the opportunity to work in mixed nationality teams, although

not more than in Emirati only teams. Whilst this reflects a positive attitudinal outlook to the

diversity experienced in the typical private sector workplace, our earlier discussion suggested

that due to their educational background, many UAE nationals entering their first job could be

unprepared for it. Furthermore Bennett and Wright�’s (2010) research found that female UAE

nationals�’ teamworking behaviour was at odds with the expectations of Western private sector

companies and counter effective in terms of their own assertiveness and profile. Although

Interviewee D reported that her company provided UK standard diversity training to all new

recruits, none of the other HR managers we interviewed thought there was a need for it,

because of UAE national�’s familiarity with Dubai�’s diverse nature. However, our survey appears

to contradict this view, suggesting that UAE national students saw a strong need for this. This

finding provides support to Al Waqfi and Forstenlechner�’s assertion (2010) that UAE nationals

need help in acclimatising to the private sector.

Our research findings also indicated that survey respondents had a preference for Emirati line

managers. Dislike of working for a foreign manager was a trait identified by Hofstede in high

uncertainty avoidance countries, so this could relate to this dimension, or equally to the

preference in a collectivist culture for an in group trainer or supervisor (Holladay and

Quinones, 2005). Interestingly, companies B and C and to some extent D, provided Emirati

coaches or mentors. As highlighted by Niemann and Dovidio (2005), this practice can help

create job satisfaction and promote retention among minority groups and so should be

encouraged, especially given that both the HR managers and the findings of the ENDP report

highlighted �‘unsupportive line managers�’ and �‘lack of career development�’ as key reasons for

UAE nationals leaving their organisations, with the first acting as an important motivator and

the second, an important hygiene factor, to use Herzberg�’s terminology.

Finally, our findings revealed that UAE nationals appear to believe that allocation decisions for

promotion should be based as much on how long an individual has worked for a company, as

on their level of performance. This appears to support research by Fernandez and Awamleh

(2006), which found that procedural justice was not aligned with UAE nationals�’ performance

and job satisfaction, possibly because affirmative action government policies ensured their

continuous employment and career growth.

However, the HR managers we interviewed appeared to be actively challenging these

perceptions. In company A, for example, promotion was reported to be based on achieving

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strict performance targets, which Interviewee A said was challenging perceptions that they

could get a promotion by just �‘sticking around�’ and by dint of �‘having the passport�’.

In the concluding chapter to follow, we will discuss the extent to which we have met the aims

and specific research objectives as outlined in Chapter 1, and will draw conclusions that have

emerged from our research. We will acknowledge the limitations of our study and make

suggestions for further research by others. We will finish with a final section on our personal

learning.

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6 Conclusion

In conclusion, our four research objectives have provided us with fascinating insights into UAE

nationals�’ awareness of employment opportunities in the private sector, their attitudes, values

and priorities towards employment and a greater understanding of what constitutes �‘best

practice�’ in terms of HR practices that contribute to the successful employment of UAE

nationals in private sector organisations. The overarching aim of exploring the gaps between

UAE national graduates and what private sector organisations can provide has revealed the

need for organisations in the private sector on the one hand to keep pace with the basic

requirements of UAE national employees, such as benchmarking pay and conditions, while at

the same time focussing on developing a powerful offer in terms of learning and development,

long term career management and opportunities for promotion.

The future outlook for Emiratisation may very well depend on the ability of organisations to

foster greater levels of organisational commitment amongst their Emirati employees,

commitment that may well be harnessed through the provision of employment opportunities

that leverage their desire to contribute to the development of their nation.

A final insight that emerged from our study with implications for private sector companies is

the strongly expressed desire on the part of UAE nationals for training on working in diverse

teams. The provision of such training programmes may serve to better prepare and integrate

UAE nationals, coming from a federal education system, into the highly diverse workplace in

which they find themselves a minority.

6.1 Limitations of this studyAs our data collection was necessarily limited to the emirate of Dubai because of time

constraints, the relevance of our study to the wider UAE context could be challenged.

A further limitation concerns our samples in relation both to the gender and programme

balance of our survey population, and also to the size of our HR manager sample, where we

were frustrated by both the number of interviews we were able to conduct, as well as the

number of organisational sectors represented.

A further limitation concerns methodology. One of the weaknesses associated with Likert

scales relates to the possibility of �‘acquiescence bias,�’ caused by the tendency of respondents

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to express agreement with survey statements in order to �‘please�’ the researcher (Bertram).

Our results showed positive skews across all the Likert items but it is not possible to determine

whether this represents genuine responses or an acquiescence bias.

6.2 Directions for future researchThe broad scope of our survey gave us insight into many aspects of UAE nationals�’ attitudes

and expectations. Some of these yielded interesting findings which we believe merit more

detailed studies in their own right. In particular the unexpected salience of the work goal,

�‘opportunities to learn new things�’, could be explored further to find out if this goal is valued in

UAE nationals who are several years into their careers or it is just a phenomenon pertaining to

students for whom learning is currently their most important goal.

Another unexpected finding in the work goal ranking was the low priority accorded to

�‘interpersonal relations�’, a very surprising outcome for a collectivist culture. Again we believe

this justifies further study to establish if this truly is not highly valued, or is related to the

expectancy of working in a diverse workplace where the majority of employees are viewed as

members of the �‘out group�’.

Another interesting finding which the HR managers that we interviewed did not view as

necessary (until prompted in the case of interviewee D) was training in working in diverse

teams, which most of our survey sample expressed a desire for. A mixed data collection study

that combines surveys and/or focus groups, with observational data from a case study could

yield more insights into the specifics of what form effective diversity training for this group of

graduates would take.

Finally, because of the many cultural, social and economic similarities that exist amongst the

countries of the Gulf, we believe our research has wider regional applicability and feel that

data collection in the other GCC countries would yield further interesting insights into other

localisation initiatives (Saudisation, Omanisation, etc).

6.3 Personal learning and reflectionIn the opening chapter, we outlined our personal learning objectives which involved aspects of

the following types of learning: substantive, methodological, processual and self knowledge.

The following section provides a brief summary of our personal learning and reflection in each

of these areas.

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6.3.1 Substantive learning

As managers, we live in a world of increasing complexity and turbulence, and nowhere is this

description more fitting than the United Arab Emirates in 2011. At the beginning of our MBA

course, MPIO prescribed reading included Bolman & Deal�’s Reframing Organisations (2003) in

which they discussed the necessity for managers to develop the �‘art of reframing�’ the ability

to look at complex situations from multiple perspectives, so as to deal with the �‘cluelessness�’

that is often a feature of the modern business environment (Bolman & Deal, 2003, p.4 5).

Having finally come to the end of our MBA studies, we feel that the reframing approach has

stood us in good stead as we explored the topic of Emiratisation. Our learning has been

immense. We now have a much broader understanding of the political frame and how this has

contributed to the unique economic demographics of the UAE and the employment

expectations of its local populace. Also, at the level of the organisation, we are now more

aware of how the Emiratisation agendas of private sector organisations have affected and

been affected by the expatriate workforce. Our focus on the cultural domain has given us new

insights not only into UAE national culture and how this may affect attitudes and expectations,

but also into the organisational culture of UAE private sector companies and how this has

adversely affected training and career management of employees. We have also looked at

Emiratisation through the human resources lens and found many organisational behaviour

theories that apply to the topic of Emiratisation, and have learnt an enormous amount from

the HR managers who have shared their experiences of implementing Emiratisation

programmes in their companies along with the successes and challenges that have marked

their progress.

6.3.2 Methodological learning

This project has served as a useful vehicle for developing a range of research skills that we will

be able to utilise in our future working lives. Specifically, we have developed skills in relation to

carrying out primary research through designing and conducting valid and reliable

questionnaires and carrying out semi structured interviews. We have also achieved a greater

understanding of the techniques of data analysis and feel confident that we can apply these

skills effectively to meet future research objectives.

There have also been many learning points. For example, gaining access to respondents, both

UAE national students and HR managers, proved to be considerably more problematic than we

had initially anticipated, and in future, we would certainly allow more time for this. We also

seriously underestimated both the time and complexity of securing official permission from

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HCT management to carry out research at the colleges and again, would in future build in

more time to mitigate against such delays.

6.3.3 Processual learning

Our objective here was to reflect on the project process, and the problems and solutions in

implementing techniques, concepts and theoretical models to assist with the understanding of

a complex issue.

Of the many stages of the project, we found formulating our research idea to be one of the

most challenging aspects. After a thorough reading of the Saunders text and Strathclyde

project guidance notes, we embarked on the process of funnelling down. One of the tools we

applied early on in this process was the �‘blue sky thinking�’ technique that we had encountered

on the strategy module of the course. This encouraged us to think creatively and generate

ideas and options, which we then developed when formulating and clarifying our research

topic (see appendix 6).

Another challenge was applying relevant MBA literature to our main topic area of

Emiratisation. Although we were able to source relevant research and relate many elements of

it to Emiratisation and UAE culture, our resulting literature review was very broad in scope. It

was then a challenge to relate our findings back to this large body of research whilst at the

same time drawing out gaps between the findings of our survey and the HR private sector

practices. The task necessitated that we were judicious in selecting and linking the most

salient findings from our survey, interviews and literature, and through the process of

synthesis bring these together into our discussion and draw out implications. To help us with

this task, we found that team discussions focused on our research objectives proved an

effective way of drawing out relationships between the literature and the findings.

Other tools we found invaluable in simplifying the complexity of the planning process were (i)

spreadsheets that allowed us to plan our time and mark milestones, (ii) task lists that broke

the project down into stages with deadlines and assigned owners, and (iii) Google docs �™

which enabled us to work simultaneously on the same document.

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6.3.4 Self knowledge

Karen

To expand my self knowledge, I set out in this research project to reflect on my strengths and

weaknesses and also on what aspects of the project motivated me the most. In terms of

motivation levels, I noted that, probably in common with many of my longer term work based

projects, I was very energised and focused at the outset and towards the end, but I

experienced a mid project lull, which was exacerbated by personal and professional

commitments that prevented me from maintaining regular exposure to the project. This then

presented the challenge of refocusing on the project. A tool that helped me overcome this was

the project spreadsheet that I designed and in which we planned our daily time commitment

and marked our milestones. The nature of my education projects for the British Council has

rarely merited such a detailed project plan to date, but I now plan to use this tool more often

in my work because it helped me to focus, re establish momentum and re plan the time I had

left available.

Julian

Firstly, my self knowledge of my role in teams has been challenged during the course of

working on this project. In the past, I have always seen myself as taking the role of �‘Shaper�’ �–

to use Belbin�’s terminology �–in teams I have been involved in. My contribution to team

effectiveness has traditionally been to tailor team processes (i.e. to keep the team on task and

filter ideas from other team members). However, during the course of this project I have found

that I can also assume the role of �‘Plant�’ (i.e. as a supplier of creative ideas).

Like Karen, I also found it challenging to maintain momentum throughout the extended study

period and on occasion struggled to meet the strict timetable of project commitments during

intensive periods of work travel. The necessity of completing agreed study hours to schedule,

even when faced with tiring work and travel commitments, has helped me develop an acute

self awareness of when to best schedule activities that require creative thinking versus

uncreative tasks that can be done in the time when I am at my least mentally alert.

7 Appendices

7.1 Appendix 1: Survey questionnaire

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7.2 Appendix 2: Survey results raw data

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7.3 Appendix 3: HRmanager interview framework

1. Please can you provide us with an overview of your Emiratisation programme?

2. How long have you had an Emiratisation programme?

3. What percentage of your current workforce is made up of UAE nationals?

4. Do you have targets for Emiratisation? What are they? Have you revised your targets

since starting your Emiratisation programme? How have they changed over the last 5

years?

5. How do you recruit UAE nationals? What aspects of the company and the positions

you offer are particularly attractive to UAE nationals? What aspects of the company

and the positions you offer do you think could be off putting to UAE nationals?

6. What starting salary do you offer UAE graduates?

7. Do you have policies in place to manage career progression?

8. Do you have a standardised performance management system, or if not, what are the

differences between PM system for UAE nationals and expats?

9. What criteria do you use to determine when to promote UAE national employees?

10. Do you earmark specific positions within the organisation for UAE nationals?

11. Do you make any special provision to accommodate the cultural needs of UAE national

employees?

12. How do you manage the training needs of UAE nationals? Do you have a graduate

training programme?

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13. What areas do you focus on in the training programme?

14. Do you assign each new UAE national employee with a coach/mentor?

15. Are UAE national employees mentored by middle or senior level managers?

16. Are UAE national employees mentored by UAE national or expatriate colleagues?

17. Do UAE national employees work in mixed gender teams? If so, does this present any

challenges?

18. Do UAE national employees work in mixed nationality teams? If so, does this present

any challenges?

19. What strategies do you have in place to encourage retention of UAE national

employees? Is the turnover of UAE nationals higher, lower or about the same as that

of expatriate workers?

20. What are the most common reasons given by UAE national employees for leaving the

organisation?

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7.4

7.4.1 Interviewee A

HR Manager at Company A

Gender Male

Nationality Asian Expat

Sector Telecommunications

Company Locally owned

Date 27 January 2011

Interviewee Previously worked for one of the locally owned banks

Before we started recording this HR manager informed us that his company spend about AED 3million annually on career fairs. Considers it very expensive and uses up lot of resources forlittle recruitment �– receive too many CVs and everyone expects a response. But need to bepresent at these events

0.0 preamble

2.50 company status �– 80% government owned, private sector like the banks. Follow andprovide best interpretation of UAE labour law for private sector companies

5.0 Company A doesn�’t treat Emiratisation as a topic in itself so while we still have anationalisation targets and focus development on Emiratis but we don�’t have anyexpectations of Emiratis that we would not have of anyone else

6.24 �‘We do not have a special promotion policy for UAE. Because whatever we do, we justhave to keep the customers coming. And from a customer perspective they reallydon�’t care whether it�’s a Caribbean or Asian or Emirati �– who�’s designing it, or who�’sbringing the thing, they just want it to work, and if it doesn�’t work, they�’re not going toforgive us if we have hired a trainee, that really doesn�’t matter to the customer.�’

7.10 Q: Positive discrimination?�‘There is. Well there is a little bit more over here than we had at XBank. At the bankwhen I first joined in 2001 there was a lot of positive discrimination and we would hireEmiratis because they were Emiratis but we realised that it does not help the bank toget to where it wanted to get to. The bank wanted to move from being a quasi bank tobeing a government bank to becoming a frontrunner in terms of credit card and loansand mortgages. In 3 years they tripled their volumes and realised that in order to dothat everybody has got to do what needs to be done.

7.59 Discussed the decree that came in that all bank managers had to be UAE nationals.Mentions ghost workers �– hiring UAE national as bank manager but then hiring theexperienced expat at the assistant when in reality he/she ran the bank. Eventually they

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got rid of all the UAE national bank managers and the assistants and starting hiringgenuine UAE national bank managers and started running the XXX Programme(Programme for Accelerated Learning) programme in �’04. Took about 3 years to do butmanaged to get genuine bank managers into position

9.0 XXX programme: �‘after 18 months at our company (21 months in the bank) a fresh 23year old grad, we will get him into what we call a �‘fully competent positions�’ e.g. bankmanager. By 2007, of the top 10 bank managers in UAE, 5 were XXX grads and 5 wereold bank managers, 2nd �– 4th spots held by XXX grads

10.49 So we will not hire a UAE graduate just because he has the passport. We have a modelof a person, and irrespective of what background or education etc, we will hire you ifyou fit this model

11.32 find a person who is passionate about something �… anything. This kind of person hasalmost always taught himself that �… this young person must have done something.Because wanting to do sth is not good enough for us. And this young person must beable to tell what he did and how did he do it.

13.50 We want to find someone who can think on his feet.

15.21 Q: Emiratisation targets?Yes, we�’ve exceeded them this year. Company A is about 4 years old. Originally wenever had any targets. Last year was the first year and we had like notional targets.Now we have a formal Emiratisation strategy �– 3% year on year growth. Etisalat has1% year on year target but Etisalat is very big

16.30 2000 employees. Were supposed to be at 22%. Closed 2010 at 23%

17.0 not very clear but I think he�’s talking about pay and Emiratis and he says they�’vealmost trained Emiratis NOT to perform if you give him or her a freebie

17.52 Q: Is there an expectation on behalf of UAE nationals to be paid more?Generally yes but that�’s because they sense that that�’s what everyone wants to do �…the public sector, the private sector, the national stereotype, the things that they hearin the universities and colleges, the companies that go to career fairs, their big sellingthing is pay. So all of us collectively contribute towards moulding this young person�’smind that there�’s lots of money to be had and that becomes the main goal for him�’

19.15 Q: Companies do this because they feel they have to compete with the packagesoffered in the public sector?�‘Yes he agrees but in his experience doesn�’t feel it is necessary to do so �– XXXProgramme paid AED 2000 less than anyone else and tell them at interview (12,000 cf14,000 in other banks)

20.0 Justification for XBank salary �– about it not exceeding what they were already payingsomeone with 7 years experience

20.20 AED 19 20,000 to fresh grad at Company A which he feels is too high. We feel it is oneway to attract UAE nationals. But actually the person we are looking for, thispassionate person who can think on his feet, who is raring to go, they want reward asa consequence. And we still need to learn this at Company A, that this is really whatthey want.�’

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21.20 Q: Almost by paying less you are attracting the people that you really want?�‘Yes, it sounds counter intuitive but it worked at XBank and I think it is starting to catchon here as well.�’

21.36 We recruit mainly on campuses but the method I would really like to use is reference,word of mouth. Says this is what happened to XBank in the end. Because every XXXtrainee would find a friend a join. And a friend of a bright guy would usually be a brightguy.

23.0 Feels they are getting tougher and tougher and more exciting (on recruitment?) atCompany A. New career path for UAE nationals called YYY Programme and themessage in the campaign they have out is that if you are up for that, you are up foranything.

24.0 Feels UAE nationals are very nationalistic, proud, very committed in their heart tomaking a contribution to the region. They do not always have the opportunity to makethis contribution because the system we have created lulls them into a sense ofsecurity .. and competency (not clear) so this bright young person who wants to dosomething big because this will make him feel proud and different, he doesn�’t get thisopportunity or the skills.�’ I learnt this back in 2001 �– tells the story about seeing lightson in the XBank building at about 11pm one night �– tourism guys working on theshopping festival. Went to see them the next day and discovered they were allEmiratis. So he asked himself why do UAE nationals walk away from work at XBank at2pm so this was when he realised that you need to give them the opportunity to dosomething that truly inspires them

26.40 At Company A we give a really young person the chance to make a difference. Theprogramme is a sink or swim programme �– puts something in the programme like aproject, a thing that you do on the side after you�’ve done 8 hours work. Then explainshow tough the programme is �– after 40 day programme (to brainwash people) thenyou go on the sales floor for a couple of months and you need to meet the same salestargets as other sales assistant who has years of experience. And you may not get adesk. If you sell you pass and if you don�’t sell you don�’t pass. So very challenging forthis young person.

30.20 Q: Asking about mixed gender groups and mixed nationality groups.�‘We really don�’t care whether you are a girl or a guy, you�’ve got to work in the retailstore, and you�’ve got to fit into the roster hours just like anyone else

31.50 Sounds strange but I think no UAE national who we have offered a job to has walkedaway. I really don�’t think there are many people who have applied and said that no wewill not join when the offer came. I am sure there were some but that number wouldbe negligible.�’

33.15 Q: UAE nationals turnoverIn 2008 we ran a 20% national turnover, in 2009 we had a 29% national turnover in thegraduate trainee level (the associate group). This was much higher than the expatturnover. Then we struck at the YYY Programme in 2010 we had a 4.7% UAE nationalturnover in the same level.

34.47 Q: Why was that?Because we made life tough for everybody. What does tough really mean? Toughmeans expectations are really clear, here are things you got to do, you do this you get

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ahead, you don�’t do this, you don�’t get ahead. At the end of 2009 we put in place ourtalent management process. So we have 6 talent pools, 3 we started at the end of2009 and 3 we are about to start now. At the bottom we have a talent pool called �‘ZZZ�’and �…(not clear) they provide the educational content and we provide the rest.

35.40 The other thing you have got to do �… monitor you �… here is the target that you have toachieve and the targets are not in terms in learning only. No, here are what outcomesyou got to produce in whatever jobs that you are. If you do this, you are getting ahead,if you don�’t do this, for sure you are not getting ahead. If you do this level, you maynot be in the company.

36.10 ZZZ is just for nationals and sitting on top of that is the graduate trainee talent pool,that�’s just for nationals. There is nothing running parallel at that level for expatriates.Part of the Emiratisation strategy is that at lower levels we will emiratise in 5 yearstime, we will move from the current level of 27% to 82% at that level. So the talentpool is focused only nationals. And from the assistant �… level to the top talent pool,there are 3 talent pools there for everybody. Everybody has equal opportunity there toget in. So the graduate trainee guy when they graduate successfully they move to thenext level but not into the next talent pool. They only get into the talent pool if theyfulfil the criteria of that talent pool so nothing is an automatic progression foranybody.

37.30 Q: So you�’ve established a very clear tiered career progression which didn�’t exist before�’09?�‘Our UAE nationals want to get ahead, and they want to know how they will get ahead.They have been lulled (moved?) by the society to say that you�’ll get ahead if you stickaround. Our deal is sticking around doesn�’t help. If you produce these outcomes forsure you�’ll get ahead. If you won�’t produce outcomes for sure you�’ll not get ahead andwe write this thing down and we show it to them. It�’s a policy, a written down policy

38.15 Q: Do you think they need these clear guidelines more than expat employees?Oh everybody needs clear written guidelines which is why you can�’t treat Emiratisationas Emiratisation. Once you have the same HR systems running everywhere.Emiratisation really means that over a period of time you will give a lot of Emiratis tooccupy fully com positions and progressively to more and more senior positions. SoEmiratisation should be nation building, should eventually release dependenceprogressively on expatriates and build more competence and character �– it�’s not bodycount or a percentage. You would use % as a KPI maybe. We are increasingly thinkingthat this KPI should not contribute to anyone�’s bonuses, not to mine, not to the chiefHR officer, not to the CEO. It should be a KPI that is out there as a flag. Today itcontributes to my bonus but we are trying to encourage everyone that we will takethis out of the balanced scorecard.

39.54 Hard to hear but talking about % jumps they expect to see in future years at theirmore senior levels

40.40 Exit interviews in �’08 �’09 reasons for nationals leaving: �‘Pay and we were alreadypaying really high, and there is no place to go. Bit unclear but �…. Created much moreclearer and also they see the development of x opportunity x as more meaningful.Whereas previously we were spending lots of money on training but the training wasdays of training rather than meaningful stuff. People want to come out enriched andnot just go to a training course.

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42.12 Q: Do you have a standardised performance management system, or if not, what arethe differences between PM system for UAE nationals and expats?The PM system is standardised. The difference is that if you are in the talent pool, youget more rigorous PM so eg for the pool, there is every 40 days a sit downperformance review, there is a coaching programme that runs alongside that. There isa tracking system is far more rigorous because everyone in the talent pool gets scored.It�’s not competitive, everyone comes in there is an absolute benchmark.

44.0 The coaches.. originally we brought someone in but now we have trained about 7people mostly the HR people national development people, training people, our HRbusiness partners.

44.35 Trying to introduce mentor system but don�’t have one yet �– have an informal one,unofficial mentors �– credible senior people who nationals can be pointed towards.

45.0 National or non national LM/mentor/coach? I think a couple of years ago it did matter,they preferred national LMs, but it�’s progressively becoming less and less. We aregiving them both national and expat managers and their trainees more courage(?) thatno one loses out in the Emiratisation progress.

45.50 Something about growth of national % over coming years doesn�’t mean that expatswill decrease in number, not if the company keep growing organically. �‘Was the sameat XBank but then we realised that our growth projectory was so steep that we canafford a very high Emiratisation rate and still�… actually I don�’t think we let go ofexpatriates because of emiratisation

47.0 Q: Earmarked certain jobs for nationals?At the lowest levels yes. At the higher levels we have a succession plan system that weare starting to put in. Here are the present business head positions .. these got to benational positions but some of these positions require tons of experience so we willeither hire a national laterally into that position or if we try to grow a national it�’sgoing to take a long time to get there.

48.0 Best experienced nationals �– come from Etisalat. Amazing training at Khalifa �– one ofthe best engineering universities in the region

48.30 Looks at CFO position. Don�’t want to let him go so our PM system for that level, whichwe are going to put in place, the CFO should not be in that position 3 years from now.Doesn�’t mean he will leave the company. We are going to find in the next year, a reallyexciting position for him that he can occupy 2 years hence. Now in these 3 years weneed to find a person, either his direct report to get there �– who is an expatriate �– andwe will find a person to get into his direct report�’s position

50.0 Instead of vertical growth, Company A has created a spiral growth pattern. He sayscompanies with many 1000s of employees can offer lots of vertical promotion, butCompany A is too small.

52.20 And I think this is going to be one of the biggest culture changes in this company forthe next 3 years. Our willingness to focus on both expatriate and nationaldevelopment and him to develop to occupy a role that is not there yet and taking therisk that we are going to be such an exciting place that this guy�’s going to stay. That�’sgoing to be a seriously exciting challenge

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52.57 UAE gradate training turnover 2 years ago from 14% to now where we are pretty muchtouching 0% because they suddenly realise that there is an actual programmehappening within the stated programme. Before you were in the graduate trainingpool but you really didn�’t know what you were doing there

53.45 Q: Any special cultural dispensations / training for UAE nationals?No. We have a UAE national allowance. Because everyone else has a UAE nationalallowance. At XBank we made it AED 2,000 for any level, but at Company A it is higher,can be AED 2,000 up to AED 10,000 / month

55.0 No religious dispensation for nationals other than what is stated in labour law.Working hours are the same across the company

56.0 Any cultural training on these national courses?Used to have expats on the same courses, there is nothing special �– the usualcommunication, report writing, etc

58.00 End

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7.4.2 Interviewee B

HR Manager at Company B

Gender Female

Nationality Arab Expat

Sector Banking

Company Locally owned

Date 7 February 2011

1.20 Quota of 4 per cent on annual basis. Need to do 4% year on year, it�’s mandated bycentral bank and if I don�’t achieve it I can�’t open any new branch so that�’s really achallenge

1.37 34.7% at the moment so next year we have to be 38.7%

2.00 Challenge �– to maintain the number I have to look after the UAE national. So yes it isabout retention. I look after recruitment, development, deployment, succession.Recruitment I have to recruit on a yearly basis trainee, you can recruit trainee and youcan recruit full time. As long as they have contract and work full time, they count tothe quota, full time means they get a pension

3.19 We work from 7.30 to 2.30, they work in admin and they work 6 days whereas HRwork from 8.30 �– 4.30 but we work only 5 days

4.00 Starting salary, same as expat but the only difference is the UAE National Allowance.We pay that. Tanmia is only an associate centre that brings talent to provide free forany organisation. We�’re one of the people that depend heavily on Tanmia for ourworkforce

4.25 They nominate people, arrange an open day and scheduled and we have lots of �… aUAE nationals if he or she comes in from an agency, the agency will �… us for as arecruitment whereas if we have like the national or ENDP, and Tawteen, so there arethese organisations that are looked after by the government to help UAE national fromhigh school to people who are already experienced. So they help our organisations torecruit.

5.55 Q: So is that the main source of recruitment for you?We actually have like .. some of the expertise we get it from university. We needgraduates, we get them from career fairs as well. The agency get people who arespecialised, you know it is difficult to UAE national who have been working in variousareas. If I want to get someone from HSBC, I can�’t get them from the free resources, Iusually get them from an agency, or they are referred to me

6.50 Mentioned the 4 main career fairs �– Sharjah, Abu Dhabi�…Q: And do you find them useful?Oh yes, excellent. We have more apply and intake from the major career fairs

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7.30 Q: What aspects of Company B and positions are particularly attractive to UAEnationals?�…. Positions �– tellers, customer service and back office that attract UAE nationalsbecause it�’s a generic position so it does not require that much expertise so we havelots of UAE national that can apply for these posts and yes it�’s a very good salary aswell so it�’s very attractive for school leavers. The salary is AED 6000 which is good forschool leavers and they get a UAE allowance of AED 2000 as well.

8.25 Diploma graduates, that qualifies them for associate (officer?) level and we pay themAED 10,00 �– 12,000. Higher Diploma between 14,000 �– 15,000 as officer level

8.50 Officer level �– can be executive, loans, contacts, projects�… at their level theircommunication is excellent, they can pay attention to detail whereas the diploma theyare more prepared for operations, they suit the back office, they can be adaptable.While I have the university grads, AUS .. they can fit in areas like �…. Less branchmanager but assistant branch manager, areas like priority banking, finance, auditing,private banking, wealth management

10.10 If I recruit this finance background immediately I take her to Emirates Trade Finance,those people are targeted by recruitment agencies �… in quantity we recruit 20, 20, 20,20, 20 but they are tiny, specialised in a business area because I �… that calibre butthere are people who does not want to be at that level, branch manager because theyfeel like�….

10.50 Q: brings me to my next question �– do you have policies in place to manage careerprogression of UAE nationals?That comes also under �…. In retention, we have manager looks after careerdevelopment programme. �…. Branch manager to move them somewhere else so �…business working with my team �… programme with the business it might be workingtogether with the business partner and in HR to prepare a programme to move �– howcan I do that, I�’ve got to showcase with a �… 2 or 3 years, a performance rating ofexcellence, outstanding, �… out of those people I need to make sure that the businessneeds branch managers so I send him to the head of the department and he or she �…we require at this quarter, 10 new branch managers so we go ahead and prepare 10branch managers so I find the people from the field rather than bring someone new.They are already in the branch, are SSM, are already assistant branch manager andthey are willing to become branch managers. What we do we even sit with them anddraft IPPD plans, the 1st day of the programme is a career path �…, for Emirati�… how doyou think about your career, how do you think about the next 10 �… they are very fresh,do not know so I want them to write what they want because the next day they cansay what I want or want or what I need help in. So at the end of the 1st day session ofcoaching in career path, they should �… and that would �…

13.18 Q: And then you use performance measures/ratings to determine who is going to bepromoted?I don�’t want to leave it to the individual to decide who I need to promote, so we�’vedeveloped a programme, a regular programme, open to all UAE nationals, taking themfrom this level to�… �….so this is where they find the (fear of becoming�….?) because theyare happy to be teller but �… why aren�’t they becoming a head teller so this is where �…

14.00 So why�’s that? Is it that they don�’t want the responsibility?

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14.10 I think it�’s more about taking a first step and feeling more confident �… now this iswhere we find our coaching helps a lot. Pushing them to feel confident�… so that�… �‘Ican make it�’. It�’s all psychological actually. If they don�’t give them the space�…

14:36 Q: And their coaches, are they Emiratis, or?Various people. Could be Emiratis, could be expats. Now what we�’re doing. We startedcoaching their line managers. We started, you know, a year back.

14:52 Q: Why did you do that?Because I need to change the mind set of their line managers as well, because it�’s notabout them only�…so if I am, looking after my team and each one of them is happy toprogress, and they know that there�’s someone pushing them, showing them�…I allowthem to be my successor.

15:23 Q: So there was a problem in the past with that?Yes. If that mind set of the line manager does not change, people cannot move.

15:41 Q: What is it? It�’s showing their line managers that they have their own career path, ina way, is it? To allow�…

17:18 They need continuous reward, continuous encouragement. If they hear this, all thetime, from their line manager, I guarantee, it will work.

17:32 Q: That was the reason why you were losing people after two years?No ownership and no support, i.e. in making them feel belonging.

17:48 Q: That�’s because they were threatened by them?More or less, that fear of�…a young UAE national, very clever, and he or she might takemy place. That�’s a very natural, human reaction, ok? However, we have a newmandate of making you responsible, I�’m your line manager and I�’m making youresponsible of your own people, that you need to transfer your knowledge to them.Ok, we hear about transfer of knowledge, a lot, but do we actually do it? Rarely.

18:24 Q: So, what�’s your tactic, then, to encourage those line managers to do it?What does that mean? When you are in charge of an Emirati, you are helping them.It�’s very important encouraging them. Now, transferring knowledge is very important.Not only by empowering them but allowing them to actually make a difference. This iswhere the ownership should come in. This is where the management should say, �‘OK, Itrust you what you can do�’.

Talks about how ownership of Emiratis career development is not only a matter forHR, but the whole company. It involves changing the mind set of the wholeorganisation. It�’s a big challenge.

20:30 The success we have made last year. We have lost a certain amount of number, ofpeople, during the year. Almost 400 people, you know 400 UAE nationals.

20:38 Q: What percentage was that?Around 25% of the total number we recruited. That is the norm. But if you look at thenumber of people we have retained�…I not only hit the target of 4%, I actually grew by5%. Increase. This increase is not only new recruits, but I retained people. I managedto retain 134 UAE nationals out of 400 people.

21:22 Q: And that was after one year?

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Yes, after one year. Now during the year you have various new people coming, beingrecruited, but at the same time you have people not getting what they want, gettingno support. So, I look after both people�… I managed to retain 134 people�…

22:21 Q: You found that was the main reason. Not a better salary�…orAbsolutely. I keep saying to people it�’s not only the salary. We show them a careerpath, very clear, you are not right in this position, suited in that position, where wouldyou be�…so we push them on what they want. So if that person is a finance background(explains that they move people to positions that better fit with theireducation/training/skills set). No package increase, nothing. It does not include anymoney to move them from here to here. We put them in training courses. You knowthere were some people (who resigned) who actually only required training courses.They would have stayed if we�’d shown them a career path.

23:48 Q: Well, it�’s very interesting you should say that�… because (highlights results of HCTstudent survey indicating importance of career path as hygiene factor)It�’s a very, valid, natural reason, for any person to ask, a clear career path. Hold meaccountable to that. Give me two years and if I don�’t achieve it then go and look foranother job.

(Describes how not all skills required in bank can be found in pool of UAE nationals �–hence importance of skills transfer)

25:29 Q: Do you assign each new UAE national with a mentor?Yes, all of them.(Describes how all line managers have been given training to become coaches/mentors)

26:51 Q: Who are these coaches? Are they middle, senior managers?Middle managers. All UAE nationals. All coaches are UAE nationals. The bank has plansto open its own Retention and Coaching Unit(Discusses how HR function plays the role of a mediator between the business andUAE national recruits)

30:12 (Discusses how the bank has 91 Branch Managers, some old, some who have beengroomed recently for the role. Different generations. They are the only bank in theGCC who�’s Branch Managers are all HCNs)

31:00 Q: Could I ask a few questions about culture? Do UAE nationals work in mixed genderteams? Does this present any challenges? Cultural challenges?Yes, they do work in mixed gender teams, but this doesn�’t really present manychallenges. As an Arab, I can tell you this is not an issue in the UAE. As you know theUAE is a very cosmopolitan place. They�’re all really happy to work together. However,point taken as a cultural background, you see them during the training programme,boys sitting with boys and girls sitting with girls, you can see the cultural aspectaffecting them in behaving but not in working. But after a week, this changes and theybecome more comfortable with each other. You know, surprisingly, they�’re very openminded. However, we do have to teach them about having a good work ethic. Wehave to teach them how to behave. We give them a full day�’s training on how tobehave with each other. We describe to them how we interact as colleagues. We alsohave the YYY programme that provides preparation for looking for a job, how toprepare for a job interview etc.

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35:00 Q: Do you think that that profile of Emirati, that they�’re aware of opportunities in theprivate sector?They are aware.

(Discusses how private sector companies will only take �‘the finished article�’ and arenot interested in training Emiratis with basic skills. Instead, public sector and semiprivate organisations must shoulder the training burden. Goes on to compareCompany B with 8000 employees with Lloyds TSB with 2000.

40:50 Q: Do you find UAE nationals find it challenging to work in multi national teams whenthey start work at the bank?Not really. The UAE is a very cosmopolitan place and they are very used to workingwith Indians, Pakistanis etc. They find it very easy to talk, they know their culture. I cansee there are a few challenges in dealing with westerners. That is a different challenge.

45:00 Q: Can you see a point in the future when there�’s no longer a need for nationalisationprogrammes because Emiratis are able to compete with everybody else, fairly andsquarely?I would like to see that, but I�’d probably see that in a different way. There�’s always aneed for nationalisation programmes. How? It can be different. If the educationsystem prepares Emiratis properly then you won�’t need much obligation for training. Ifmanagement are able to transfer knowledge it means that you don�’t need morepeople for on the job training. So it means you can cut Emiratisation and use it fordifferent levels etc. (Will still need Emiratisation to develop talent)

48:00 What are the main reasons for Emiratis leaving the organisation?No management support. No career path. Feeling not confident in the job. They feellike they�’ve been left. Others, of course, are attracted to better offers andopportunities in other organisations, which is natural.

End�…

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7.4.3 Interviewee C

HR Manager at Company C

Gender Male

Nationality Asian Expat

Sector Banking

Company Locally owned

Date 16 February 2011

0:45 Q: Could you provide us with an overview of your Emiratisation programme here atCompany C?The bank�’s Emiratisation programme is based on a government mandate, which asksthat every bank grow its employee percentage �– as far as Emiratis are concerned �– by4% every year. So, we essentially work with the businesses to hire three kinds ofEmiratis broadly speaking; one is school leavers, High School leavers, graduates andthen mid career hires. So, essentially for all jobs we reserve entry level positions forEmiratis and give them the first shot at it. If we do not find Emiratis then we look atexpatriates. The Emiratisation programme is also based on being able to attract theright quality of people, we attend career fairs, we are very closely linked with theacademic institutions, like the Higher Colleges of Technology, the Zayed University,stuff like that.

1:51 Q: Very interesting, and what percentage of your current workforce is made up of UAEnationals?41%

2:00 Q: And the 4% target, are you meeting that, exceeding that?We�’ve been meeting it, not exceeding. Meeting it.

Q: And do you have policies in place to manage career progression of UAE nationals?Yes, at entry levels. You see because what we do is we have introduced a specialised,fast track programme, called xxx, which is for high profile graduates who get hired andthen they are guaranteed, not guaranteed but they are in accelerated developmentprogrammes that take them to mid management positions in a spate of two years, butbeyond that we don�’t want to guarantee anything because it�’s all down toperformance.

2:42 Q: Right, I understand. And the performance management system you have in place isthat a standardised system for nationals?No, it�’s the same for everyone. We have a five rater system, everyone gets evaluatedonline. It�’s an online performance management system.

3:03 And what criteria do you use to determine when to promote UAE national employees?Criteria is the same for everyone, because you can get promoted based on if you moveto a more senior job, or if your own job gets�…grows to a point where the job moves toa higher grade.

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3:24 I see�…and�…um�…do you earmark specific positions within the organisation for Emiratinationals?Yes, yes. As I said, at entry levels, all positions, especially customer contact positions inthe branches, are all reserved for UAE nationals. Why? And the reason is essentiallysupply. Because�…um�…in the end there are teller jobs, there are customer meet andgreet jobs, there�’s a lot of High School Emiratis, who can do these jobs with a little bitof training.

3:56 Q: And what aspects would you say, of the company and the positions you offer areparticularly attractive to UAE nationals?Err...for us, err�…we are typical, we�’re a privately owned bank and we�’re seen as atraining ground for a lot of young Emiratis. What we try to do is we try to dispel a myththat you have to study Banking to be a banker and we try our best through colleges tosend out a message that, you know, it doesn�’t matter what you�’ve studied, the point isin the end we will provide you with adequate training to move along a certain careerpath.

4:31 Q: Very interesting. Are there any aspects of the company and the positions you offerthat are off putting to UAE nationals?Sorry, can you repeat that?Q: Any�…any aspects of the company or the positions you offer them, that are offputting?Yes, for example, eh�…some of them have various issues around timing.

Q: Ah, that�’s interesting. Could you talk a bit more about that?Yeah, meaning, they, because there are certain banks here that work only until 2:00and 2:30, we�’re not one of them, so that�’s something we will absolutely will notconsider. You know, we cannot change our timings to accommodate nationalities. Thatis impossible in a private enterprise. Ah�…the other issues that have been raised�…someof them, which for me as an HR professional make a lot of sense, is ah�…how unfriendlythe laws in the country are around women and pregnancy and stuff like that. You seethey�’re not very supportive, because the number of days are so few for workingmothers it�’s not very easy, but this is a country wide issue not only Company C.

5:33 Q: Continuing that discussion, do you make any special provision, to accommodate thecultural needs of UAE national employees?Yeah, for example, what we do is�…um�…we ensure that there is a special cell in HR,which consists of Emirati managers, only to manage them, because Emiratis prefer totalk to Emiratis, we try to ensure that every unit or function has a senior Emirati, whocan be, you know, reached out to by the younger people. These people are also usedto counselling them in the case of absenteeism, late coming, you know, stuff like that,for the younger people.

6:14 So, their coaches/mentors, if you like. And they are only UAE nationals who wouldmentor them?Yes, if we�’re not able to find enough, then we go for Arabic speakers.

6:26 Q: Oh, OK. What was the reason behind that�…choosing nationals in preference?Yes, the reason is, what we have learnt over time is that Emiratis being a very smallcommunity and at work an even smaller community tend to reach out to each other,beyond levels and organ�…so you know it�’s like very normal for if an�…I have an Emiratiwho reports to me and let�’s say if my boss is an Emirati, he or she will reach outdirectly to that person. And it�’s considered very normal at the workplace here.

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6:55 What about seniority�…do UAE nationals prefer to be managed by middle or senior levelmanagers? Do they have a preference?No, there�’s no such preference, but they prefer people who are able to spend timeteaching them. You know, which a lot of expatriates are either unwilling or unable todo.

7:20 Q: OK, why unwilling?Unwilling, could be a mix of various things�…one, sometimes job insecurity, but not somuch. I think the major reason in a UAE context of expats being unwilling, is thismental myth that we have that an Emirati doesn�’t need the job, he or she is here tohave fun�…err�…stuff like that.

7:40 Q: Yeah. Please if you need to�… and what about this idea that there is resistance fromexpats to, for example, things like skills transfer�…if�…Yeah, there is always, see there is resistance and you know the other problem, Julian,is that�…eh�…an expat is willing to train an expat, but with an Emirati he comes up withthousand of reasons not to train him, as I said, it�’s a mixture of some job insecurity,some the fact that in an expat environment it is easier to manage an expat. You knowan expat is less likely to ask, �‘When�’s my next promotion?�’�…which a national�…you seebecause, you know, I�’ll take you a few steps back, I�’ve always maintained this, beingsomeone who�’s done Emiratisation for years, that the reason for an expat�’s existencein this country is work. So his whole outlook to work is very different. You know, hewill typically not mind sitting the five extra hours, whereas a national will not. Thesame expat would not do it in his own home country. You know, because it�’s thatwhole immigrant, skilled labour, expatriate mentality, where I�’m here because of myjob, so I, I typically tend to do harder at it�…can I offer you tea or coffee?

9:10 Q: On that point, we�’ve been having a look at generally, private sector organisationshere and there�’s been some discussion about how�…perhaps the attitude to employeesis very much short termism as well in that, you know, it�’s such a�…it�’s a place, as yousaid, where, you know, people will come and spend�…stay a few years and then leaveand so from an HR perspective there�’s not much of a focus from the organisation onlong term career management for employees, whereas perhaps that�’s something thatUAE nationals need? Do you think there�’s an issue there?There is, because the reason is, you see, we work in an environment where theunderstanding is, Julian, you are an expat who has come with skills, so most peoplestay on to do similar roles as what they are brought in to do. With nationals�…see againit�’s a�…you know it�’s a tough one, because when people stay that nationals are here tostay, I also argue that even expats are here to stay. You know there�’s something calledthe �‘Dubai expat�’ now, who�’s been living here 35 years and he pretty much doesn�’tplan to go anywhere. This is his home and his children will also work and die here. So,it�’s a little different but with nationals what I�’ve realised is that a little more timeneeds to be spent with specific on the job�…you see, that�’s where it all fails, we�’ve putin place all the manuals, we�’ve put in place all the training programmes, but if I�’m notwilling to let you do the job �– and this is a complaint we get from a lot of nationals isthey come and say, �‘We�’re not being given work�’�…�‘What do I do?�’�…�’I mean, I�’m here,but I�’m�’�…and the reason for that, as I said is that, unfortunately, in this environmentJulian, a lot of nationals are treated as extras, so I�’ll give you an example. If you�’re amanager and you have two staff working with you and one of them resigns and I askyou to hire a national, you will resist. But if I tell you I�’m giving you an extra national,you say, �‘OK�’. So the whole attitude is�…you�’re treating�…it�’s disguised unemploymentas I call it. He�’s there, but not there�….�’ghost employees�’, absolutely. That�’s theproblem.

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11:27 Q: And what about retention. Do you have a problem with retaining nationals? Whyare they leaving?Let me share with you some statistics. Last year we lost 38% of our nationals and infact, my CEO asked for a recent report on that. Their world has been least impacted bythis whole recession. Reasons for that? Two. One: banks because of the quota, Julian,need to keep hiring from each other. So that nonsense goes on, where one pulls fromthe other. The other is that the federal governments n�’all keep hiring, because thenational mind set is still very different. He will still prefer�…he�’s a bit like the�…Asians inthe 80s, who prefers a government job where he can�’t get fired. Like his bosses bosscannot fire him, you know, unless he really goes and does something awful and itssecure and nice and by 2:30 he�’s home, so he actually doesn�’t mind making a little lessmoney�…ah�…you know in an environment like this where the government provides asmall home, so he�’s OK with this, you know�…he�’s�…it�’s a very different mindset�…because I find people leaving private enterprise and joining for example, SharjahPolice or the museum and I ask them like, �‘Why?�’�…I mean, this is crazy, you�’re withCompany C, but they just don�’t prefer the whole�…

12:48 Q: Why is it? What reasons are they giving?You see, they give you reasons that�…of course �‘I don�’t enjoy my work�’, but one thingthe culture is not used to is sales targets and pressure. I�’m not saying expats enjoythat, but expats are willing to live with that, as I said, it�’s a very unfair comparison,Julian, because I always say you�’re comparing someone who�’s come to do work. Hisreason for being here is his skills and his work and a fresh person usually. And then, asI said, there�’s the cultural issue.

13:18 Q: So there�’s, is there a lack of motivation there �– on the part of nationals, then?Not a lack of motivation�…it�’s a�…I can�’t�…no, it�’s not a lack of motivation, itis�…sometimes�…lack of preparedness�…so they are in a college, where there are onlynationals, in fact now I increasingly find more enlightened expats�…eh�…nationals, whosend their kids to regular expat colleges and pay fees. Because they say, �‘Look, in theend you�’ve got to work with expats, so you might as well get used to the whole bunchnow, rather than be in this place where you work only with nationals in a college andsuddenly you come to an expat work environment and you say, �‘Hey, there�’s just onenational here, this is unbelievable, like what Dubai was I living in?�’ You know, so�…

14:07 Q: So, those who come from HCT, for example, where they�’re totally segregated, whathappens when they arrive at the bank?See, they were, now HCT has made some very nice moves in the last four years wherethey insist that every graduate should have trained in three places. They�’re very big onwork placements. We are regular partners with them.

Q: And do they�…are they kind of freaked out, nationals, when they come and join thebank�…and they find they�’ve got to work with, for example, men, if they�’re women andother nationalities?No�…earlier�…not anymore. Cause I always say, the young, the new national woman isvery, very�…I mean she may behave a certain way with nationals, in that culture, butthey are very confident, well spoken, they�’re more internet savvy than most Asians,you know it�’s a different scene.

14:55 Q: And do you have to do any specific training with them on working in a mixednationality team or a mixed gender team �– is there anything you have to do trainingwise?

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No�…because in Dubai you don�’t need to, in Qatar, maybe�…in Dubai, no. You see thereason is, Dubai is a very expat�…I mean, you have to understand most of them havedealt with India for 90/100 years and with Iran. They understand foreigners, theforeign makes, it�’s different.

15:27 Q: One of the things we�’ve heard is that, they�’re actually quite comfortable workingwith with Asians, cause as you said they�’re used to them, but with Westernerssometimes they find it�…challenging.Some�…depending. Some�…er�…but, as I said, now for the more educated lot ofnationals, even that myth has gone. They are very used to the new Dubai�…

Q: So, that�’s not a reason why they would�…they would give you for leaving?No, no, no. Their reasons for leaving will be two things: one, some of them prefer to goto entities where the fact that they�’re a national will push them upward quicker. Thiscould be one�…and why not? I�’d do the same. And the other, as I said, is there�’s a lot ofpeople who would leave a AED14,000 job and move to a AED10,000 job, where youcan be home by 2:30 and you�’re guaranteed employment.

16:19 Q: So, pay�…you don�’t get the impression that that�’s important?No, no�…that�’s not like a back breaker, not at all.

Q: So, working hours�…Yes, people do leave for higher pay�…but things like working hours, culture, morenationals in the workplace, this is all very important.

16:37 Q: That�’s interesting�…that�’s very interesting. And what starting salary do you offer theschool leavers and the graduates?Yes, school leavers is AED 9,200�…er... graduates is AED15,000.

Q: And do those both include the extra�…Yeah, this includes the extra�…it�’s called a national allowance�…because they�’renationals.

16:56 Q: And do you have any strategies in place to encourage retention?Oh, yeah, yeah. We are�…we do special lock in bonuses for our key managers, butagain, for managers, not for average graduates. And we try and make sure that thehigher performing nationals�…or, their salaries are pegged little higher than the marketmedians�…that�’s it.

17:28 Q: Yeah�…and you find that that�’s�…It is effective to a degree�…I�’ll give you an example�…a lot of our�…almost we lost 200nationals, but 40 of them left because they want to study further. We as a companyare not able to accommodate that. So, we are very willing to let that happen at certainlevels, but we can�’t have a teller go away for half the day�…so he must leave the job,unfortunately�…and the market is not mature enough to have like a western job sharekind of a thing�…that concepts are still new to this market�…so�…we have�…we losepeople.

18:02 Q: Do you think you are less�…um�…accommodating�…um�…because you are completelyprivately owned than someone like Emirates NBD, who are semi private?Yes, we are less accommodating. We are less accommodating because our workpressures are higher, our targets are stiffer�…you know that�’s a great institution too,but in the end�…er�…being government, you know�…makes their machinery a littleslower�…and more to some people�’s liking.

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18:32 Q: And what�…what do you cover in your training programmes for�…um�…the schoolleavers and the�…eh�…Oh, we have a comprehensive�…for example, when a school leaver joins, we hire themin batches of 15�…er�…let�’s say they�’re joining to be tellers�…they go through a twomonth classroom training�…two months�…

Q: Is this the Y Programme?Something similar to Y�…Y is Standard Chartered�…we have a different name for it�… andwe essentially put them through everything, you know�…how to fact the customer,English�…even stuff like English�…then er�…then the product training and all of that�…

19:05 Q: And�…at the end of that�…they are�…they�’re pretty effective, you find?They are effective�…and then six months later there is a review�…for them�…atprobation end time.

19:17 Q: Finally, why do you think that Emiratisation of the private sector seems not tobe�…um�…successful?Ah�…the reason for that is�…eh�…I think the government needs to apply more pressure,Julian. See, in the end the government can apply the right kind of pressure by pullingstrings in the Labour Ministry�…in the end the government should question why is anycompany hiring for example�…I�’m just giving you an example�…er�…in my world ateller�…they should actually be bold enough and say, �‘I�’m sorry, from now on�…�’ youknow it�’s a teller for God�’s sake, it�’s a guy who takes money and gives money�…thesejobs will only be Emiratis�…if they fix some jobs like this�…er�…that will help�…that willreally�…then you see there�’s no option�…it�’s a Saudi situation�…where the expatmanager knows�…now he knows he�’s got no extras�…he has to hire an Emirati�…so hewill actually then go out and look for the best Emiratis�…that also happens in the bank.There are managers�…who once they realise they have to take an Emirati, then theysay, �‘Well, I might as well get a great one�’�…and you know�…cause you�’re gonna�…youwork with him.

20:29 Q: If they are really critical to the business�…I mean, you�’ll say, �‘Why not, it doesn�’t matter?�’�…so he will actually take an interestother than say, �‘Hey, you know what, send me anyone, it�’s OK�’.

Q: That�’s what happens when it�’s like an extra?Yeah, but then he doesn�’t care�…he tells you �‘You know, HR, just send me someone, noproblem�’. You know�…you send them a recommendation and he says, �‘OK, hire�’.

20:49 Q: I mean, do you think that will happen�…I mean we�’re hearing now that the�…ur�…thepublic sector is saturated�…there are no more jobs.Yeah, this is the problem, see the public sector is saturated, the private sector needsto do more�…I mean beyond banks, I�’m talking about regular employers.

21:07 Q: Because banks are relatively successful�…No, no, banks are very high. Banks and insurance has done it�…now, other industriesneed to come in�…so they need to pass a law saying 5%, 3% and the most importantthing is the government needs to ensure that this doesn�’t become shadowunemployment�…because companies should not treat it as a tax�…where I�’ve heard likein Saudi, for example, Pepsi pays people to sit at home at times�…they say, �‘Just giveme your passport copy�’ and you get employed at 1,500 or 2,000 and just sit athome�…but His Highness is very clear�…he doesn�’t want that model, he wants nationalsactually to be engaged and working�…so it�’s a completely different model�…so in a

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model like that, government intervention is needed�…you need to ask questions�…youknow like, �‘Where are these people, what are they doing?�’

21:55 Q: Any recommendations about�…you know, specific HR practices that need to be inplace, that you would recommend that other private sector organisations to put inplace?The most important thing is that managers should be incentivised to train Emiratis�…Ialways say if it�’s not in the scoreboard it�’s not worth it�…so basically, when I�’mreviewing you�…like HSBC has done that here in the region�…so in HSBC if you�’re amanager you�’re asked how many Emiratis did you train�…Emirati attrition is a part ofthe discussion, so when that happens, managers start taking it more seriously.

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7.4.4 Interviewee D

HR Manager at Company D

Gender Female

Nationality Western Expat

Sector Transport

Company Foreign owned multinational

Date 20 February 2011

1.20 Q: You�’re the first multinational�…I guess it�’s an odd set up �– we have numerous contracts out here, the metro is thelargest. It�’s almost like a quasi government contract because we actually answer to thegovernment agency so we have targets similar to government companies.

1.50 As part of the original contract so the idea is to upskill people here to run the metro,so we do have quite strict percentage targets. For year 1 we were looking at 120 out ofabout 1300 so about 10%. There�’s some flexibility in that because of course we can�’trecruit people who have transport experience because there�’s never been a railwayhere. So there was some leeway into what we could recruit into but over the next 5years we�’re looking at�…

2.45 Q: So did you make the first year targets?Yes but in entry level positions mainly although we have quite a spread of managerialpositions, we�’ve got a couple of directors, and marketing and security, we�’ve got acouple of senior management positions and now we�’ve got quite a few across middlemanagement that have come through.

3.13 With the new mobilisation it�’ll go to 1,900 by the end of this year so we�’re looking at240 by the end of year 2 so it�’s doubled (about 12 �– 15%) and then gradually overtime, we�’re looking to go up to about 60% so it�’s a hefty ramp up.

3.14 Q: Do you have previous experience of localisation, because you were working in theUK before? No. Q: So this is a completely new aspect of HR for you?We have an Emirati HR director that sits within the metro as well �– he was working onrecruitment campaigns before, he joined just before I did and I have the Emiratisationteam reporting into me. I head up HR ops and he does a lot of work with thegovernment agency, with the stakeholder management and the links into localgovernment and career fairs so he fills those linksAnd I look after the numbers and the recruitment. So the Emiratisation team itself isdifferent from our normal recruiting �– we�’ve got a mobilisation recruitment team andan Emiratisation team and we actually separate it just so they can focus on theEmiratis

5.04 Q: And does he use Tanmia or..Yes what we did for the bulk last time we were recruiting at entry level positionsobviously for the 1st year of operation and we needed the large numbers of 120 so we

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recruited into customer service agent positions that are based on the stations but notnecessarily with the safety critical element that the other station agents would haveand because they have to undergo the training process so we have a slightly different,lengthened training for the Emiratis to go through. At the moment they�’ve beenjoining as customer service agents and actually then spending time on the stations andgoing through so they are just now starting to go through the station agent trainingand being successful but they�’ve had quite a long period on the job where they�’veactually been working but for things that are safety critical they are not operatingplatform screen doors, they�’re not managing crowd control, they�’re actually just doingcustomer service at the stations.

6.15 Q: That�’s all your entry levels?Yes, looking after �… (moved because of the noise of the blender!)

7.31 Are they nearly all school leavers?No not necessarily �– so going back to Tanmia we used them for that, so we partneredwith the Tanmia for the first intake, and we had a great programme because we werelooking at people returning to work as well so we had, on the stations, more maturestaff members and who maybe hadn�’t had opportunities because they hadn�’t beenworking for a while so we went down that route, had a partnership agreement withTanmia for people that were returning to work and we had a 3 month trial period, 3month acclimatisation probationary period where they were on Tanmia�’s books andthen they transferred onto Company D�’s books.

8.51 Q: So what sort of training were Tanmia offering?I don�’t know. We were doing the training, they were just helping to source. So wewere looking at school leavers and the return to work through Tanmia but we�’re stillworking with Tanmia on that but we�’re focusing more on trying to build the metro as abrand among the UAE nationals this year so we�’re focusing a lot on that. And now thatwe�’ve got the entry level positions in place we now need to obviously be bringingpeople through the organisation because the next 4 years are crucial as well especiallyon the engineering and maintenance side, that�’s been quite a challenge because therearen�’t people that have railway experience and there aren�’t that many people thathave E&M experience so we�’re having to now target career fairs and colleges, likeDubai College and actually try and elevate our brand and actually try and show anattractive side of Company D. Obviously you�’ve got shift work, some of the engineeringis night work so it�’s a challenge to actually entice into that kind of environment so wehave now, one of the things that we�’re doing this year to increase E&M candidates iswe�’re running a technical apprenticeship programme so we had .. we also dointernships as well so we�’ll take responsible people that are already at university andthrough their last year of study and then they�’ll come and spend some time with thebusiness and then when they�’re finished studying they�’ll come and join us

11.15 Q: And which universities and colleges are they coming from?I don�’t know, I�’d have to send that information to you. And then with the technicalapprenticeships we�’ve just had 3 start this week. It was quite interesting because wehave 1 engineer in place but the plan is to increase it by 30 over the next few monthsso the plan for this year, so 3 have just joined and we need 20, and we�’ve got 15 in thepipeline and then we�’re going to have another 20 later in the year and the idea is theygo on quite structured induction so they�’ll spend some time within the ops functionsinitially learning about stations about trains and the control centre, then they�’llactually transfer to E&M, they�’ll actually rotate through each E&M function so you�’vegot rolling stock, civil and track, electrical and mechanical and systems

12.36 Q: How long are these rotations?

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Well it�’s a month for the induction, and 2 months for each of these functions and thenthey�’ll select to actually spend the last 3 months actually within a specialist area thatwe�’re looking for them to pass out into at the end of the day. So that�’s how we�’relooking to fill the engineering gap, as well as what we�’re starting to look at now islateral recruitment into the post, but just initially we want to start getting some of theinitiatives off the ground, just to develop them through and I guess the next step aswell is sending people overseas potentially put them into UK service contracts.

13.44 Q: So basically your targets are going up to 15% with the new line. Are they selfimposed or �…They were agreed with the government agency at the time of the contract, it�’sstaggered each year.

14.38 Q: Is localisation a new endeavour for Company D?No, we�’ve been in the Middle East for about 60 years and we have aviation contractsin Abu Dhabi, Dubai, RAK, Sharjah, so we�’ve all have national developmentprogrammes but they don�’t have a strict target. So for the aviation contract, it�’s for airtraffic control so we�’ve had to develop Emiratis into the role so we do have experienceof career development for them, not on this scale though.

15.37 Q: So recruitment is through Tanmia, through career fairs�…And through our own open days, yes they are popular. You know they know the name,we advertise them through the newspapers. We tend to run assessment centres, usespsychometric tests for station staff, they have to sit some tests so we have �…

16.0 Q: Are your open days targeted just at nationals?Yes, this is why we have the 2 separate teams, our overseas recruitment is verydifferent, can go at a different pace, have a different balance, we spend a lot moretime with the locals, we spend more time on the English, with the testing, we need toreally clearly explain what is going on. We find that the language is very different,whereas people overseas are often more used to doing tests.

16.50 Q: They just need a lot more guidance? Yes. Q: Who works on these open days, justnationals?Yes, and the MD would go down, directors or other members of the recruitment team.

17.15 Q: What sort of numbers come in?The last one we had about 90, yes big numbers. We�’ll always make sure someone fromthe business goes down to present, either the MD of Company D or one of thedirectors, the HR director is always there.

17.45 Q: Are all your offers accepted?We pretty much know by the end of the assessment day whether people areinterested or not, obviously salary is an issue so that may knock out some people to behonest, but otherwise they are fairly interested and then we just have to work outwho �… the last group were the strongest we have, and we�’ve agreed they�’d come forE&M roles so it�’s starting to broaden out, so where we�’d normally recruit for customerservice, this time we have them for security, for car parks, for operations�…

18.58 Q: When you advertise for these open days do you advertise what your starting salariesare or not?No what we tend to do as well is the Emiratisation team just network, wheneverthere�’s a fair coming up, they just get out and network, the power of text, viralmarketing

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19.31 Q: So recruiting for customer services, and for technical. What about managers, do youjust recruit from other companies or have you promoted?No we�’ve promoted, we�’ve got a couple of station masters who joined as stationagents originally and we�’ll fast track if we need to. We�’ve got an assistant stationmanager which is the next level down from the senior manager, we�’ve got a greatEmirati guy in that position and he was, think he joined as a station manager and waspromoted, we�’ve got one of the senior managers within operations who rose rapidlyand we do that with any nationality to be honest, what we do is when we�’re on theseoverseas trips recruiting agents, if we see anyone that is way above what we�’rerecruiting for then we�’ll consider, but generally what we�’ll do is bring them in asstation agents and those that have supervisory experience we�’ll then move straightthrough to station master quite quickly, and it�’s the same when we bring our Emiraticohorts in. they come in as station agents and if they can move on quickly, this is allbased on competence assessment because it�’s rail industry so you have to make itcompetence assessment targets to move through anyway. If they move throughquickly, they�’ll actually move through to station master and what we�’re actuallylooking at now is targeting key positions that we have vacancies for �– team leaders, orsupervisors

21.15 Q: Earmarking them, or are you ring fencing them?It depends on whether we can fill them quickly because we need the staff anyway butfor some of the ops roles at the moment we would prefer to recruit UAE nationals sowe�’ll look for that first but if we can�’t find anyone obviously we have to fill it becausewe�’re going to go live on the operation but I can�’t see why we can�’t fill it, we�’re tryingto ring fence more and more.

21.58 What aspect of the company do you think is attractive to UAE nationals?The metro itself, it�’s new, it�’s their metro, and they think they�’re part of what�’s goingon in this country, part of its development. It�’s quite a, does have quite a kudosworking for the metro for them, it�’s showing people around the area, around thosestations, it has quite a buzz and they feel like ambassadors, we had a role calledambassador when we first opened to show people around, and we have to haveArabic speakers in the stations, it�’s essential because of the population using thetransport so we can recruit overseas to get the experience, like from Manila but theydon�’t speak Arabic, so it�’s vital that we have enough Emiratis on the stations to directlocal populations and they like that but they want to progress quickly, they want acareer and we have to balance that with them being competent for the safety criticalaspects of the role which involves training so ..

24.0 Q: What is off putting �– I mean you mentioned the salary�…Shift work, that is our major problem today especially and that coupled with salary, wehave to compete against the government companies, we�’re a private company so wedo have profit and we also attracting I mean Company D is in Dubai whereas thepeople we are attracting may be east coast, RAK, UAQ now for them to travel in andthen go to a station and do safety critical work is an issue because they could bedriving before and after each shift so therefore they don�’t necessarily want the lateshifts, they don�’t see their families, and families are very important, you know familyvalues so if you couple that with the late shifts or the very early shift, that�’s difficult forthem. Obviously we don�’t provide accommodation for locally hired people, Emiratis,that was never planned, and we find that the Dubai based nationals are not as keen onthe entry level positions, we would have way more success..

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25.30 Q: That�’s their higher expectations? Yes Q: So they are coming from the northernemirates and Fujairah?Yes that would be the higher %, especially with using Tanmia initially, there was a veryhigh % driving in.

26.0 Q: So are they majority male?Yes they are, we do tend to have more Emirati women in the support functions, wehave an Emirati lady that�’s station master though but they are majority male. We havechallenges, it�’s one of the things we need to look at, we can�’t look at it this yearbecause it hasn�’t been built in but one of the things we do need to look at is do weprovide accommodation, if they work in Abu Dhabi for some of the government jobs,they receive accommodation.

26.40 Do you pay a national allowance?Yes, it�’s all built in so there are certain challenges, and if we are going to increasenumbers in the future we are going to have to look at our strategy andaccommodation is one of them. It never crossed our radar before last year.

27.13 Q: If coming in from Philippines, are you on the same salary as a national apart fromtheir allowance?No it�’s a different scale. Nationals are earning AED 7500 all in, plus pension and anexpat would earn AED 2600.

28.30 Q: So is salary why you are not getting Dubai nationals?Yes it is a challenge, you know government positions start at AED 8 �– 8500 so it�’s thatfine line.

29.0 Q: Do you offer fairly regular salary increases?Annually, based on cost of living increase at the moment, across all staff. This is thenext thing that we will have to address, it�’s becoming difficult, it�’s one on my to do list!We need to get above the government base level that�’s what we�’re finding at DEWA,Ministry of Labour, so we are not competing with that at the moment, and we need to.

30.0 Q: So what about managing career progression?We have a learning and development framework, across the employee base, that�’srolled down on a contract basis, we have our metro training team, across all thedifferent elements of Company D. So depending on the job, like the technicalapprentice programme, that�’s laid out, would be the same for any entry level, butthere�’s more focus on the mentoring and coaching for the Emiratis, it may take themlonger to reach the required competence, so when they have their competenceassessment it may be that they take longer getting through those and need more helpin getting them, same in station, there�’s a rigorous on boarding programme foranyone because even someone from Manila, we don�’t require rail experience, we�’relooking for strong CS skills and the same for Emiratis so they have to be trained frombase level anyway. So across any role you will receive the standard training which canbe anything up to 12 weeks, classroom and then on the job, and when you�’re on thejob, you�’re continually assessed by the Key Instructor (KI it�’s the same as the UKmodel) so they may take longer to get through the assessments, and with some of thetraining courses, they need more hand holding to get through the courses. So from anL&D framework, the training is there and it�’s a given, they have to pass to pass out tothe role successfully. Then to become a station master you need a certain amount ofsupervisory skills so, for anyone not just UAE nationals, you need exposure to differentroles within the station, starting taking on more responsibility.

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32.50 Q: Are there many levels within a station?It�’s not formalised yet, you may take responsibility for revenue, there are differentelements that you�’d gradually have exposure to.Q: Would a national consider those to be a promotion?No, the promotion point is to station master which is when you have differentresponsibilities and the station agents are reporting to you. You may have 2 stationmasters per stations with 4 �– 6 agents reporting to them

34.0 Q: So you�’ve had opportunities to promote UAE nationals?Yes the UAE national agents have had the experience now so they�’re passing out.Q: They�’re not being coached up to it?Not at the moment, not formally. It�’s done through the KI�’s �– they will indicate whohas passed their competence assessments. It�’s continual, you have to be assessed at aminimum of once every 6 months.KI�’s are station masters that have had key instructor training so they are able to checkoff people�’s competence. Not all station masters are KI�’s. it�’s based on the UK model.

35.59 Q: So what nationality are most of your station masters?Philippino, Thai, Indian. We have 2 UAE nationals out of 80 station masters

37.24 Q: looking at earmarking again�…We have earmarked them but it�’s a question of how fast we can fill them, I don�’t seeany reason why we can�’t fill them but we have the backup of overseas recruitment. It�’slike for any of our Emiratisation roles, for this next line we have separated a chunk, astime progresses, we�’ve got a drop dead date and if it gets to a date at the end of May,we have to fill them and we�’ll bring in expats.

37.42 Q: With the higher levels you are trying to fill with nationals, does the salary increasesignificantly?Yes, station master will be on 12 �– 15, we can�’t recruit into that level but we can trainthem, we can fast track them. They need to follow the station agent course and thenthey would go straight into station master. If you�’ve got the right person, it could be 6months.

38.18 Q: But you�’ve only got 2 station masters?Yes, but we�’ve not been targeting, we�’ve been bringing people through but that�’s whatwe�’re changing for the next line. Definitely we�’re looking for people that are degreeeducated to get the English language especially, I think typically, banking team leaderexperience, lateral recruiting. Anyone with like team leader experience, couple ofyear�’s experience, that�’s what�’s important.

39.15 Q: How do you get these people?The Emiratisation team network, we will advertise. If we�’re dropping the railexperience, they will have to have the supervisory experience.

40.0 Q: So what positions have you got for university graduates?They would come in at station agent level, not CS level, and we would fast track them.

40.34 Q: And starting salary?We don�’t have this in place yet. We need to put this in place, but we need to competewith the government agencies. We need a step point. But we need an entry level for astation level to bring in people with degrees. But when we have this, there is no reasonwhy we can�’t fast track them. What we�’ve found with the Tanmia scheme is, they�’venot been of that calibre and we�’ve not been able to fast track them, they are still going

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through the station agent training. But I�’m the green line project manager and for me,this is what we need to be filling, going forward.

41.22 Q: Do you make any special provisions to accommodate the cultural needs ofnationals?Absolutely, we have prayer rooms in the stations and that�’s fully adhered to, we haveRamadan hours, we have diversity training at the beginning.

41.55 Q: Do you provide cultural diversity training for everybody?Yes, it�’s part of our induction, as a UK company. It�’s for everybody so it�’s not specific,there�’s a part on life here�…

42.55 Q: is it just a manual or are there classroom hours?Classroom hours. So we do a piece on living in Dubai, we have a slightly different slantfor UAE nationals and then we have a section on, it�’s not really cultural diversitytraining, it�’s more on for UAE nationals on rules and regulations of the railway andwhat�’s expected from them in relation to that relationship, and then we have aclassroom section for everybody, on �… it raises awareness of stereotypes, it raisesawareness of differences in cultural approaches to things, it tests people, we separatepeople into groups and they look at case studies, they share their experiences on anationality basis and it�’s true everyone is mixed together to share their views.

44.06 Q: have you got anything for nationals that possibly addresses their lack of experienceworking in mixed gender and mixed culture teams?No. We have a piece about maybe lack of experience of working within aorganisational set up such as a railway, the importance of punctuality, and safetycritical communication, use of mobile phones.

44.50 Q: Is that across the employee base?It�’s across the employee base but it�’s like walking off the job, actually being inattendance we address that, but interestingly we don�’t address that. No no.

45:00 Q: Describing why they may need it �– education background, lack of exposure, it�’sthreatening, something they are unfamiliar with, but finishing with the suggestionsthat perhaps they don�’t need special training.

46.0 No I think it is needed. Within our teams, they�’re actually reporting in to Filipinos, thatmight sound normal but it�’s not to them, to have a Filipino station master managingthem so it is a major issue. And it�’s a first for us. I�’m going to make sure our trainingmanager has got that on. I mean we do have a number of things on the list to do andcultural diversity is one of the things we do need to look at, for different ways. I meanwe have enough problems trying to assimilate the Filipinos with the Indians, we haveall that to deal with as well which is why our cultural diversity is quite across, quitebroad. Because they all live together as well �… so that was our immediate focus, but itis becoming quite apparent �– that�’s why we need more Emirati station masters as wellbecause at the moment they are being managed by nationality groups that they arenot familiar with and definitely not familiar to being managed by, and that brings thesame challenges, like you say things like walking off the job, it�’s like they probablydon�’t think to inform their Indian station master that they just need to pop out.

48.09 Q: No there are certainly issues of status. So you said you do have a special focus onrules and regulations for nationals? For everybody. Q: So they don�’t get any specialtraining?No no no. We would more heavily emphasise especially if we have.. what tends tohappen is that CS agents join together so we may have an Emirati based training

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course and then they�’ll be split into and mixed up later. I�’ve got an Emirati lady in myteam and she will do that induction and then they might be mixed up further down theline. In relation to that HR induction we do emphasise more about timekeeping, whythat is important, the effect on the team of someone not being there, that�’s moreheavily emphasised, especially if we�’re getting groups from Tanmia and they�’ve notworked for a while, we do have to amend it, depending on our audience but we dothat anyway.

49.48 Q: So in terms of trainers, coaches, mentors, you haven�’t got a coaching, mentoringsystem at the moment?Not formal though we do have the KIs in the line. The Emirati station masters are notKIs, eventually they will be. Although what will happen is, it�’s completely informal butif anyone through their competence assessments is not hitting the mark, it wouldimmediately be flagged because it has to be under the competence managementsystem and then they would go through coaching with the station masters becausethey�’d have to, to make sure their competence targets were met.

50.53 Q: So you haven�’t got a career succession planning system at the moment?It�’s ad hoc within the departments, it�’s managed locally at the moment. We have asuccession plan but at the junior levels, nothing formalised. At the more senior levels,managers have succession plans but at the grass roots level where we�’ve got hundredsof CS agents and tens of station masters, there�’s no particular plan in place. There�’s nocoaching and mentoring at the senior levels, it�’s done by the line managers. They mayassign mentors if they�’re needed, our Emiratis do tend to have mentors to be honest,they�’re assigned within the business, within line management.

51.57 Q: Have you got enough nationals at higher levels that nationals tend to managenationals?

51.58 Depends on the business area so security, is headed up by a national security directorand his team, because they�’re Emiratisation positions he manages those teams. Inother areas, stations is managed by a British station master, station master we have aUAE national in that who tends to focus on the development of the Emiratis in histeam but to be honest he wants to broaden, not to just manage Emiratis. To be honestwe don�’t tend to put Emirati with Emirati we try to broaden... it does tend to be andobviously they�’ll gravitate towards as every nationality does but we try and separatethat out in that they�’re managed equally.

53.07 Q: So you don�’t know if nationals have problems working in mixed nationality or �…No no we�’ve never actually surveyed on that, nothing�’s coming through any of the exitsurveys, that�’s not been something that I�’ve prepped people to ask about, I�’ve neverthought about mixed gender. We do have comments about the fact that they�’rereporting in to a different nationality group, and likewise, they�’ll make commentsabout why there aren�’t more Emirati station masters and it�’s for the same reason.

53.50 Q: is there any sense, I mean it�’s a quota but it�’s effectively affirmative action, do youfeel that there is any sense of discrimination or resentment from the other nationalgroups working?I think yes, I think definitely at first when we brought people in because they found outabout the pay levels, and the other nationalities don�’t understand the different payscales, they don�’t understand why. They read about nationals pay targets in the paper.The other week 3 people came up to me and gave me an article from zawya about15000 as a base salary, saying is that going to happen? So of course they know, theyknow what they are earning. So there is resentment on that basis.

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55.25 Q: Which could end up causing communication issues?I think some of our expat staff do struggle also managing Emiratis, we are aware ofthat, just in relation to things like timekeeping, it�’s difficult for them to haveconversations, maybe they sometimes feel a bit intimidated. They�’re just not suresometimes how to handle a situation.

56.05 Q: Would they not necessarily get the respect that their position commands?Possibly not. Q: So in terms of retention, what has it been like for nationals comparedwith the expat population?We have higher turnover, I don�’t have the exact figures, I don�’t think we separatethem out, possibly higher turnover, we have had some issues with the shift work,they�’ll join, they�’ll give the shift work a go, because they�’ve never done it but whenreality bites, they�’re not OK with it especially when they realise they�’ve got a series ofearlies and a series of lates. We get requests for the day shifts but we can�’t, it�’s notfair, our Filipinos just doing nights and our Emiratis doing the days.

57.19 Q: And you won�’t do that, bring in preferential hours?We can�’t, and also if we�’re going to hand the network over, we can�’t hand it over withpeople that will only work days. It�’s just not feasible, so that�’s an issue, it is an issue.And it�’s an issue in the E&M department, we�’re struggling to understand how we�’regoing to attract people for the track team for instance. You know if we want toEmiratise all our departments, the track team, the track team works nights. Whowants to do that? It�’s a night job, out on a line all the time.

58.10 Q: So shift work is the major reason..Yes I would say that shift work is number 1 or number 2. Pay is, you can get more ingovernment jobs and that coupled with the fact that I�’m not paid as much and I haveto deal with these shifts, and I would be doing 8 or 9 to 3 or 4.

58.50 Q: How important has it been for the Emiratis you have recruited for them to have acareer path?Oh very. It�’s top of everyone�’s agenda. Every nationality but specifically.. but there�’s ahuge desire to move from station agent to station master because it�’s a step inresponsibility, it�’s your station and you�’re kind of in charge, and the other thing withthe Emiratis is no matter how much it can be explained because there�’s so muchhanging on the safety critical training you can�’t just promote someone to stationmaster �– they have to be competent but if the case of an emergency they are directingthat station, they�’re responsible for crowd control, they�’re responsible for theirpassengers and they�’re responsible for the system so we can�’t do it, it absolutely can�’tbe done but for those that have been a station agent for a year now or CS agent andthey�’re seeing people being promoted from other nationalities, they�’re still undergoingthe station agent training and getting competent in that, there�’s a definite lack ofunderstanding.

59.55 Q: So are you going to lose people at that level do you think?Yes I guess it�’s another reason for turnover at that level that they�’re not movingthrough as fast as they think. When we recruited, we were very much talking on thebasis of, this is an entry level position but expect you to move through theorganisation, your career path is there, station agent becomes a station master, butwe found that period of time is a lot longer than we thought it would be quicker.

1:03 Q: For nationals or for everybody?For nationals.Q: And that�’s because?

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Because they have to get through the competency levels. And they�’re not movingthrough themQ: And they�’re not just technical competencies, you say they�’re all sorts of things?That�’s right, things like safety critical communication, they have to be able to clearlyspeak in English in the case of an emergency situation and clearly give direction and ifthey can�’t do that, they can�’t do safety critical work because they�’re responsible forcommunicating with the OCC.

Q: So language is one barrier?Yes, that�’s probably one of the biggest problems, the safety critical communicationand they have to go through a raft of procedures and instructions, they have to passthat, and PSD �– passenger swing doors operation, they have to pass the crowd control.

1.01 They haven�’t all passed the training. So probably some frustration there. Theyprobably think we�’ve overpromised and under delivered, there�’s probably a lack ofunderstanding about what they need to achieve to get to the next level. They thinkthey�’ve been promised station master but we can�’t just move them to it.

1.02 Q: �… but in your office positions you can fast track people?Yes. Gives examples of management functions in the company that are well staffed bynationals

1.03 Looking at a 10 year plan when Company D would move out and a local companywould take over. But the struggle is going to be in engineering

End.

7.5 Appendix 5: ENDP Retention Sectors Report

Nationals Reasons for Resignation �– Trade 20081. Line manager is disrespectful and does not

delegate work effectively• Line manager outbursts in workplace• Disrespectful and distrustful Line manager• Unsympathetic Line manger• Line manager bias with employees�’ nationalities• Line manager does not solve problems effectively

and promptly• Line manager not attentive to needs and

concerns2. Working hours3. Unhappy with specific department within sales

and was denied transfer• Uncomfortable work environment with

colleagues, supervisor, and line manger4. Location of work5. Personal Reasons Health issues• Personal Reasons family not acceptant of private

sector6. Low remuneration7. Studying and can not balance working hours8. Was not provided training• Did not grow to another position HR unclear

about policies and procedures

Candidates Contacted (187). Working conditions are working hrs, hr issues such as

displacement of position. Work environment disturbance with colleagues, supervisors and line

managers. Line managers resigned solely because of line managers.

Total recruited in Trade in 2008 = 448

Total resigned = 48

Attrition rate 48 resigned/candidates contact 187*100 = 26%

Resigned Nationals Rate of Line Managers �– TradeHigh in• Delegates work effectively• Caters to their needs and concerns• Informative• Solves problems efficiently• Respectful• Attentive to their needs and concerns• Cooperative• Encourages and recognizes hard work• Empathetic• Open and consistent communication• Understanding on a personal level• Clarifies policies and proceduresLow in• Disrespectful and rude• Discriminates nationals employees from expat employees• Minimal interaction with employees• Does not take national employees�’ opinion into consideration• Not involved in improving skills and learning• Loses temper in front of nationals�’ colleagues• Does not solve problems effectively• Passive with minimal communication• Not accommodating• Hesitant in decision making• Lack of trust• Does not share knowledge• Rarely available• Extra work load with no guidance

Average 3.1

Rate: 1 low �– 5 High

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Nationals Rate of Line Managers �– TradeHigh in• Tolerant• Professional and communicates effectively• Open and consistent communication• National employees uninhibited relationship with line manager• Respectful and polite• Available• Make employees feel secure• Flexible• Caters to their needs and concerns• Cooperative• Demonstrates care for employee�’s job• Understanding of students needs part time• Informative• Provides professional and personal guidance and advise• Trusts employees• Aims to develop employees�’ skills• Communicates regulations effectively• Consistent follow up• Communicates feedback on work doneLow in• Disrespectful and rude• Inconsiderate• Does not solve problems effectively• Discriminates nationals employees from expat employees• Unavailable when needed• Assigns work without communicating• Not lenient

Average 4.1

Rate: 1 low �– 5 High

Nationals Reasons for Resignation �– Hospitality 2008

1. 60% resigned because of line manager andcolleagues ill treatment which includesobstacles pertaining to line manger�’sprojection of neglect towards nationalemployee work related requirements �– suchas further training, unsympathetic toculture and family obligations, anddisrespectful behavior and mannerisms

2. 25% resigned because of compensation andperformance rewards, of which 67%resigned due to reasons which includecareer growth deterrents

3. 5% resigned due to family disapproval ofthe job, opposition to working in the privatesector and location of the hotels.

4. 5% resigned because of working hours andunease in working environment after thefinancial crisis.

5. 5 % are students and resigned due todifficulty in balancing working hours withuniversity work.

Contacted (44). Working conditions are working hrs, hr issues such as displacement of

position. Work environment disturbance with colleagues, supervisors and line managers. Line

managers resigned solely because of line managers.

Total recruited in Hospitality in 2008 = 102

Total resigned = 12

Attrition rate 12 total resigned/44 contacted*100 = 27%

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Resigned Nationals Rate of Line Managers �– Hospitality 2008

High in

• Lucid communication and asks for staff feedback,allowing permitting nationals to express themselvesfreely

• Understanding of nationals culture• Line manager availability after working hours

• Caters to overall career growth within the job

• Tends to their concerns

Low in

• Disrespectful behavior

• Discriminates nationals employees from expatemployees

• Uncooperative and unavailable

• Neglectful

• Not involved with national employees activities

• Does not solve problems effectively

• Disrespectful towards their religion.

• Not sympathetic of culture

• Excessive work load without guidance

• Not considerate towards students�’ commitments

Average 2.8

Rate: 1 low �– 5 High

Nationals Rate of Line Managers �– Hospitality 2008High in

• Consistent communication

• Reciprocal involvement in decision makingprocess

• National employees feel uninhibited

• Tolerant of culture

• Cooperative and helpful

• Constant follow up

• Inquires on suggestions

• Respectful behavior

• Communicates feedback

Low in

• Uncooperative and neglectful

• Temperamental and erratic

• Unclear on employee�’s job role andresponsibilities

• Not understanding of culture

• Does not involve employees

• Neglectful• Indirect communication process �– HE

Emiratisation manager

Average 4.1

Rate: 1 low �– 5 High

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Nationals Reasons for Resignation �– Banking &Finance Sector 2008

1. Work Environment: 33% resigned due toDisturbances with supervisors and unhelpfulcolleagues. 75% commented they have feltneglected and not provided with any work.

2. Career Development: 17% resigned due to thelack of a career growth plan within the job.

3. Working Conditions: 17% resigned because ofworking hours and work load of which 16.6percent commented on low compensation as oneof the reasons.

4. 17 % resigned due to an Opposition to working ina Non Islamic Bank, 50% is a familial force whilethe rest is on the individual�’s perception.

5. 8% resigned directly because of the linemanager�’s disrespectful behavior.

6. 8% resigned because of Personal Reasons such asMarriage

Contacted (54) less than 20%

Total recruited in Banking in 2008 = 840

Total Resigned = 18

Attrition rate 18 resigned/54 contacted*100 = 33% (small sample)

Resigned Nationals Rate of Line Managers �–Banking & Finance 2008

High in• Asks for their participation• Informative• Respectful• Attentive to their needs and concerns• Cooperative• Always availableLow in• Disrespectful and rude• Does not communicate with nationals directly the

Emiratisation Head• Does not take national employees�’ opinion into

consideration• Inconsistent with policies• Does not take action• Temperamental• Intolerant• Discriminating with Nationals• Did not feel part of a team

Average 2.5

Rate: 1 low �– 5 High

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Nationals Rate of Line Managers �–Banking & Finance 2008High in• Clearly communicated job expectation• Consistent communication• Understanding with students• Available• Communicates feedback on work done• Consistent follow up• Solves problems effectively• Cooperative• Demonstrates care for employee�’s job• Empathetic• Guides them at different work procedures• Patient• Shares work know how• Respectful and supportive• Discriminating conduct between nationals and non nationals• Recognizes efforts

Low in• Minimal communication• Not concerned with improving national employees�’ skills• Does not cater to their work needs• Does not delegate work effectively• Disrespectful and rude• Does not solve problems effectively• Hesitant in decision making• Does not follow up

Average 3.9

Rate: 1 low �– 5 High

Nationals Reasons for Resignation �–Insurance Sector 2008

Nationals Reasons for Resignation �–Real Estate Sector 2008

1. 50% resigned because of Working Conditions, which include compensation and working hours.Of which 50% commented on lack of career growth opportunities, i.e. promotions, and 16%commented on their contentment with the Work Environment.

2. 25 % resigned for reasons directly related to Career Development, where the job role, tasksand responsibilities were imprecise.

3. 25 % resigned due to Personal Reasons which is mainly family related.

1. 50% resigned because of organization�’s HR Polices and Procedures, Maternity Leave policies.2. 25 % resigned due to Working Conditions, which include working hours and compensation.3. 25 % resigned because of Work Location.

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Total Attrition Rate 2008

Total Retention Rate 2008

137

7.6 Appendix 6: Blue sky

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7.7 Appendix 7: Typical data analysis sheets

108 respondents Me a n sco re

108T o ta l sco re

1 12 2 11 3 10 4 9 5 8 6 7 7 6 8 5 9 4 10 3 11 2 12 1

1 8.7 935 44 528 5 55 7 70 8 72 6 48 8 56 4 24 4 20 7 28 8 24 3 6 4 42 8.23 889 34 408 16 176 5 50 5 45 6 48 9 63 3 18 4 20 5 20 6 18 8 16 7 7

3 8.16 881 24 288 15 165 15 150 9 81 3 24 9 63 5 30 6 30 4 16 7 21 2 4 9 94 7.8 846 23 276 13 143 10 100 13 117 8 64 5 35 1 6 6 30 6 24 10 30 8 16 5 55 7.5 810 14 168 15 165 13 130 7 63 14 112 3 21 10 60 7 35 4 16 5 15 9 18 7 7

6 7.13 770 22 264 11 121 6 60 6 54 9 72 6 42 7 42 7 35 6 24 9 27 10 20 9 9

8 7.06 763 13 156 9 99 11 110 7 63 9 72 14 98 11 66 3 15 13 52 6 18 2 4 10 107 7.0 752 10 120 10 110 12 120 11 99 5 40 9 63 10 60 11 55 10 40 8 24 9 18 3 39 6.7 722 13 156 6 66 8 80 11 99 5 40 7 49 10 60 16 80 12 48 8 24 8 16 4 4

10 6.2 671 9 108 13 143 9 90 10 90 8 64 3 21 6 36 5 25 5 20 11 33 12 24 17 17

11 6.12 661 11 132 4 44 7 70 7 63 8 64 13 91 8 48 7 35 11 44 16 48 6 12 10 10

12 6.07 656 10 120 8 88 7 70 7 63 13 104 9 63 3 18 9 45 6 24 8 24 9 18 19 19

78 respondents Me a n sco re

78T o ta l sco re

1 12 2 11 3 10 4 9 5 8 6 7 7 6 8 5 9 4 10 3 11 2 12 1

1 8.2 641 29 348 4 44 5 50 4 36 5 40 5 35 3 18 3 15 6 24 7 21 3 6 4 42 7.9 613 15 180 11 121 11 110 6 54 3 24 5 35 4 24 4 20 4 16 6 18 2 4 7 7

3 7.67 598 22 264 7 77 5 50 4 36 5 40 8 56 2 12 3 15 3 12 5 15 7 14 7 7

4 7.56 590 15 180 9 99 8 80 8 72 7 56 4 28 0 0 3 15 4 16 9 27 6 12 5 5

5 7.1 554 17 204 7 77 4 40 4 36 8 64 3 21 6 36 6 30 2 8 5 15 7 14 9 9

6 6.9 535 7 84 5 55 9 90 5 45 6 48 12 84 8 48 3 15 10 40 6 18 1 2 6 67 6.9 535 7 84 10 110 6 60 4 36 11 88 3 21 8 48 7 35 4 16 5 15 9 18 4 48 6.7 520 7 84 7 77 6 60 8 72 3 24 6 42 8 48 9 45 9 36 5 15 7 14 3 39 6.4 502 5 60 6 66 3 30 11 99 4 32 7 49 7 42 11 55 8 32 7 21 7 14 2 2

10 6.05 472 8 96 8 88 5 50 6 54 4 32 7 49 2 12 5 25 5 20 6 18 6 12 16 1611 6.03 470 8 96 2 22 5 50 5 45 6 48 7 49 6 36 7 35 10 40 12 36 3 6 7 7

12 5.9 461 7 84 7 77 5 50 8 72 5 40 3 21 6 36 2 10 2 8 10 30 10 20 13 13

30 respondents Me a n sco re

30T o ta l sco re

1 12 2 11 3 10 4 9 5 8 6 7 7 6 8 5 9 4 10 3 11 2 12 1

1 9.80 294 15 180 1 11 2 20 4 36 1 8 3 21 1 6 1 5 1 4 1 3 0 0 0 0

2 9.70 291 12 144 9 99 0 0 1 9 1 8 1 7 1 6 1 5 2 8 1 3 1 2 0 0

3 9.17 275 7 84 5 55 7 70 3 27 3 24 0 0 2 12 0 0 0 0 0 0 0 0 3 3

4 8.93 268 9 108 4 44 4 40 3 27 0 0 4 28 1 6 2 10 0 0 1 3 0 0 2 25 8.53 256 8 96 4 44 2 20 5 45 1 8 1 7 1 6 3 15 2 8 1 3 2 4 0 06 7.73 232 3 36 3 33 6 60 3 27 2 16 3 21 2 12 2 10 1 4 3 9 2 4 0 07 7.60 228 6 72 4 44 2 20 2 18 3 24 2 14 3 18 0 0 3 12 0 0 1 2 4 4

8 7.33 220 8 96 0 0 5 50 0 0 1 8 0 0 3 18 5 25 4 16 1 3 1 2 2 2

9 7.20 216 5 60 4 44 2 20 2 18 1 8 3 21 1 6 1 5 4 16 4 12 3 6 0 0

10 7.00 210 2 24 6 66 4 40 2 18 3 24 0 0 0 0 3 15 3 12 1 3 2 4 4 4

11 6.37 191 3 36 2 22 2 20 2 18 2 16 6 42 2 12 0 0 1 4 4 12 3 6 3 3

12 6.13 184 2 24 0 0 2 20 1 9 9 72 2 14 1 6 4 20 1 4 2 6 3 6 3 3Long holidays

A lot of autonomy (you decide how you do your work)

Good interpersonal relations (with supervisors/co-workers)

Convenient work hours

A good match between job requirements and abilities/experience

Good physical working conditions (your own office, reserved parking etc)

Good physical working conditions (your own office, reserved parking etc)

Ra nk ing fo r ma le re sp o nd e nts

Opportunities to learn new things

A lot of variety

Good job security

Opportunities for promotion

Good pay

Interesting work

Opportunities to learn new things

Long holidays

Long holidaysA lot of autonomy (you decide how you do your work)

Good interpersonal relations (with supervisors/co-Convenient work hours

Good physical working conditions (your own office, reserved parking etc)

A lot of variety

Opportunities for promotionA lot of variety

Good job security

Convenient work hours

Good pay

Interesting workA good match between job requirements and abilities/experience

Ra nk ing fo r fema le re sp o nd e nts

A lot of autonomy (you decide how you do your work)

Good interpersonal relations (with supervisors/co-

Opportunities for promotion

Q14. Work Goals - mean ranking for UAE nat ionals and for male and female UAE nat ionals

Ra nk ing fo r a ll re sp o nd ents

Opportunities to learn new things

Good job security

Good pay

Interesting work

A good match between job requirements and abilities/ experience

139

Salary AED/month

Public PrivateEither (don't

mind)Response

PercentResponse

Countpublic private

5,000 - 7,000 0 2 0 1.8% 2 2 18,000 - 10,000 10 3 5 16.2% 18 2 111,000 - 13,000 17 1 6 21.6% 24 2 214,000 - 16,000 5 10 3 16.2% 18 2 217,000 - 19,000 10 5 7 19.8% 22 2 220,000 + 12 4 5 18.9% 21 2 3Not sure 4 1 1 5.4% 6 2 4

5

1234567

8 26 27 111 111 2 42 42 43 4

Public % Private %Either (don't

mind)%

3 45,000 - 7,000 0 0% 2 8% 0 0% 3 4 138,000 - 10,000 10 17% 3 12% 5 19% 3 4 1411,000 - 13,000 17 29% 1 4% 6 22% 3 4 1514,000 - 16,000 5 9% 10 38% 3 11% 3 4 1617,000 - 19,000 10 17% 5 19% 7 26% 3 5 1720,000 + 12 21% 4 15% 5 19% 3 5 18Not sure 4 7% 1 4% 1 4% 3 5 19

58 26 27 3 53 53 63 63 63 63 73 24 24 24 34 34 35 35 35 35 35 35 3

5 3

Wilcoxon 2 sample test 5 4

Public vs private sector intentions and salary expectations 5 4

W = 1110.5, p <= 0.5513 NOT SIGNIFICANT 5 4

6 4

6 4

6 46 46 46 46 46 56 56 56 56 5

Test for significance

ranking

Salary expectations by future employment sector intentions

Which sector do you intend to work in?

What is the minimum starting salary (AED) that you expect from your first job?

89

1011

12

20212223242526

789012345678

9

0

1

2

3

4

5678901234

0

5

10

15

20

25

30

5,000 -7,000

8,000 -10,000

11,000 -13,000

14,000 -16,000

17,000 -19,000

20,000+

Not sure

What is the minimum starting salary (AED) that you expect from your first job?

PublicPrivateEither (don't mind)

02468

1012141618

5,000 -7,000

8,000 -10,000

11,000 -13,000

14,000 -16,000

17,000 -19,000

20,000 + Not sure

Salary expectations showing binomial distributions

Public

Private

Either (don't mind)

140

141

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