Legislation for the workplace: Rules and regulations are evolving to meet the needs of a dynamic labour market

In recent years, Qatar has seen economic prosperity unprecedented in its national history, transforming itself into the richest country in the world by many standards. In 2011 GDP per capita grew by 14% in real terms, according to data released by the Qatar Statistics Authority (QSA) in March 2012. As economic growth continues, the government is pursing the development goals it laid out in documents like Qatar National Vision 2030 and the Qatar National Development Strategy. These plans include a great deal of investment in economic diversification and infrastructure projects. The idea is to invest current energy windfalls to boost future economic prospects.

As the government carries out these plans, demand for both skilled and unskilled labour will likely rise. Much of this is set to come from abroad. Qatar’s workforce already hails from every corner of the globe, as the country’s diverse economic goals have attracted an equally diverse population of workers. To ensure labour supply continues to satisfy demand, the government has been working on new legislation to accommodate the needs of employees. “In this era of globalisation it is very important to be aware of the international labour needs rather than just concentrate on domestic issues,” said the acting minister for social affairs and labour, Nasser bin Abdullah Al Humaidi.

ON THE BOOKS: The current labour regulations are outlined in the Labour Law of Qatar, which describes the rights, restrictions and obligations of both employees and employers. The maximum workweek, without overtime pay, is set at 48 hours, except during the month of Ramadan, when it drops to 36. Each worker is entitled to at least one day off each week, with Friday being the common day off for all employees, according to the law.

Although jobs for Qatari nationals remain a top priority, the government has also acknowledged the value of skills and expertise that outside workers bring into the state. To that end, the authorities have been working on tweaks to labour legislation that balance protections for workers’ rights, project requirements and state security.

Under current law, all foreign workers are required to carry a working visa. Thanks to the e-government platform Hukoomi, which was launched in 2008 and redesigned in 2010, filing the relevant paperwork for the visa can be done online.

To obtain the visa, employees must have an employer sponsor. There are a number of regulations in place to ensure workers’ rights are protected under sponsorship. Current regulations stipulate that employers may not keep employees’ passports unless they are completing visa business, and sponsored employees may apply to bring their spouses and children with them to Qatar. Workers also have the right to join trade unions or form workers’ committees of their own, and these groups have the right to strike as long as they follow relevant legal regulations.

To help firms navigate labour legislation and recruit foreign labour, several private companies have emerged in the country to provide visa and staffing services. A number of these companies grew in the lead up to the 2010 Asian Games, when large swathes workers arrived to expedite construction projects. Demand has continued to grow thanks to a long list of hotels, sports facilities and other projects on the way. “Business services are a growing business in Qatar as they streamline the process of setting up. We anticipate construction and hospitality to be major growth drivers going forward,” said Anwar Aonallah, government relations manager of Regency Services, one such firm.

BY THE NUMBERS: Indeed, the labour resources devoted to building hotels, stadiums and other structures cannot be understated. Construction workers make up the largest contingent of foreign labourers in the country, numbering 494,916 in 2011, according to the QSA. These workers accounted for just under 40% of the total 1,271,074 workers – both Qatari and non-Qatari. Even when combining the next-largest categories of foreign workers, which include retail and vehicle repair (140,104), household activities (131,607) and manufacturing (100,206), the sum does not equal the number of those in construction. There are several reasons for this.

Construction of new infrastructure and facilities is a key component of the majority of the economic goals that are outlined in the country’s development agenda. Infrastructure expansion is at its core a series of construction projects. Meanwhile, tourism growth requires new hotels, retail outlets and entertainment facilities, and hosting international events means more conference and exhibition spaces. In addition to an ambitious agenda for new developments, the construction sector itself is quite labour-intensive. As a result, it relies heavily on labour from other countries.

SPORTING SECURITY: The announcement of Qatar’s successful bid to host the 2022 FIFA World Cup has only increased the scale of new developments and the speed at which they are expected to reach completion, with nine new stadiums and the renovation of three more on the docket. Being one of the world’s largest sporting events by a number of measures, the World Cup has brought many aspects of Qatar’s government into the international spotlight, including its economy and labour market. The issue of workers’ rights, in particular, has gained attention. Although laws are meant to safeguard workers, some employers take advantage of their employees. As workers’ rights cases have been highlighted in recent years, Qatar’s leadership has reiterated its commitment to securing these rights. “Major sporting events shed a spotlight on conditions in countries,” Hassan Al Thawadi, the Qatar 2022 Supreme Committee secretary-general, told delegates at a meeting at Carnegie Mellon University Qatar in January 2012. “There are labour issues here in the country, but Qatar is committed to reform. We will require that contractors impose a clause to ensure that international labour standards are met. ... Sport, and football in particular, is a very powerful force. Certainly we can use it for the benefit of the region.”

FAVOURING EMPLOYMENT CONTRACTS: One of the steps being taken is a comprehensive overview of the current employer sponsorship system. In the past, sponsorship rules made it difficult for workers to change employers or travel abroad without permission. Both factors created obstacles to reliably enforcing labour laws, according to a study from the National Human Rights Committee (NHRC), an agency formed by the government. In April 2012, just over a year after the study’s release, the Council of Ministers met to discuss changes to the system. About one month later, government leaders indicated that they were looking into ways to introduce employment contracts in place of sponsorships.

“The sponsorship system will be replaced with a contract signed by the two parties,” Labour Ministry Undersecretary Hussain Al Mulla told the local Arabic daily Al Arab in May 2012. “The contract will stipulate the rights and duties of each party, and will impose specific matters that the foreigner has to respect.”

Meanwhile, on October 8, 2012 the NHRC announced a draft law that would help enforce certain rights for labourers. The proposed legislation would also help to prevent employers from attempting to keep the passports of workers and set a minimum wage for maids and domestic workers as well as create a formal complaint system within the Labour Department and the NHRC.

By changing the sponsorship system and incrementally expanding workers’ rights, the government hopes to continue improving labour conditions ahead of the projects it has lined up for FIFA 2022.

RAISING STANDARDS: In addition to an overview of its legislation, the government has also invited international labour organisations to begin operations in the country. On October 1, 2012 the UK-based Institution of Occupational Safety and Health (IOSH) held an inauguration ceremony for its Doha branch. Founded in 1945, the organisation is the world’s largest devoted to occupational health and safety, with 40,000 members spread across 80 countries. Its ultimate goal is to support healthy, safe and sustainable workplaces around the world. In Qatar, the organisation is focused on ramping up efforts ahead of the 2022 FIFA World Cup. “We want to focus on Qatar to work with key organisations to improve occupational safety and health for those working here,” said IOSH President Subash Ludhra following the inauguration. “Good health and safety not only improve employee welfare, but also boost the economy and improve company productivity by reducing cases of ill-health and injury. … We will also look to contribute to a safe and healthy planning of the 2022 World Cup, in Qatar, by offering guidance on construction safety and sports events planning.” Through awareness campaigns and professional development programmes, IOSH aims to educate stakeholders about the potential dangers at worksites and the benefits, both moral and economic, of eliminating these dangers.

MOVING FORWARD: By changing legislation, incrementally improving workers’ rights and inviting ISOH to operate in the country, Qatar has signalled a desire to improve labour conditions. Indeed, moves to streamline employment processes and protect the rights of workers have the potential to accomplish much more than expanding human rights. In the long run, these measures could also offer an overall boost to the state’s economy by reducing administrative burdens for employers and by lowering costs for the government, in addition to improving the quality of life for foreign workers. Although finding the right balance can sometimes be tricky, the state has demonstrated that it is prepared to continue adjusting labour laws to encourage positive changes in the market.