VZCZCXRO6998
PP RUEHDH RUEHDIR
DE RUEHDE #0365 2451406
ZNR UUUUU ZZH
P R 021406Z SEP 09
FM AMCONSUL DUBAI
TO RUEHC/SECSTATE WASHDC PRIORITY 6618
INFO RUEHZM/GULF COOPERATION COUNCIL COLLECTIVE
RUEHDE/AMCONSUL DUBAI 9908

UNCLAS DUBAI 000365 
 
SENSITIVE 
SIPDIS 
 
DEPARTMENT FOR NEA/FO; NEA/ARP/BMCGOVERN 
 
E.O. 12958: N/A 
TAGS: ECON ELAB PHUM PGOV PINS SOCI AE
SUBJECT: LABOR STRIKES RETURN TO DUBAI 
 
REF: A. A) 07 DUBAI 179 
     ¶B. B) 06 DUBAI 1842 
 
¶1. (SBU) Summary: An impromptu labor strike on August 31 
surprised a city known for its disproportionately large, but 
generally quiet expat unskilled labor force.  Approximately 1200 
laborers from Al Habtoor Engineering Enterprises took to the 
streets in protest of low pay and restricted access to overtime 
hours.  The protest, which lasted only a few hours, took place 
in several locations throughout Dubai.  Dubai Police and 
Ministry of Labor officials responded immediately to disperse 
the demonstrations peacefully.  This is the first reported 
strike in Dubai since the financial crisis hit the city last 
year.  End Summary. 
 
 
 
¶2. (SBU) On August 31, approximately 1200 laborers employed by 
Al Habtoor Engineering, best known in Dubai for constructing the 
iconic Burj al-Arab and Jumeirah Beach Hotel, gathered 
simultaneously at three separate public locations in the city, 
disrupting traffic and drawing a rapid response from Dubai 
police and labor officials.  Colonel Hamad Al Mansouri, head of 
the Emergency Department at the Dubai Police, told emboff that 
the "gatherings" were peaceful, although unexpected, with 
neither injuries nor property damage.  Al Mansouri was reluctant 
to discuss the demands of the workers, but shared his 
understanding that they were demanding restoration of overtime 
work hours and improved wages.  One worker quoted in local press 
reporting stated that while "senior" workers typically receive 
about USD 260 per month, junior laborers receive a monthly 
salary of less than USD 200 per month, insufficient to cover the 
increased cost of living in Dubai and therefore leaving nothing 
to send home to families in the sending country. 
 
 
 
¶3. (SBU) In the wake of the protests, Al Habtoor Engineering and 
its laborers have entered into informal negotiations.  According 
to Al Habtoor's Managing Director David Savage, half of the 
employees returned to work on September 2, while the rest are 
expected to go back on September 3.  The Acting Director General 
of the UAE Ministry of Labor Humaid Bin Deemas was quoted in the 
UAE press that Al Habtoor is meeting its labor obligations and 
has been "paying the wages of workers without delay or 
deductions, and remained committed to provision of labor housing 
as per the accepted standards, as well as the healthcare and 
other services specified by the labor law as mandatory." 
 
 
 
¶4. (SBU) Labor strikes are illegal in the UAE and authorities 
have in the past responded through arrests, jail time, and 
deportations (Ref A).  Since September 2005, there have been 
only periodic labor strikes, usually ranging from 2000-7000 
workers demanding higher pay and better living conditions.  The 
most well-known labor protest occurred in March 2006 (Ref B) at 
the "Burj Dubai" construction site where workers damaged 
vehicles and other equipment on site.  More recently, in 
February  2008, 45 Indian workers were sentenced to six months 
in jail followed by deportation for violent protests.  The 
workers were found guilty of endangering public security, 
damaging properties, and inciting other workers to strike. 
 
 
 
¶5. (SBU) Comment: UAE officials consider labor protests a 
national security issue capable of endangering the fine balance 
that exists between a minority UAE citizen population (between 5 
and 10 percent in Dubai) and a much larger expatriate 
population, the great majority of whom are lower-wage workers 
from South Asia.  They therefore take the issue of strikes very 
seriously.  Likely in an effort to keep a low-profile and avoid 
negative press, UAE officials prefer to stop all strikes in a 
peaceful manner - and with minimal press coverage - rather than 
assert authority forcefully.  That said, the consequences for 
workers who engage in protests (loss of job, deportation, jail 
on rare occasion) are significant.  That laborers are willing to 
risk such consequences, especially during an economic downturn, 
indicates the level of frustration over their compensation and 
living conditions.  End Comment. 
 
SIBERELL