Workforce nationalization: Difference between revisions
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Establishing a skilled local workforce is one of the most critical challenges facing countries of the [[Gulf Cooperation Council|Gulf Cooperation Council (GCC)]] from an economic security and a social inclusion perspective. Integration of skilled native-born workforce and reduction of dependence on the expatriate workers has been on the top of agendas of the GCC states. Furthermore, continued economic growth and industrial diversification demand qualified and competent local workforce. With growing population of young nationals graduating every year, there is an urgent need to integrate them into the job market especially in the private sector to strike the right balance in representing local talent in workforce. To meet those challenges, governments adopted human resources development strategies (also known as Bahrainization, [[Emiratisation]], Kuwaitization, Omanization, [[Qatarization]], and [[Saudization]]) that target the employment of native-born workforce through various incentives, regulations, policies, educational reforms and economic diversification plans. |
Establishing a skilled local workforce is one of the most critical challenges facing countries of the [[Gulf Cooperation Council|Gulf Cooperation Council (GCC)]] from an economic security and a social inclusion perspective. Integration of skilled native-born workforce and reduction of dependence on the expatriate workers has been on the top of agendas of the GCC states. Furthermore, continued economic growth and industrial diversification demand qualified and competent local workforce. With growing population of young nationals graduating every year, there is an urgent need to integrate them into the job market especially in the private sector to strike the right balance in representing local talent in workforce. To meet those challenges, governments adopted human resources development strategies (also known as Bahrainization, [[Emiratisation]], Kuwaitization, Omanization, [[Qatarization]], and [[Saudization]]) that target the employment of native-born workforce through various incentives, regulations, policies, educational reforms and economic diversification plans. |
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Some forward-thinking organizations realized the benefit of workforce nationalization early on. Since 1960, Schlumberger has operated by a “recruit where we work” philosophy that is driven by the revenue size of a particular region.<ref>{{Cite web|url=http://www.drillingcontractor.org/workforce-nationalization-companies-take-pride-in-strong-recruiting-retention-practices-19794|title=Workforce nationalization: Companies take pride in strong recruiting, retention practices - Drilling Contractor|website=Drilling Contractor|language=en-US|access-date=2016-03-25}}</ref> GCC states mandated their respective ministries of labor to establish employment quotas for different sectors to employ native-born workers. Failing to achieve these quotas can result in penalties and not being able to win government projects for example. There are different local bodies that are in place and are being set up to provide career advice, coaching, training and development mostly recent graduates in order to accelerate their careers in the private sector. Each country has set its own nationalization quota focusing predominantly on banks, insurance firms, and commercial companies. Enforcing workforce nationalization in the GCC led to most of the business contracts or agreements with major companies outlining legal requirements for “Workforce Nationalization”, “Local Content”, “Localization” or “Technology and [[Knowledge transfer|Knowledge Transfer]]”. |
Some forward-thinking organizations realized the benefit of workforce nationalization early on. Since 1960, Schlumberger has operated by a “recruit where we work” philosophy that is driven by the revenue size of a particular region.<ref>{{Cite web|url=http://www.drillingcontractor.org/workforce-nationalization-companies-take-pride-in-strong-recruiting-retention-practices-19794|title=Workforce nationalization: Companies take pride in strong recruiting, retention practices - Drilling Contractor|website=Drilling Contractor|language=en-US|access-date=2016-03-25}}</ref> GCC states mandated their respective ministries of labor to establish employment quotas for different sectors to employ native-born workers. Failing to achieve these quotas can result in penalties and not being able to win government projects for example. There are different local bodies that are in place and are being set up to provide career advice, coaching, training and development mostly for recent graduates in order to accelerate their careers in the private sector. Each country has set its own nationalization quota focusing predominantly on banks, insurance firms, and commercial companies. Enforcing workforce nationalization in the GCC led to most of the business contracts or agreements with major companies outlining legal requirements for “Workforce Nationalization”, “Local Content”, “Localization” or “Technology and [[Knowledge transfer|Knowledge Transfer]]”. |
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Most of the efforts to enforce workforce nationalization have had mixed success thus far in their sustained implementation for a variety of reasons. According to Ms Randa Bahsoun, Partner – People & Organization Practice, PwC Middle East four main challenges in the workforce nationalization, “Balancing workforce nationalization efforts while leveraging experienced expatriate talent; public pressure to reduce local unemployment especially in the backdrop of low oil prices; skill shortages and increased global competition; and integration of women and millennials into the workforce at middle senior management levels.”<ref>{{Cite web|url=http://www.gulfnews247.com/2015/10/19/staying-relevant-innovative-hr-policies-to-attract-millennials/|title=Staying Relevant: Innovative HR Policies to Attract Millennials|website=Gulf News 24/7|access-date=2016-03-25}}</ref> The need for a reliable workforce nationalization framework based on the proven business practices is critical more than ever. |
Most of the efforts to enforce workforce nationalization have had mixed success thus far in their sustained implementation for a variety of reasons. According to Ms Randa Bahsoun, Partner – People & Organization Practice, PwC Middle East four main challenges in the workforce nationalization, “Balancing workforce nationalization efforts while leveraging experienced expatriate talent; public pressure to reduce local unemployment especially in the backdrop of low oil prices; skill shortages and increased global competition; and integration of women and millennials into the workforce at middle senior management levels.”<ref>{{Cite web|url=http://www.gulfnews247.com/2015/10/19/staying-relevant-innovative-hr-policies-to-attract-millennials/|title=Staying Relevant: Innovative HR Policies to Attract Millennials|website=Gulf News 24/7|access-date=2016-03-25}}</ref> The need for a reliable workforce nationalization framework based on the proven business practices is critical more than ever. |
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Revision as of 10:41, 25 March 2016
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Workforce Nationalization is a government initiative to increase systematically representation of the native-born population in the workforce employed in the public as well as private sector.
Establishing a skilled local workforce is one of the most critical challenges facing countries of the Gulf Cooperation Council (GCC) from an economic security and a social inclusion perspective. Integration of skilled native-born workforce and reduction of dependence on the expatriate workers has been on the top of agendas of the GCC states. Furthermore, continued economic growth and industrial diversification demand qualified and competent local workforce. With growing population of young nationals graduating every year, there is an urgent need to integrate them into the job market especially in the private sector to strike the right balance in representing local talent in workforce. To meet those challenges, governments adopted human resources development strategies (also known as Bahrainization, Emiratisation, Kuwaitization, Omanization, Qatarization, and Saudization) that target the employment of native-born workforce through various incentives, regulations, policies, educational reforms and economic diversification plans.
Some forward-thinking organizations realized the benefit of workforce nationalization early on. Since 1960, Schlumberger has operated by a “recruit where we work” philosophy that is driven by the revenue size of a particular region.[1] GCC states mandated their respective ministries of labor to establish employment quotas for different sectors to employ native-born workers. Failing to achieve these quotas can result in penalties and not being able to win government projects for example. There are different local bodies that are in place and are being set up to provide career advice, coaching, training and development mostly for recent graduates in order to accelerate their careers in the private sector. Each country has set its own nationalization quota focusing predominantly on banks, insurance firms, and commercial companies. Enforcing workforce nationalization in the GCC led to most of the business contracts or agreements with major companies outlining legal requirements for “Workforce Nationalization”, “Local Content”, “Localization” or “Technology and Knowledge Transfer”.
Most of the efforts to enforce workforce nationalization have had mixed success thus far in their sustained implementation for a variety of reasons. According to Ms Randa Bahsoun, Partner – People & Organization Practice, PwC Middle East four main challenges in the workforce nationalization, “Balancing workforce nationalization efforts while leveraging experienced expatriate talent; public pressure to reduce local unemployment especially in the backdrop of low oil prices; skill shortages and increased global competition; and integration of women and millennials into the workforce at middle senior management levels.”[2] The need for a reliable workforce nationalization framework based on the proven business practices is critical more than ever.
See also
External links
Mercer Talent consulting Workforce Nationalization
Enforcing Nationalization in the GCC
Reference
- ^ "Workforce nationalization: Companies take pride in strong recruiting, retention practices - Drilling Contractor". Drilling Contractor. Retrieved 2016-03-25.
- ^ "Staying Relevant: Innovative HR Policies to Attract Millennials". Gulf News 24/7. Retrieved 2016-03-25.