Working in Dubai

Working in Dubai
Source | Author: Ilse Engwirda

Democracy can sometimes paralyze a country, says Jan Peter van der Ree, General Manager of the prestigious Grand Hyatt Hotel in Dubai. Dubai doesn’t face such issues: its ruler, Sheikh Mohammed, runs the city-state like a business.

"For instance, if a car parks prominently at the hotel's main entrance and an Arab woman is sitting in it alone, there's nothing you can do about it. If you open the door to ask her to park elsewhere, the police will be on you immediately," explains Jan Peter van der Ree. As the General Manager of the Grand Hyatt in Dubai, a hyper-modern and dynamic city that is 80% Westernized, he notes that there are specific laws to respect, particularly for Westerners. Respect for women is one such law.

Decline in Oil Revenues

The Grand Hyatt Dubai was established five years ago. With 674 rooms, 180 apartments, a large convention center, and 37 hectares of gardens, it is an impressive sight. Although located in the heart of the city, the hotel feels like a coastal resort. It benefits from Dubai's staggering growth, one of the seven emirates of the UAE.

Dubai’s economy has been growing at 17% annually for years, making it the fastest-growing city in the world. Aware that oil revenues will eventually decline, Sheikh Mohammed bin Rashid Al Maktoum has been investing heavily in the economy. His mission is to transform Dubai into the tourism and business hub of the Arab world—a goal he is pursuing with vigor. The city boasts the largest artificial islands (shaped like palm trees), the tallest tower (861 meters), and the longest indoor ski slope. Dubai’s port, which now handles almost as many containers as Rotterdam, is already established, and the city is building the largest airport in the world.

Expats

Van der Ree has been based in Dubai since January this year, and the prospects for his new location look promising. The city has many luxury hotels, and their number continues to grow, but demand is increasing even faster. For four months a year, business slows down—during the hot summer and Ramadan. However, for the other eight months, the hotel is extremely busy. Van der Ree doesn’t foresee market saturation before 2011.

The main challenge for the hospitality industry isn’t the market itself but staffing. Dubai currently has a population of 1.8 million, with over 80% being expats from 160 different countries. This group includes not only well-paid, highly educated professionals from the West but also a majority of low-wage workers from India, Pakistan, and the Philippines. The local workforce is well-educated but far too small to meet the growing demand.

Van der Ree explains, "Staff is constantly flown in, but the supply isn’t sufficient. On the bright side, this creates an incredibly international environment. At our hotel, we employ people from 76 different nationalities. Legally, we are required to have 5% of our workforce made up of locals, and we just about manage to meet this quota.

"Employees have limited rights here. For example, they are not allowed to form unions. Still, we take good care of them. In this competitive market, you’d lose them quickly otherwise."