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Contracting firms call for organization to safeguard their interests
Published in The Saudi Gazette on 02 - 06 - 2012

An influential group of contracting companies has called for the creation of an organization to represent their interests, according to a report in a local newspaper.
Chief amongst their immediate concerns is the non-availability of skilled labor — currently there is a massive shortage in the Kingdom.
Nader Al Zubair, a member of the contracting committee at the Chamber of Commerce and Industry in the Eastern Province, said one the greatest challenges the sector faces is the shortage of manpower. This is in spite of the fact that the cost of labor is relatively cheap considering the size of the development projects currently under construction in the Kingdom.
Al Zubair attributed the shortage to the tough rules governing the importation of construction workers. This is exarcebated by the lack of cooperation by the Ministry of Labor which which means they can take up to four months to process one application!
One of the principal reasons for the lack of Saudi employees in the sector is the fluctuating demand for construction workers — a phenomenon which is univers. Sometimes there are lots of projects in the market whilst at other times there isn't enough work to go round. Hence locals tend to avoid applying for jobs fearing the roller coaster emotions that characterize the life of those employed in the industry.
Unfortunately, one of the natural consequences of the labor shortage is projects fall well behind schedule.
This also pushes prices up as there is an intense competition for the scarce resources. Given the ability of neighboring Gulf countries in gaining immediate access to armies of skilled construction workers, this is a major error of omission in the Kingdom.
Jassim Aal Abbas, owner of a contracting establishment in Dammam, pointed out yet another negative of the current situation.
“The shortage has created a black market for construction workers. However, many of these stray workers are ill-prepared to take on advanced building work.” He urged the the Ministry of Labor to reconsider the laws governing the importation of the manpower.


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