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Beyond Remittance: Struggles, contributions of Indian migrant workers in Gulf

TFI Desk by TFI Desk
24 December 2024
in Analysis
Beyond Remittance: Struggles, contributions of Indian migrant workers in Gulf

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India and the Gulf region have a strong shared interest. This is evident in the form of the large Indian diaspora in the Gulf region. According to World Bank data for the year 2022, there are over 8.5 million Indians living and working in various sectors of the Gulf economy. The main causes of migration from India to the GCC nations are thought to be push and pull factors. Based on state-by-state emigration data, Uttar Pradesh has surpassed Kerala as the leading emigrant-sending state in the Gulf Cooperation Council (GCC) since 2011. 

India and the Gulf region have a long-standing and mutually beneficial relationship. The main factors influencing Indian migration to the Gulf region are significant employment opportunities across various industries, a large economic development, and inadequate workforce. Many nations, particularly developing ones like China, India, the Philippines, Bangladesh, Indonesia, and Sri Lanka, have become the main supplier of labour to western developed nations like the US, Canada, UK, EU, western European nations, Australia, and New Zealand. 

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While on the other hand, they also send a sizable number of people within the continent, such as the GCC nations in West Asia or the Middle East. 

Global demand for migrant labour was sparked by the discovery of oil and its subsequent boom in the year 1970s, which included significant development projects in GCC nations like Saudi Arabia, Qatar, Kuwait, Oman, Bahrain, and the United Arab Emirates. In search of work and a better life, Indian workers also began to migrate to these nations. Indians are now found in every economic sector of the GCC nations. 

The oil-rich monarchy implemented an open-door policy that encouraged significant migration from outside the region as a result of massive development activities. The workforce in the region was not supplied by the neighbouring nations. 

Indians are therefore favored by Gulf nations because of specific characteristics, especially their hardworking nature, willingness to work for reasonable pay, flexibility, docility, and political neutrality. According to the 2016 India Migration Report, Indian migrants make up the largest group of foreign workers in every Gulf nation.

Indian diaspora in GCC nations

Earlier Arabs nations like Yemen, Egypt, Syria, and Jordan were the ones who dominated the GCC labour market at the start of the oil boom. However, the later GCC regime changed its stance on Asian labourers. Asian workers are favoured over Arabs due to their flexibility and sustaining hard work. The workers in the Gulf region were up against fierce competition from the influx of migrant labourers from Asia, particularly South Asia. Indian labourers make up the majority of Asian labourers who contribute to the socioeconomic and cultural advancement of GCC countries. 

The most recent data available from the Ministry of External Affairs, shows that the number of Indian migrants in the Gulf has increased eleven times in the past four decades, from 800,000 in 1983 to 3.3 million in 2001 to 8.8 million in 2022. This exponential increase is majorly driven by Blue-collar migrant workers. 

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United Arab Emirates being the most prominent destination among all GCC countries. While on the other hand, Bahrain is the least traveled nation in the GCC country by the Indians. 

Currently, India leads all South Asian nations in terms of receiving the highest remittances from GCC nations, followed by Bangladesh, Pakistan, Nepal, and Sri Lanka. India receives highest remittances from Saudi Arabia (US$ 13052 billion) followed by Kuwait (US$ 6356 billion), Bahrain (US$ 1833 billion), Oman (US$ 6413 billion), the United Arab Emirates (US$ 821 billion), and Qatar (US$ 4432 billion) in 2021.

Their Challenges 

Throughout their migration journey, Indian migrant workers encounter a variety of difficulties, frequently characterized by recruiters’ fraudulent activities and corruption. The Kafala or Worker Sponsorship system, which is used in all GCC nations, has drawn a lot of criticism for encouraging exploitation in the Gulf. Employees frequently experience physical abuse, wage delays, and passport confiscation at the hands of their employers (Kafeel).

The security issues resulting from previous conflicts like the Iraq-Kuwait war, the Arab Spring, and ongoing tensions in the Gulf, which restrict workers’ freedom of movement, further exacerbate the difficulties faced by Indian migrants. The challenges faced by migrants from India and other nations have been exacerbated by the Saudi government’s 2011 Nitaqat reforms, which were intended to increase local employment in the private sector but have also made it more difficult for foreign workers to find jobs. 

The risk of exploitation is higher for female migrant workers, especially domestic workers, who may experience verbal, sexual, and physical abuse at the hands of their employers. The migrant workers also encounter challenges like delayed passport issuance, which then necessitates bribery to speed up the procedure. They are also duped by the recruiters by overcharging for their visas and withholding important contract details like pay, overtime, and length of employment.

The Gulf region’s limited natural resources, although driving economic diversification in places like Bahrain and Dubai, do not always guarantee job security for migrants. Furthermore, after extended stays overseas, migrants eventually return home due to the GCC’s stringent citizenship laws, resulting in reintegration problems for the migrants, particularly those who have acquired skills that are difficult to apply in India. 

The Indian migrant workers in the Gulf have not only been a pillar of the region’s economic growth but also a symbol of resilience, sacrifice, and hope for a better future. As the largest group of foreign workers in the Gulf, Indian migrants have contributed immensely to the development of these oil-rich nations, while sending billions in remittances back home to support families and communities. 

Yet, their journey is often fraught with hardship, from exploitation and abuse.

Tags: Foreign remittancesGCCGulf Cooperation CouncilIndian migrantsIndian migrants in GCC
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