Inflation carves a hole in expats’ income as families struggle

Inflation carves a hole in expats’ income as families struggle
Updated 22 September 2012
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Inflation carves a hole in expats’ income as families struggle

Inflation carves a hole in expats’ income as families struggle

Due to inflation many expats in Saudi Arabia are struggling to survive and send money back home for their families.
Employees from Asia and Africa arrived in the country and expected a salary that seemed high to them as they were coming from extreme poverty. Soon after, they discovered they couldn’t survive and support the families they left behind, due to the high rate of inflation. Expatriate wages in Saudi Arabia are usually based on the nationality of the workers. Those from Bangladesh, Pakistan and India can expect a salary between SR 800 and SR 2,000. Expatriates from Egypt, Syria, Lebanon, Jordan, Morocco, Tunisia and Palestine may get a wage of SR 5,000 to SR 8,000 if they are working in engineering, pharmacy, journalism or medicine. Those who don’t have a bachelor’s degree work for between SR 800 to SR 2,500.
Imee Anjo, a Filippino baby-sitter, works in a compound but she has to do extra freelance job to increase her wages.
“I work in a compound. My colleagues and I earn SR 800 per month. When I received this offer two years ago, I was happy because I expected it to be enough to live on and send money back home. After I came to Jeddah, I found that SR 800 wouldn’t be enough to make ends meet. I can’t even afford my food,” she said.
She added, “My friends work as maids and nurses. They receive a salary that is not enough to survive on in Saudi Arabia. Many of them work as freelancers after their shifts, by doing private cleaning and other work.”
The same is true for male staff working in maintenance and other jobs in hospitals, residential units, hotels and restaurants.
“We all were happy when we received an offer to work in Saudi Arabia. I was asked to work in maintenance for a wage of SR 1,000. I was too happy because SR 1000 equals a very decent wage where I come from,” said Afzal Mohammed, a maintenance worker at a private hospital in Jeddah.
He added, “After arriving to the Kingdom, I found out that it is impossible to marry and have a family due to the high cost of living. Therefore, I have to do extra gardening and car cleaning jobs. These extra jobs effectively double my wages.”
Even for more professional positions there is a large variation in the wages for qualified expatriates.
“Friends and relatives often ask me if the salary I receive is fair. I believe that my wage is fair if I transfer it in to Egypt and stop my life here. My family and I suffer from high inflation. All expat have to pay for home rent, school fees, water, electricity and many other services, and prices are continuously increasing,” said Mustafa Aswani, an Egyptian pharmacist who works in private pharmaceutical company. He confirmed that the salary that he receives did not provide a very high standard of living.