DNA Explainer: What is Kafala system that is prevalent in gulf countries? Why is it considered extremely brutal?

The fatalities of Indian workers in the fire at a building in Kuwait has reached 41. All these workers had gone to Kuwait to support their families. Their employment was under the 'Kafala' system practised in the Gulf countries. This system gives employers unlimited rights over their workers, which leads to exploitation and inhumane treatment. 

What is the Kafala System?

The 'Kafala' system is a legal framework that has been continued for decades in the Gulf countries. It is utilized for the employment of foreign workers in Saudi Arabia, the United Arab Emirates, Bahrain, Qatar, Kuwait, and Oman. Jordan, Lebanon, and Iraq do not follow this system. 

Why was this system created?

The Gulf countries developed this system to offer an affordable and abundant labor supply during their rapid economic growth era. Critics argue that the system is rife with exploitation. It lacks rules and protections for migrant workers, often leading to low wages, poor working conditions, and abuse. 

Under this system, Gulf governments grant individuals or companies the right to sponsor foreign workers. These companies hire labor from other countries through agencies. 

Meanwhile in Kuwait, there are 1 million Indian workers. This constitutes about 30% of Kuwait's total workforce. Most foreign workers in Kuwait are employed in oil refineries, road construction, building construction, and hotels.