Chartered Accountant Nitin Kaushik recently used his social media platform to shed light on some lesser-known aspects of working in Dubai, cautioning job seekers about potential hidden costs that could offset the apparent financial allure of the city. While Dubai is famous for its tax-free salaries and luxurious lifestyle, Kaushik argues that there are significant financial and personal considerations that need to be weighed before making the move.
Kaushik points out that, despite the tax benefits, the cost of living in Dubai can be much higher than in Indian cities. For instance, a 1BHK apartment in Dubai can cost anywhere from Rs 1.5 to Rs 3 lakh per month, a stark contrast to major cities in India, where similar accommodations cost between Rs 40,000 and Rs 70,000. He also highlights that everyday expenses, like groceries, are significantly more expensive in Dubai. A litre of milk, for example, costs around Rs 120, which is double the price in India. Public transport and utility bills add to the financial burden, with a monthly metro pass in Dubai priced at Rs 8,500, compared to just Rs 350 in Mumbai.
Beyond financial factors, Kaushik draws attention to the lack of job security in Dubai, a detail that many prospective workers might overlook. He emphasizes that losing a job in Dubai means losing one’s visa, giving workers only 30 to 60 days to find new employment or leave the country. Kaushik notes that many job seekers arrive on visit visas, only to face rejections and return without securing a position. Unlike India, where severance protections exist, Dubai’s lack of job security means layoffs can occur abruptly and without warning.
Another issue Kaushik raises is the prevalence of salary delays and deductions in sectors such as construction and retail, despite the city’s Wage Protection System. Additionally, long working hours, lack of overtime pay, and minimal work-life balance are common, even for white-collar professionals, many of whom are required to work six days a week.
While Kaushik doesn’t discourage moving to Dubai, he urges potential expats to be realistic about the challenges and carefully consider their circumstances. He advises that moving to Dubai can be a lucrative opportunity for individuals with a strong skill set, sufficient savings, and a solid network, but that it’s important to plan smart and fully understand the practical realities of life in the city.
The post has sparked a lively conversation online, with mixed responses. One user acknowledged the high costs but argued that the trade-off is worth it for the city’s cleanliness, law enforcement, and reliable systems. Another user pointed out that for those with high freelance or internet income taxes in India, Dubai’s lower taxes and benefits on cars and electronics might make the move financially worthwhile.
Kaushik’s insights offer a nuanced perspective on the realities of living and working in Dubai, reminding job seekers to approach the “Dubai dream” with caution and thorough planning.
