Posted by: Pradeep | July 6, 2008

Unprecedented rise in costs in UAE

Today’s Gulf News headlines must have given shock to all parents who have school going children in Dubai. Authorities have given blanket clearance to schools to raise school fees up to 30% from next academic year. Only solace can be if fees has been increased in this year then the rise would be limited to 10%, if not this year but last year then rise would be limited to 20%.

The justification put forth by authorities while giving this whip to schools is it shall help increase the academic quality of the schools (by contributing higher to teachers salary, infrastructure etc.). In general most of the school fees rise is taken away by landlords and balance by management of schools. All others come after this if anything is left out.

In this authorities have highlighted that the rise would be on overall what school charges for tuition, transport etc. Have they been sleeping when GEMS group increased fees only under transportation head this year under the pretext that costs have gone up? The rise by GEMS group has been 20% minimum on total fees payable to school (including tuition and transportation) through the rise on transportation fees only. Will GEMS group be allowed to raise their tuition fees next year again?

In all senses YES, reason schools which are renovating or relocating have the right to increase the fees at their whims and fancies and have no ceiling applicable. GEMS group shall be relocating some of its schools now.

It is observed that authorities are taking decisions here which are no where near to society welfare. BTW what society? UAE considers all expats as aliens even when one might have spent whole his/her life building this country. When inflation is making things absolutely bitter for residents of this country, such irrational decisions would only put the pressure on society to ill perform.


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