The Psychology of Wasta and Its Impact on Nationalization and Expatriation

Abstract

The Gulf States provides fascinating dichotomies in terms of its sociocultural landscape with its extremely diverse local and expatriate populations forming a rich social fabric of varied ethnic, cultural, national, and international influences. One of the most interesting settings where this plays out is within the region’s labor markets. Over the past few decades, the speed and scale of expansion in economic activity and the accelerated development of the organized employment sector (both public and private) have been remarkable. Although most employers would claim that their organizational cultures and current workplace practices are extremely modern and contemporary, often drawing comparisons to London, Singapore, or New York, the truth remains that this perception of modernity is equally balanced with the realities of extremely traditional practices, “below the surface” cultural norms, and unstated rules and expectations. There is a constant and visible dichotomy between a quest for modernity and a reliance on tradition, on how “things are always done around here.” This could relate to aspects such as decision-making, leadership, employee engagement, and performance management. Primary among these traditional mechanisms for getting things done is wasta (Fig. 8.1).