This paper presents an analysis of recent changes in the scale and characteristics of non-national migration to, and employment in, the 6 Gulf Cooperation Council (GCC) member states. In 1985, the size of the workforce in the Gulf States was 7.1 million. Non-nationals comprised 68% (in Saudi Arabia) to almost 91% (in United Arab Emirates) of the workforce. 63% of the non-nationals were from Asia. Non-national Arab workers represented 30% of the total. In 1985, 36% of all migrant workers came from India and Pakistan. Almost 30% of the non-nationals were employed in services (financial, personal, and community), and almost 29% were in construction. Non-nationals dominate 3 sectors: construction, manufacturing, and utilities. Non-nationals account for a relatively low 55% of the oil sector. The phenomenal rate of growth in non-national workforces during the mid 1970s began to slow in the 1980s. Labor permit issues peaked in the late 1970s and again in 1983-84. The timing and scale of the decline varies by sending country and by destination, reflecting variations in the rate and extent of the economic slowdown in different GCC states, as well as relative wage rates, occupational composition, and organization of the various labor flows. For example, Indian case worker placements fell by 49% between 1983 and 1986, while the number of Filipinos placed fell by 15%. During the 1980s, most Gulf states have increased efforts to enforce labor and residence regulations, but the number of illegal workers has continued to grow. During the 1st half of the 1980s, demand for non-national labor increasingly turned towards new supplies in South and Southeast Asia, notably Bangladesh, Sri Lanka, Indonesia, Thailand, and the Philippines. Meanwhile, an increasing share of Arab and South Asian workers were renewing their work permits, often on less favorable terms. The construction sector has had the greatest decline in new labor inflows; however, the service sector is still growing. Wage rates have fallen an average of 20-30%, and up to 45% since 1983. Since 1985, about 615,000 non-national workers have left. Southeast Asian labor has been most acutely affected by the sharp downturn in economic activity. By 1990, the non-national workforce should decline to 4.36 million, but then it will increase slowly. The number and share of Southeast Asians will rise.