Business | General
Moving premises can curb job cuts
While most people are preparing to celebrate the holiday season, for some this traditionally happy time will be a grim one.
- By Suzanne Fenton, Staff Reporter
- Published: 23:25 December 2, 2008
Dubai: While most people are preparing to celebrate the holiday season, for some this traditionally happy time will be a grim one.
On Tuesday, bank holding company Goldman Sachs Group announced it would trim its Dubai-based workforce as part of a 10 per cent reduction in staff worldwide. The group did not say how many jobs would be lost in Dubai specifically.
Property and construction companies are also reducing their headcount to keep costs in check as they review or postpone some of their mega-projects.
Jesdev Saggar, partner at Magnate, said that developers can save money in many other ways, from simple things like doing away with complimentary chocolates to moving out of their prime locations.
"A lot of developers don't want to change [their location] and so they slash and burn jobs. They should rather move to more cost-effective locations," Saggar said.
Engineering consultants WSP Middle East told Gulf News they had laid off 35 workers, or less than 3 per cent of their Middle East workforce.
"WSP is currently reassessing its recruitment policy and skills pool in order to realign with current market conditions. We have recently experienced rapid expansion in anticipation of awarded projects which have now been re-evaluated or put on hold," WSP said.
For those who have been retrenched - but who still have school fees, car and house loans to pay - the holidays will be spent in desperate search of a job.
One such person, known among colleagues as "The Don," lost his job at a property developer last month.
The Don has four children whose school fees must be paid, and while the school has been understanding so far, come the new year they will need their money. The cancellation of his visa has been postponed until December 20, giving him less than three weeks to find a new job.
"I'll never return to the UK, not just because of the market but because of the way society is [there]. My intention is to stay in the GCC," he said.
For those who find themselves struggling to meet home loan payments, Cliff Kelaita, chief executive officer and chairman of Landmark Properties, said negotiation among the parties involved could help.
"If you have purchased a property and cannot make the next payment, we recommend that you contact the developer to negotiate either an extension or a release," Kelaita said.
Magnate, a UK professional services firm with offices in Dubai, hopes to offer developers an alternative to redundancies.
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