Dubai: DXB Entertainments (DXBE), the owner of Dubai Parks and Resorts, confirmed on Monday it has altered the salaries and benefits of its Emirati employees, as part of a cost-saving programme.
DXBE said the cost-cutting measures are part of an efficiency programme it announced on August 7 that aims to achieve a break even in earnings before interest, taxes, and depreciation by the second half of 2020. The company has been piling on losses, reporting Dh448 million in losses in the first half of 2019.
In a statement to the Dubai bourse, DXBE said that in response to salary cuts, shareholder Meraas Group “has decided to bear the ongoing cost of reducing the salaries and benefits of UAE nationals, to ensure their ongoing welfare and to provide nationals with sustainable jobs.”
The comments from the company come after Arabic newspaper Al Khaleej reported that Meraas will be bearing the difference in costs and the effect of the salary cuts for Emiratis. Citing a source from Meraas, the newspaper reported that DXBE decided to cut benefits after a study was conducted into the company’s financials, and findings were presented six months ago.