22/09/2020
Indians Worry Over UAE Job Losses
“UAE will say, everything should happen with the permission of the employee. But on the
ground, it is not going to happen. The low and semi-skilled migrant workers are always at
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not very con
dent about this restructuring,” the social worker
who requested anonymity said.
On Sunday, business solutions provider Transguard Group announced that it will be
reducing management staff salaries for the month of April for the express purpose of
covering the cost of housing and feeding its over 12,000 site-based employees who are
temporarily idle due to the changing market conditions forced by Coronavirus.
In an email sent to staff on Sunday evening, Managing Director Greg Ward explained
that the reductions will be the equivalent to the cost of providing three meals per day
for a month for over 12,000 employees in the company’s multiple accommodations, a
total of more than 900,000 meals.
“We are a people business, and if our employees can no longer work because their
contracts have been paused or cancelled, it is our responsibility to continue to ensure
their health and well-being,” Ward explained in his email.
On Monday, the UAE announced 41 new cases of Coronavirus, raising the total number
of con rmed cases in the country to 611. With two more deaths announced, the total
death toll is now ve in UAE.
Gulf Economy Hit
According to a fresh report from S&P Ratings, coronavirus will weigh on the economies
of the Gulf Cooperation Council (GCC) region as weakening global demand drags down
oil prices and hampers important industries such as tourism and real estate.
“As global nancing conditions deteriorate, funding costs for more-leveraged borrowers
are rising and investor appetite for less-creditworthy issuers could fade and the high
level of uncertainty regarding the duration and eventual severity of the crisis will
increase downside risks,” the S&P Ratings says.
The rating agency says that the GCC's hospitality industry, which includes sectors like
airlines, hotels, and retail, will see lower revenue because of decreased tourism and
business ows, as travel aversion and restrictions bite during the peak tourism season.
“These factors will also reduce transit and outbound travel by visitors and residents
respectively,” the report reveals.
https://www.thelede.in/inclusion/2020/04/01/indians-worry-over-uae-job-losses
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