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Middle East Edition
3rd June 2025
 
THE HOT STORY
Leaders must rethink appreciation in the Arab workplace
Gratitude in leadership is often undervalued, yet it plays a crucial role in enhancing employee engagement and productivity, writes Amal Kooheji. A 2023 Gallup report found that 79% of employees who left their jobs cited a lack of appreciation as a significant factor. In contrast, organisations that cultivate a culture of recognition see a 23% increase in employee engagement and a 20% rise in productivity. Kooheji emphasises that “employees who feel valued are more likely to go the extra mile.” However, traditional leadership structures in the Arab workplace often discourage expressions of gratitude due to fears of favouritism. To combat disengagement, leaders should integrate gratitude into daily interactions, making it a natural part of the workplace culture. By recognising specific contributions, leaders can foster a sense of belonging and motivation among employees, ultimately driving performance and engagement.
HEALTH & SAFETY
Gulf heat endangers migrant workers
Human Rights Watch (HRW) has raised the alarm about the dangers faced by migrant workers in the Gulf due to extreme heat, and is urging governments to enhance protections. Michael Page, HRW's deputy Middle East director, said: "Because Gulf states are dragging their feet on evidence-based labour protections, migrant workers are unnecessarily dying." While there are existing midday break policies to protect workers, HRW argues that these measures are insufficient as extreme heat conditions are becoming more frequent. A report from the International Labour Organization highlights that 83.6% of outdoor workers in Arab states are exposed to excessive heat.
CORPORATE
Ben & Jerry’s calls Israel’s actions in Gaza ‘genocide’
The independent board of Ben & Jerry's has issued a statement calling the conflict in Gaza a genocide. "Ben & Jerry's believes in human rights and advocates for peace, and we join with those around the world who denounce the genocide in Gaza", the board said. "We stand with all who raise their voices against genocide in Gaza - from petition-signers to street marchers to those risking arrest". A Unilever spokesperson said the comments reflect the views of the independent social mission board of Ben & Jerry's, and they do not speak for anyone other than themselves. "We call for peace in the region and for relief for all those whose lives have been impacted", the spokesperson added.
HIRING
Bahrain's hospitality sector needs locals
Hotels and hospitality businesses in Bahrain are being encouraged to employ more locals to enhance tourist experiences. Jihad Amin, head of the Bahrain Chamber's hospitality and tourism committee, said that "having a local as the first point of contact . . . could transform a tourist's experiences." Increasing training opportunities for Bahrainis in the tourism sector will not only create jobs but also provide visitors with a more authentic experience, it is said.
ECONOMY
Madinah's economy hits new heights
Madinah region in Saudi Arabia has experienced significant growth in the first quarter of 2025, with a 24% workforce participation in construction and 20% in trade, according to a report by the Madinah Chamber of Commerce. The construction sector remains dominant due to a surge in infrastructure projects, while the wholesale and retail trade sector showcases strong commercial activity. The manufacturing sector, accounting for 12% of the workforce, indicates a growing industrial base, contributing to economic diversification. Tourism, with an 11.2% workforce share, continues to thrive, benefiting especially from religious tourism.
STRATEGY
UN to cut 20% of workforce
The United Nations has mandated over 60 of its offices and agencies to propose a 20% workforce reduction by mid-June, impacting around 14,000 positions funded by the regular budget, which translates to approximately 2,800 jobs. UN spokesperson Stephane Dujarric said that the cuts will affect staff across various sectors, including humanitarian efforts and refugee support. Additionally, Chandramouli Ramanathan, the UN Controller, said that the reductions are part of UN Secretary-General Antonio Guterres's plan to decrease the organisation's $3.72bn budget by 15%-20%. The UN has been grappling with chronic funding shortfalls, which have hindered its ability to finance essential humanitarian and development programmes.
TECHNOLOGY
Grammarly raises $1bn to build AI productivity platform
Writing assistant tool Grammarly has secured $1bn from venture firm General Catalyst to expand its artificial intelligence offerings as it aims to grow into a comprehensive productivity platform. "As Grammarly is going through a huge transformation of going from being a what is mostly known as a single-purpose agent to being an agent platform, it just felt very important for us to be able to bet big in our product development . . . as well as in our growth strategies," Grammarly chief executive Shishir Mehrotra said, adding that the company has an eventual goal to go public, although no imminent plans.
INTERNATIONAL
Sri Lanka workers blindsided after UK garment factory shuts
More than 1,400 of roughly 2,800 workers are in limbo following the sudden closure of Next Manufacturing, a subsidiary of the British retail giant Next which is located in Sri Lanka’s Katunayake Free Trade Zone. The company has blamed “increasingly high operating costs.” Nandani, a machine operator who had worked for 19 years at the Next factory, said: “I am 49 years old. My livelihood suddenly ended. I don’t know what to do.” Labour rights advocates say Next Manufacturing’s closure has violated Sri Lankan law and risks undermining the country’s fragile economic recovery.
Chinese bank offers to help rich clients’ children gain top internships
Chinese regional lender Industrial Bank sparked outrage after a now-deleted post on the WeChat social media platform said that it could arrange for customers’ offspring to gain work experience at top firms including Google and JP Morgan - if they made US$1.4m deposits. The lender for Fujian province has since announced that it had paused the offer and apologised for any “misunderstandings caused by incomplete descriptions.” In a statement, Industrial Bank said it had not directly arranged internships for clients’ children, but had merely intended to refer them to external recruitment consultants.
CTA paid some employees to stay home and not work, watchdog says
The Chicago Transit Authority (CTA) has come under fire for paying a small group of employees in its "vault operations" unit - which is responsible for processing money taken from CTA fareboxes - to work remotely for nearly five years, despite their inability to perform duties from home. According to a report from the Office of Executive Inspector General (OEIG), these 10 employees received just under $1.13m for days spent not working since the pandemic began. The report observes: “No justifiable reason for this continued payment was provided.” The OEIG recommended a review of remote work policies to prevent similar issues in the future. CTA spokesperson Catherine Hosinski said that the agency took immediate action upon learning of the situation and has implemented all recommendations. The report's release comes amid warnings of potential service cuts due to a looming fiscal shortfall.
Ford workers strike for job security
Ford is facing a crisis as over 10,000 workers at its Cologne plant in Germany went on strike for the first time in its 100-year history. The strike was prompted by plans to cut 2,900 jobs. Industry experts, including Ferdinand Dudenhöffer from the Bochum Center for Automotive Research, warn that Ford's position in Europe is precarious as the company struggles to adapt to the shift towards electric vehicles. David Lüdtke from the IG Metall labour union says he remains committed to fighting for job security and fair compensation for employees.
 


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