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Middle East Edition
4th December 2025
 
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THE HOT STORY

Nearly half of UAE and Saudi firms plan to hire more staff in 2026

Nearly half (48%) of companies in the UAE and Saudi Arabia plan to hire more staff in 2026, according to a survey by Cooper Fitch. However, 29% of employers expect workforce reductions in 2026, indicating a mixed outlook. Dr Trefor Murphy, founder and chief executive of Cooper Fitch, told Khaleej Times that the UAE job market looks very promising. “We'll see next year and over the next five to six years, particularly in Dubai, very large infrastructure-type projects. We need more roads. We need metro. We need a new airport as the current airport reaches its full capacity,” Murphy said.
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TRAINING & DEVELOPMENT

Saudi HR fund backs over 150,000 industrial jobs

Since 2020, Saudi Arabia's Human Resources Development Fund (HRDF) has facilitated the employment of 151,000 citizens in the industrial and mining sectors, investing over SR1bn in training-to-employment initiatives. HRDF signed 24 training agreements over the period, targeting over 9,400 Saudis, as part of the National Industrial Strategy under Vision 2030. The strategy aims to create 2.1m jobs and increase manufacturing GDP to SR895bn by 2030. HRDF noted an 80% employment retention rate among beneficiaries and highlighted the importance of developing local talent for sustainable economic growth.
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ECONOMY

Saudi Arabia's food services market expected to reach $45bn within five years

Saudi Arabia's food services market is projected to grow from $30.1bn to $44.7bn by 2030 at a CAGR of 8.2%, driven by cloud kitchens, franchise expansion and Vision 2030 goals to boost non-oil exports. Khalid Al-Ghamdi, chairman of the National Franchise Committee at the Federation of Saudi Chambers, noted that growth is concentrated in major cities, while mega-projects such as NEOM and the Red Sea Project are providing additional momentum as these developments create modern communities requiring integrated food services. Full-service restaurants retain over 50% market share, while cafes are the fastest-growing segment. The Kingdom now accounts for half of the MEA franchise market, with registrations up 866% over three years.
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TECHNOLOGY

Allowing AI to train itself is 'the biggest decision'

Anthropic chief scientist Jared Kaplan has warned that humanity will face a critical decision by 2030 over whether to allow AI systems to autonomously train themselves. Kaplan is urging governments and society to engage in what he called "the biggest decision," as frontier AI firms race toward artificial general intelligence. While AI could dramatically boost productivity, healthcare, and scientific research, Kaplan stresses the existential risks if machines begin to self-improve beyond human oversight. He also predicts that AI will soon be capable of performing most white-collar work, fundamentally reshaping education and employment.
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LEGAL

Qatar Chamber champions legal reform

The Qatar Chamber participated in the 10th Qatar Business Law Forum in Doha, led by first vice-chairman Mohamed bin Towar al-Kuwari. The event highlighted the importance of a robust legal environment for economic competitiveness. Al-Kuwari observed: "An advanced legal environment is the cornerstone of any competitive economy." The forum addressed key issues such as foreign investment laws, corporate governance, and digital transformation. The Qatar International Centre for Conciliation and Arbitration also showcased its services at the event, which aimed to foster professional communication and expertise exchange among legal practitioners.
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INTERNATIONAL

Starbucks settles NYC labour law violation claims

Starbucks has agreed to pay approximately $35m to over 15,000 New York City workers as part of a settlement addressing claims of unstable schedules and arbitrary hour reductions. The company will also incur $3.4m in civil penalties under the agreement with the city's Department of Consumer and Worker Protection. The settlement ensures compliance with the city's Fair Workweek law, and underscores the importance of stable working conditions. Starbucks said in a statement that the law was “notoriously challenging for businesses to navigate.” The company said that the violations were “about compliance” and “not about withholding wages or failing to pay partners.”

German firms divided on how to deal with far-right AfD

Several German companies are withdrawing from the business association Die Familienunternehmer after its decision to engage with the far-right Alternative for Germany (AfD) party. The association's president, Marie-Christine Ostermann, said that dialogue is essential to challenge the AfD's policies. However, backlash from members has been significant, with companies including Rossmann and Vorwerk announcing their exits from the association. Verdi union leader Frank Werneke has warned of historical parallels, and urged businesses to distance themselves from right-wing extremism.

Law firm settles long-running lawsuit with sacked HR executive

Alicia Gleeson, the former chief people officer at Slater & Gordon, has reached a settlement with the private equity-owned law firm after alleging that it underpaid employees and wrongfully terminated her. The lawsuit was filed in Australia's Federal Court last year, and the settlement was finalised last week, with both parties agreeing to cover their own legal costs. 

Overseas postings remain rare among Singaporeans

According to Singapore's Ministry of Manpower (MOM), only 3.1% of Singapore's resident workforce has worked overseas full-time for at least six months. The top destinations for these postings are China, the United States, and Malaysia, accounting for 18.3%, 13.6%, and 10.1% of postings respectively. Overseas experience is more common among mid-career workers in their 40s and 50s, with managerial employees showing a higher likelihood of having worked abroad. MOM observed: "For workers aspiring to take on higher-paying roles, actively planning and seeking overseas work opportunities is crucial."
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OTHER

River Island exits Middle East

British clothing retailer River Island has announced the closure of its Middle East stores. The announcement comes in the wake of similar closures announced by Debenhams and West Elm. River Island has written to customers to announce a closing sale across its stores in the UAE, Kuwait and Qatar.
 
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