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Middle East Edition
6th September 2024
 
THE HOT STORY
Saudi private sector adds 37k local employees in August
In August, Saudi Arabia's private sector welcomed 37,009 new local employees, reflecting a 6.94% increase from July's figures. The National Labor Observatory reported that the total workforce in the private sector reached 11,572,408, marking a 0.86% rise from the previous month. This growth is attributed to the government's strategic initiatives aimed at enhancing local talent and aligns with the Vision 2030 goals to diversify the economy. Notably, Saudi nationals now make up 2,369,828 of the workforce, including 972,682 women, showcasing efforts to promote gender inclusivity. The Private Sector Empowerment Program, known as Tawteen, has been instrumental in encouraging Saudization by providing incentives for companies to hire and train nationals. The government's focus on job creation is seen as crucial for economic transformation, and is supported by reforms from the Ministry of Human Resources and Social Development.
RETENTION
UAE will soon be among top ten countries for talent attraction and retention, minister says
Dr Thani bin Ahmed Al Zeyoudi, UAE Minister of State for Foreign Trade and Minister in Charge of Talent Attraction and Retention, has highlighted the UAE's commitment to enhancing its talent pool. Speaking at the International Government Communication Forum in Sharjah, he said: “The UAE is currently positioned 22nd globally in talent attraction and retention; our aim is to be among the top 10 countries in seven years.” The UAE has implemented various strategies, including the Golden Visa, to attract skilled individuals. Dr Al Zeyoudi emphasised the importance of education in this endeavour, noting that “bright minds often travel to study.” He highlighted successful models from countries including Australia, Denmark, and Finland, which have effectively used their education sectors to draw in talent. Moroccan inventor Rachid Yazami praised the UAE's stability as a significant factor for those considering relocation.
LEGAL
Paternity leave boost for Bahrain's fathers
Male employees in Bahrain's private sector may soon receive three days of paternity leave for each child, thanks to proposed amendments by five MPs, led by Jalal Kadhem. The changes aim to enhance the 2012 Private Sector Employment Law under Article 63, providing fathers with greater support during the early stages of parenthood. The initiative reflects a growing recognition of the importance of paternal involvement. Kadhem said: "We believe that fathers should have the opportunity to bond with their newborns."
REMOTE WORKING
A flexible and remote work system for Qatar government sector
The Civil Service and Government Development Bureau (CGB) in Qatar has announced the approval of a flexible work and remote work system for government agencies, set to commence on September 9, 2024. The initiative aims to help employees balance work and family commitments, particularly benefiting vulnerable groups such as working mothers and individuals with disabilities. Employees will have the flexibility to start work between 6:30 am and 8:30 am, provided they complete the required hours. Notably, Qatari mothers with children under 12 can work remotely for one month each year. The system aligns with the Qatar National Vision 2030 and the third national development strategy 2024-2030, marking a significant step towards enhancing work-life balance.
DIVERSITY, EQUITY & INCLUSION
Microsoft tackles AI bias with diversity
Microsoft's chief diversity officer, Lindsay-Rae McIntyre, talks with the BBC about the importance of diversity in addressing bias in artificial intelligence (AI). Following a PR crisis in early 2023, where its Bing chatbot exhibited troubling behaviour, Microsoft has pivoted to focus on inclusivity in AI development. McIntyre stated: "It's never been more important as we think about building inclusive AI and inclusive tech for the future." The company aims to ensure diverse representation among its teams to create fair AI systems. Despite challenges, including inherent biases in training data, Microsoft believes that embedding diversity and inclusion (D&I) from the outset can lead to more equitable AI technologies.
WORKFORCE
Pressure on Nike grows over workers' rights
Investor pressure on Nike is intensifying as Norway's sovereign wealth fund supports a resolution aimed at improving working conditions in garment factories. The resolution, backed by a coalition of investors including Domini Impact Equity Fund, highlights the industry's failure to address "persistent rights abuses such as wage theft." Nike, facing declining sales and criticism over its supply chain practices, has seen its ESG rating downgraded by MSCI. The resolution seeks to encourage Nike to establish binding agreements with workers in high-risk sourcing countries.
INTERNATIONAL
Young staff lead the UK's return to the office
Young Londoners are leading the charge in returning to the office, while older workers' preference for remote work is contributing to the UK lagging behind global rivals. In a study by the think tank Centre for Cities, London had a lower office attendance rate than Paris, New York, Singapore and Sydney. However, the UK capital was ahead of Toronto. Gen Z workers in London, aged 18 to 24, are present in the office an average of 3.1 days a week, compared to just 2.5 days for those aged 35 to 44. Attendance slightly increases to 2.7 days for workers aged 55 and over. Younger workers may prefer office settings because 43% of them report working best there, likely due to having less space and privacy at home. Andrew Carter, chief executive of Centre for Cities, said: “The standard narrative is young workers are shirkers, but actually [they] are back in the office and it’s the middle or more experienced workers that tend to be less in the office.” Despite 95% of workers acknowledging the benefits of office work, such as collaboration and relationship-building, attendance remains below pre-pandemic levels in all surveyed cities.
Japan wants its citizens to try a four-day workweek
Japan is grappling with a significant labour shortage and is promoting four-day workweeks to address the issue. The government has supported the initiative since 2021, but only about 8% of companies have adopted it. The Ministry of Health, Labour and Welfare has now launched a “work style reform” campaign, offering consulting and grants to encourage businesses to embrace flexible working arrangements. “By realizing a society in which workers can choose from a variety of working styles based on their circumstances, we aim to create a virtuous cycle of growth and distribution,” stated the ministry. However, uptake has been slow. For example, only 150 out of 63,000 eligible Panasonic employees have opted for the four-day schedule. Critics argue that those on reduced hours often work just as hard for less pay. Despite these challenges, some local companies, including Fast Retailing Co. and Mizuho Financial Group, are beginning to offer more flexible options, indicating a potential shift in Japan's work culture.
Boeing’s factory floor workers feel 'overmanaged and undersupported'
A dozen current or former Boeing employees who spoke with The Seattle Times, as well as interviews with 13 front-line workers conducted during the National Transportation Safety Board’s investigation of the near-catastrophic incident in January when a panel blew off a 737 MAX plane mid-flight, have portrayed consistent problems on the factory floor. Boeing lost institutional knowledge during the pandemic and hasn’t yet caught up, they say. The company pushes workers to move quickly to get planes out of the factory, and sometimes ignores the correct sequence of work and neglects to document deviations. And upper management doesn’t want to hear their safety concerns. Boeing employees are “overmanaged and undersupported,” Patric Boone, a machinist who works in Boeing’s Everett delivery centre on its KC-46 military tanker, says. “The house is on fire, and they’re concentrated on turning the lights off. They’re not seeing the problem.” Despite the challenges, some workers still believe in the safety of the planes they build, and emphasize the importance of how the company bounces back from its mistakes.
Korean banks' rigid organisational culture is blamed for repeated financial misconduct
Prosecutors have seized evidence from Woori Bank's headquarters in Seoul amid allegations of improper loans totalling 35bn won ($26m) linked to relatives of Son Tae-seung, the former chairman of Woori Financial Group. Korea's Financial Supervisory Service (FSS) says it is focusing on the need to improve the organisational culture within banks, after repeated financial crimes at various lenders, including embezzlement and breach of trust, were reported. An FSS official said:  “Discussions on developing organisational culture improvement measures are in the very early stages.” Despite existing internal control systems being comparable to those in advanced countries, the FSS is exploring international practices to enhance domestic banking culture. The urgency for change is underscored by the fact that 32 financial crimes were reported in the first half of this year, nearing last year's total of 36 incidents.
Hong Kong urged to better protect outdoor cleaners from heatstroke
Oxfam Hong Kong has revealed findings from a recent poll which indicates that more than 86% of local outdoor workers have experienced heat exhaustion due to a lack of familiarity with the city's heat warning system. The Labour Department's three-tier warning system, introduced in May 2023, aims to alert workers when temperatures exceed 30 degrees Celsius (86 Fahrenheit). However, many cleaners remain unaware of these warnings, as they seldom check their phones while working. Wong Shek-hung, Oxfam's director for the Hong Kong, Macau and Taiwan programme, said: “We hope to expand the project and have been in discussion with other charities and organisations.” The NGO has also distributed smartwatches to workers, which have reportedly increased awareness of rest periods and hydration needs. Despite these efforts, many workers still feel that the current heat stress warnings are inadequate, with over 60% calling for a review of safety guidelines.
 


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