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Recent Editions
Human Times
North America
Meta CEO Mark Zuckerberg has said the Facebook parent firm's planned layoffs are the consequence of increased capital spending for AI, and in comments to staff at a company town hall on Thursday he declined to rule out further job cuts. “We basically have two major cost centers in the company: compute infrastructure and people-oriented things," Zuckerberg said. "If we’re investing more in one area to serve our community, then that means we have less capital to allocate to the other. So that means we do need to take down the size of the company somewhat." He added: "Getting everyone internally to use AI tools and getting to do the work more efficiently is not the thing that's driving layoffs."
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Human Times
UK
Research from BTG reveals a 36.9% increase in UK businesses facing "critical financial distress," with the total hitting 62,193 in Q1. The latest quarterly red flag report also notes a 9.6% rise in "significant" financial distress, affecting 634,867 businesses. Hotels and leisure firms are particularly impacted by rising labour costs and tax burdens, including a hike in National Insurance contributions. Ric Traynor, executive chair of BTG, said: "After initial signs that the UK's GDP was improving at the very start of the year, it now feels like after taking a step forward, the UK has taken a few steps backwards following one of the most severe energy shocks in living memory." Julie Palmer, managing partner at BTG, observed: "Inevitably we expect to see an increasing number of ‘zombie' businesses tipped over the edge this year."
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Human Times
Europe
Seven major UK business groups, including the British Chambers of Commerce, the Confederation of British Industry and Make UK, have written to Employment Rights Minister Kate Dearden to express concerns about "significant disruption" stemming from increased trade union access rights. They advocate for "tripartite conversations" over the Employment Rights Act so as to balance union interests with business concerns. The groups argue that the lack of structured dialogue has led to outcomes that do not address fundamental business worries. Under the reforms, unions will be entitled to meet staff and communicate directly with workers at least once a week in companies with more than 21 staff. In response to the letter, Dearden said: "We are committed to working in partnership with business and unions on implementation of the Employment Rights Act, to ensure the system is fair and effective and protects the workers who need it most."
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Human Times
Middle East
The UAE has launched a project to enhance labour market productivity through artificial intelligence (AI) and robotics. The initiative, developed by the Federal Authority for Identity, Citizenship, Customs and Ports Security and the Ministry of Human Resources and Emiratisation, aims to automate routine tasks and improve efficiency. Set to begin this month, the project will assess work permit applicants based on skills and qualifications.
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