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Middle East Edition
19th June 2026
 
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THE HOT STORY

AI 'is splitting the job market in two'

AI is splitting the global labour market in two, according to a PwC study of data including over 1bn job postings across 27 countries and territories. The technology is rewarding companies that use AI to enhance human skills, but those who use it merely to cut costs are being left behind, the study suggests. “The companies seeing the greatest returns on AI are using it to amplify human expertise, accelerate innovation and create entirely new sources of value,” observed Joe Atkinson, PwC’s global chief AI officer. “They’re pulling further ahead on productivity and growth than companies that focus primarily on automation.” Entry-level AI-exposed roles that require what have traditionally been senior human competencies, such as judgment, empathy, ethics, creativity and leadership, have grown 35% since 2019, while so-called “non-seniorised” entry-level positions, which don’t require such skills, have shrunk by 10%, PwC said.  
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WORKFORCE

Sharjah approves new employment plan

Sharjah has approved a plan to create 3,000 job opportunities for its citizens by 2026. The initiative includes hiring 650 new employees by June 18, 2026, and filling 200 current vacancies. An additional 650 positions will be available by July 31, 2026, with 1,500 jobs created from August to December. The plan also promotes 1,864 employees at a cost of AED 45.5m and addresses the status of 125 employees with higher qualifications, costing up to AED 5m. The Sharjah Programme for Qualifying and Training Job Seekers will target 410 citizens from July to December 2026, with rewards totalling AED 14.76m.
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STRATEGY

BTL plant in Nahariya will close

Blades Technology Company in Nahariya is set to close, affecting around 450 employees. Following negotiations, two departments will remain operational. Many workers have said they feel neglected. Rokon Said, chair of the workers' union, expressed frustration over the lack of support from officials. Pratt & Whitney, which controls the company, situated in the Western Galilee, announced the closure due to financial losses and reduced demand for jet engine components.
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HIRING

Job interviews are becoming AI tests

AI tests are increasingly becoming part of interviews for candidates applying for non-technical roles. “[Hiring managers] want to see it being used,” says Ken Schumacher of recruitment verification service Ropes.
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TECHNOLOGY

Amazon backs AI start-up developing models to simulate physical world

Amazon has invested in Odyssey ML as part of a $310m funding round valuing the artificial intelligence (AI) start-up at $1.45bn, signalling growing interest in so-called “world models” that aim to simulate and understand the physical world beyond language-based AI. The funding round included backing from the investment arms of Nvidia and AMD, and CIA-affiliated fund IQT. Odyssey, which was founded by former self-driving technology executives Oliver Cameron and Jeff Hawke, develops AI models trained on physics and object interactions to create realistic three-dimensional environments. As part of the agreement, Odyssey will use Amazon Web Services as its preferred cloud provider and deploy Amazon’s Trainium AI chips, providing a boost to Amazon’s efforts to compete with Nvidia and Google in AI infrastructure.
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INTERNATIONAL

Starbucks Korea to close stores early for mandatory history training session

Starbucks Korea will close all of its stores nationwide at 3 p.m. on June 22nd to allow employees to participate in mandatory history and social sensitivity training after a marketing campaign sparked accusations that it mocked victims of South Korea’s 1980 Gwangju pro-democracy uprising. The controversy centered on a promotion for “SS Tank” tumblers that branded May 18 as “Tank Day,” a date that coincides with the anniversary of the military crackdown in Gwangju, in which troops, tanks, and helicopters were deployed against protesters. The campaign also used a slogan that critics linked to the cover-up of the 1987 torture death of student activist Park Jong-chol. Starbucks Korea’s parent company, Shinsegae Group, canceled the promotion within hours, dismissed the chain’s chief executive, issued a public apology, and announced company-wide training aimed at preventing similar incidents in the future.

Unions urge workers to stay away from anti-migrant protests

South Africa's major labour unions have advised workers to avoid participating in anti-immigrant protests scheduled for June 30. "We urge ​workers to report for duty and not place their employment at risk," the unions said. They ⁠echoed President Cyril Ramaphosa's call ⁠on Tuesday ​not to scapegoat migrants for South Africa's problems. "Removing foreign nationals from workplaces, communities or public ​spaces will not reopen ⁠factories, repair municipalities, strengthen public healthcare or create sustainable jobs, " said the unions COSATU, FEDUSA, SAFTU and NACTU.

New data shows DEI efforts are evolving, not disappearing

Most US employers remain committed to diversity, equity, and inclusion despite political, regulatory, and legal pressure, according to a 2026 Catalyst and NYU Meltzer Center survey of 2,267 employees and business leaders. The survey found that 80% of respondents said their organisations still support workplace inclusion, even though 55% of companies have publicly signaled some retreat from DEI. Among non-federal contractors, 52% reported increasing inclusion efforts over the past three years, while 20% decreased them. Federal contractors faced greater pressure, with 51% scaling back inclusion initiatives, although 32% still expanded them. The report also found that employees and leaders continue to see business benefits from DEI, including stronger reputation, sales, recruitment, retention, innovation, and efficiency. Legal experts say well-designed DEI programmes, such as inclusive recruiting, voluntary demographic data collection, mentoring, training, and employee resource groups, remain lawful.

Companies in Luxembourg face fines over right to disconnect rules

Starting next month, companies in Luxembourg must comply with the right to disconnect law or face fines of between €251 and €25,000. The law, adopted in 2023, requires firms to establish frameworks allowing employees to disconnect from work outside of hours. The Labour and Mines Inspectorate (ITM), Luxembourg's workplace health and safety authority, will enforce compliance, focusing on company policies rather than individual cases, and will initially seek compliance before imposing fines. “The offence being penalised [ . . . ] does not consist of an isolated failure by an employee or a line manager to respect the right to disconnect, but rather the failure to implement the specific policy required,” a spokesperson for the ITM explained.
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OTHER

States - not armed groups - are top killers of children in war, UN says

A UN report reveals that, for the first time in 30 years, government forces rather than armed groups are responsible for the majority of grave violations against children in conflict zones. Israel topped the list countries responsible for violations, followed by the Democratic Republic of the Congo, Nigeria, Myanmar, Somalia, and Sudan. Vanessa Frazier, the UN's special representative for children and armed conflict, said the report's findings were indicative of “a worrying shift” and “a deeper erosion of respect for international law.” The report found 38,558 verified grave violations against 24,174 children during 2025, the highest number since the UN's mandate on children and armed conflict was created in December 1996.
 
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