A prominent Dubai bank is warning that non-oil companies across the United Arab Emirates have cut staff at their sharpest rate in nearly a decade amid an economic slowdown.
Emirates NBD, which is majority-owned by Dubai’s government, issued the report on Tuesday.
It relied on data from some 400 private sector companies outside of the UAE’s oil economy, which includes the nation’s manufacturing, services, construction and retail sectors.
The report says that “companies lowered their staffing levels at the sharpest pace since the survey began in August 2009 and business confidence dropped.”
It says the companies wanted to operate with “minimum requirements in terms of staff, partly to help manage costs.”
The report added that “anecdotal evidence suggested that the slowdown reflected challenging market conditions and competitive pressures.”