Developer behind Burj Dubai admits it may cut staff as UAE turmoil worsens
The largest property developer in the Gulf has admitted it may be forced to cut jobs as the Dubai property bubble continues to deflate.
The news comes as Omniyat Properties, which claims to have £1.8bn of developments in the Gulf, is reported to have made as many as 60 redundancies.
Emaar Properties made a statement this morning to say it is reviewing its recruitment policies in light of the credit crisis that now appears to be afflicting the UAE's banks.
Emaar, which is 32% owned by the Dubai government, is the largest developer in the Gulf. Its developments include Emirates Hills, Downtown Burj Dubai and the Dubai Marina.
In a statement to Reuters, Emaar said: “It is now crucial that we use efficiency and maximise productivity, which includes revisiting our recruitment policies and optimising human resources.”
The company has been forced to take several measures in response to falling house prices and talk of a real estate crash, including abandoning plans to list on the London stock exchange and extending its payback periods for new properties.
Omniyat has reportedly made 60 redundancies and is examining the timing of its construction project launches. Its UK consultants include Foster + Partners and Zaha Hadid.