Property group responsible for Palm Jumeirah set to cut up to 500 jobs
The Dubai property group responsible for the Palm Jumeirah is set to cut up to 500 jobs. Nakheel is a state-owner property group and announcements are expected about the job cuts in the next few days. Now that the Cityscape Dubai 2009 show is over, the layoffs are expected.
The precursor for the layoffs seems to be the global financial crisis. With Dubai property values falling over 50 percent in the last year, Nakheel stated that they are evaluating its current projects, as well as its commitments. The company is also evaluating its costs.
Standard & Poor’s, a ratings agency, said another $10 billion is needed by Dubai. This funding is needed to help the area’s economic support fund, as well as to help government related companies
The job losses are expected to hit hard, especially since short term housing numbers are already on the rise. Many people are turning to these short term properties because of recent job loss or because their current jobs are uncertain.
