The United Arab Emirates (UAE) announced that it would transition to a four-and-a-half day working week, with Friday afternoon, Saturday and Sunday forming the new weekend.
The new working week would commence January 1, 2022, across the federation of seven emirates (Abu Dhabi, Ajman, Dubai, Fujairah, Ras Al Khaimah, Sharjah and Umm Al Quwain) that make up the UAE.
Currently the working week is Sunday to Thursday.
According to the International Labour Organisation (ILO), most countries have statutory limits of weekly working hours of 48 hours or less, and the hours actually worked per week in most countries are less than the 48-hour standard established in ILO conventions. France has a legally mandated 35-hour work week, enshrined in law since 2000.
Nigel Green, the chief executive and founder of Dubai-headquartered deVere Group, an independent financial advisory, asset management and fintech organisations, said: “This is a major cultural, societal and economic shift that can be expected to provide a massive boost for the UAE economy.
“The UAE, and in particular Dubai and Abu Dhabi are already recognised as two of the most powerful business and financial hubs in the world by international investors who are lured by the incredible possibilities offered in terms of finance, trade and commerce, plus the famous ‘can do’ attitude and the low tax environment in these destinations.
“The transition to a four-and-a-half day working week, which now aligns with most major economies around the world will prove to be another significant ‘pull’ for international corporations that are currently based elsewhere.”
He said: “We can expect there to be a steady influx of new wealth and job creating businesses relocating to the UAE on the back of this announcement.
He added that it provided a further compelling impetus for an already established commerce hub that has an independent judicial system, a global financial exchange, a stable, pro-business government, a high proposition of high net worth individuals, a dynamic business community, world-class infrastructure and telecommunications, English as its de facto business language, and their enviable, central geographical location and time zone.
The news follows the roll-out of new legislation in which the UAE will allow 100 percent ownership of businesses for foreign nationals from December 1, 2020. Previously, all businesses were required to have a UAE citizen sponsor.
BUSINESS REPORT