Majid Al Futtaim (MAF) group, a Dubai-based shopping mall developer, has fired around 105 workers out of 46,000 total staff in a bid to make the company more profitable under the new CEO, Ahmed Galal Ismail.
According to the details, MAF’s assets are worth over $16 billion since it also owns the Mall of the Emirates in Dubai and an indoor ski resort.
MAF mentioned that it is always analyzing its work to adjust to changing market conditions and become more efficient. These efforts help the company earn more revenue for their shareholders while also increasing their opportunities to grow in a profitable and sustainable way.
It is important to note here that the MAF changed its leadership after former CEO, Alain Bejjani, was suddenly removed in January. Ahmed Galal Ismail was chosen as his replacement, but the company did not issue any statement regarding the abrupt change. Last year, MAF made more money than 2021, with a 12% increase in revenue, but their net profit went down by 2%.
Also, MAF holds the franchise rights of the French hypermarket, Carrefour, in the Middle East. Emirati businessman, Majid Al Futtaim founded the company in 1992. Dubai’s ruler, Sheikh Mohammed bin Rashid al-Maktoum announced Al Futtaim’s death at the end of 2021 and paid tribute to him as one of the pioneers of the emirate.
A CEO who removes staff to show profit to the company is not capable to run the organisation, he is using his powers to show profit to the company and not his capability,
Very true
Yes that is true. So heartless, he does not think about how much the person has invested his time into the organization and how many families are going to be affected. Karma usually takes place thereafter.
YOU WILL SEE MORE AND MORE COMPANIES TO DO THE SAME IN 2023 AS THERE’S GOING TO BE A 11.3-13.7% RECESSION IN THE UAE MARKET AND IN GULF AS A WHOLE. THIS IS ONE OF
THE PREMPT MEASURES THAT THE COMPANIES HAVE STARTED TO TAKE IN HERE AND IN THE COMING DAYS YOU’LL SEE MORE OF IT FROM OTHER BIG NAMES ALSO.
Its shows that Organization doesn’t have a culture..removing employees from the job is not a Solution..these are the people who worked for MALL day to day activities, served you all their careers. So you send them out to live in the rain? Is that you are definition on ethics?
I can really see that the new CEO ,is totally green about finances, laying off works is not a permanent solution,it Only kills the work ethics , very soon other workers too will be layed off ,and the long run the big MAF will be no more.
Actually most were IT people, pretty well paid, and frankly some were not adding as much value as they should have
This is not right way to show the profit its mean the new CEO if he wants to show profit than reduce the salary 40% of Managers to CEO, than all employees retained and profit will also increased.
I disagree with many people commenting on staff reduction, this is the best way to start when u find people who do nothing but take hefty salaries and keep killing lower grade under them.all non productive managers and above should be closely monitored and replaced with efficient and economical people who can give best productivity. Also in Mall there is no full fledged work 8 hours like construction people work !
This guy is not CEO material. Very soon the company will run into red, with this type of guy at the helm of affairs.
To show the profit, one must come up with new idea and techniques to increase revenue. As usual, removing the staffs he reduced the cost which Wil literally show profit. Point is, did d new CEO use any innovative technique to increase revenue apart from layoff.ans is No.
One request to new CEO learn the market, understand d customer need, be a competitor. This is not the right solution to show the profit.