Top Qatar State Companies Cut Wage Bills Over Pandemic
Top Qatar State Companies Cut Wage Bills Over Pandemic
(Bloomberg) -- Some of Qatar’s biggest state-owned companies have cut their wage bills as part of a wider government plan to reduce spending and bolster finances to mitigate the impact of the coronavirus outbreak.
Qatar Petroleum, the world’s biggest producer of liquefied natural gas, cut about 800 jobs, according to a person with knowledge of the matter. Qatar Airways is reducing basic salaries for non-Qatari pilots by as much as 25% and is poised to cut jobs in the coming weeks, according to an internal letter seen by Bloomberg.
Sports broadcaster BeIN Media Group cut more than 100 jobs after disruptions to events due to the pandemic, according to people familiar with the matter. Among those impacted are presenters, reporters and technicians.
Qatar, which is due to host the 2022 soccer World Cup, told government-funded entities to reduce monthly costs for non-Qatari employees by 30% from June 1, either by cutting salaries or laying off workers with a two-month notice, Bloomberg reported last week.
Declines in energy prices have dented Gulf states’ coffers just as local economies struggle under pandemic-driven lockdowns. Most are bridging the gap with a combination of spending cuts and debt issuance. Qatar raised $10 billion in April.
Qatar is joining its neighbors from Oman to Kuwait in introducing cuts targeting foreign workers or supporting programs that exclude them. Kuwait’s prime minister said the country’s expatriate population should be more than halved to 30% of the total.
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