Tuesday, 02 January 2024 12:17 GMT

UAE Firms On The Weight Of Deciding Who Keeps Jobs Amid Layoffs


(MENAFN- Khaleej Times) As businesses navigate uncertainty, founders are being forced to take some of the most difficult decisions of their careers
    By: Waad Barakat

    What does it take to keep going during uncertain times? Many business founders and CEOs are forced to make tough calls and re-examine leadership that is the need of the hour.

    Behind every redundancy decision is a calculation that goes far beyond numbers. As businesses navigate uncertainty, founders are being forced to take some of the most difficult decisions of their careers: deciding who stays and who goes.

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    'You're affecting people's lives'

    For Natasha Hatherall, founder and CEO of TishTash Group, these decisions are as personal as they are strategic.“There is no easy way to approach this,” Hatherall said.“You're not just making business and financial decisions, you're making decisions that affect people's lives.”

    While the process begins with ensuring the business survives, she explained that every decision is layered with human impact.

    It starts with responsibility to the business as a whole, because without stability, nobody has security. But the human side never leaves you. This is one of the hardest parts of being a business owner

    Natasha Hatherall, Founder And Ceo, Tishtash

    Her approach involves reassessing what the business needs now, not what is needed during periods of growth, looking closely at revenue, demand, and which roles are essential to move forward.

    The moment before the decision

    For many founders, the most difficult part is not the announcement, but the moments leading up to it.

    “It's a constant balance between logic and emotion,” Hatherall said.“On one side, you're thinking about sustainability and survival. On the other hand, you're thinking about individuals, many of whom have been with us for years.”

    She added that no employee feels interchangeable.“No one is a number to me, so all decisions weigh heavily.”

    There is also an element of self-reflection that follows.“You question whether anything could have been done differently. But delaying decisions often makes things harder and creates more risk.”

    Balancing business and people

    Corporate wellness expert Mohanad Al Tayer said founders today are increasingly operating under dual pressure, keeping businesses afloat while managing the emotional impact of layoffs.

    “Many leaders underestimate the psychological weight of these decisions,” Mohanad said.“It's not just a restructuring exercise, it's a moment that defines culture and trust within an organisation.”

    He added that clear communication and fairness in the process are critical, particularly when teams are already dealing with uncertainty.

    Shift from growth to survival

    UAE-based financial analyst Anwar Rufaei noted that the shift from growth to survival has caught many businesses off guard.“For years, companies were optimised for expansion. Now, they're being forced to prioritise sustainability,” Anwar explained.“That means making decisions that may not align with long-term vision, but are necessary for short-term survival.” The expert added that many businesses do not have the financial runway people assume.

    "The idea of having six months of cash flow is not the reality for most companies today"

    Anwar Rufaei, Uae-Based Financial Analyst

    Rebuilding, but not as before

    Looking ahead, Hatherall does not see rebuilding as a return to the past.

    “Once you've been through something like this, both you and the business change,” she said.“Rebuilding is about taking the strongest parts of what existed and shaping something more focused and resilient.”

    While there is a sense of loss, she added, there is also clarity.

    “It's not about certainty. It's about recognising when there's enough stability to take the next step forward.”

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Khaleej Times

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