• Hallgrimskirkja, Reykjavík, Iceland, where a four-day working week was trialled with great success.
    Hallgrimskirkja, Reykjavík, Iceland, where a four-day working week was trialled with great success.
  • A four-day working week is said to reduce the stress of work.
    A four-day working week is said to reduce the stress of work.
  • A more relaxed four-day working week was trialled with success in Iceland but would it work in the UAE?
    A more relaxed four-day working week was trialled with success in Iceland but would it work in the UAE?
  • A four-day working week model has been said to offer a better work to life balance, with more time for employees to relax.
    A four-day working week model has been said to offer a better work to life balance, with more time for employees to relax.
  • Dubai recruiter Ian Jenkins said a four-day working week could create challenges for firms in the UAE.
    Dubai recruiter Ian Jenkins said a four-day working week could create challenges for firms in the UAE.
  • David Mackenzie, from Mackenzie Jones, said the adoption of a four-day working week was not practical in the UAE.
    David Mackenzie, from Mackenzie Jones, said the adoption of a four-day working week was not practical in the UAE.

Would an Iceland-style four-day week ever work in the Gulf?


Patrick Ryan
  • English
  • Arabic

A trial in Iceland to introduce a four-day working week has resulted in a boost in productivity and a fall in stress levels.

The world’s second-happiest nation, according to surveys, conducted a series of experiments over a four-year period involving 2,500 people – around one per cent of the population.

Many of the people who took part in the public sector trial went from a 40-hour working week to a 35 or 36-hour week.

I can’t see it working as it doesn’t make sense for companies here
David Mackenzie,
Mackenzie Jones

The National spoke to some of the UAE’s leading employment experts to see if this most Scandinavian of models could be imported to the Gulf region.

Their answers made disappointing reading for those hoping to get an extra day off work to soak up the sun.

“I can’t see it working as it doesn’t make sense for companies here,” said David Mackenzie, group managing director at recruiters Mackenzie Jones.

“There has always been a culture of hard work and putting in reasonably long hours in the UAE.

“I can’t say that changing unless the public sector introduces it first, with the private sector following its lead.”

There has always been a culture of hard work and putting in reasonably long hours in the UAE, said David Mackenzie, of Mackenzie Jones.
There has always been a culture of hard work and putting in reasonably long hours in the UAE, said David Mackenzie, of Mackenzie Jones.

The Iceland trials, run by Reykjavik City Council, saw a host of workplaces taking part –including schools, hospitals, social service providers and offices.

The trials were so successful that many have adopted the four-day week as a permanent model.

Now the vast majority of Iceland’s workforce – 86 per cent – has been able to move to a 35 to 36-hour week without taking a pay cut.

Mr Mackenzie said that would not be the case with companies in the UAE.

“The first thing employers will do is say you are only working four days a week now so we are reducing your salary by a day,” he said.

“Employers will not pay people more for doing less.”

He said the economies in Iceland and the UAE were completely different and what worked for Iceland would not necessarily work in other markets.

“I can’t see the UAE being able to move to a four-day working week, because of the type of people who work here and the type of people who run companies here,” he said.

“The UAE has a 50-year-old economy while Iceland’s is more than 400 years old; you are not comparing like for like.”

He said the first hurdle to the adoption of a four-day working week in the UAE was an obvious one – people come to the region to work.

Downtown Reykjavík seen from the top of Hallgrímskirkja, a Lutheran church. The Iceland trials, ran by Reykjavík City Council, saw a host of workplaces taking part including schools, hospitals, social service providers and offices.
Downtown Reykjavík seen from the top of Hallgrímskirkja, a Lutheran church. The Iceland trials, ran by Reykjavík City Council, saw a host of workplaces taking part including schools, hospitals, social service providers and offices.

Around 50 per cent of the Gulf’s population are foreign workers. In the UAE and Qatar, that figure is even higher, at 85 per cent.

“If somebody said would you take a day’s less money but you get an extra day on the beach, would you take it?” he said.

“Some of the younger people might, but most people who are here to focus on their career and provide for their families would want to carry on working five days a week.

“The people who come here just for the lifestyle don’t tend to stay that long anyway.”

The pandemic was another factor that worked against the adoption of a four-day working week, according to Mr Mackenzie.

“It doesn’t seem logical when you consider we are coming out of such a difficult time with a huge amount of people out there who have been made redundant,” he said.

“People are more likely to be interested in working an extra day for more pay right now.”

The results of the study in Iceland were published as a study by UK-based think tank Autonomy and the research organisation Association for Sustainability and Democracy (Alda) in Iceland.

“The Icelandic shorter working journey tells us that not only is it possible to work less in modern times, but that progressive change is possible too,” said Gudmundur Haraldsson, a researcher at Alda.

Iceland is not the only country in the world to explore a four-day working week though.

Earlier this year, the Spanish government announced it would be testing out the concept of a 32-hour working week, while New Zealand Prime Minister Jacinda Ardern said employers should consider a four-day week to help employees obtain a healthy work/life balance.

The consumer goods firm Unilever announced in November last year it was introducing a four-day working week in New Zealand that would run until December of this year, with staff not having to take a salary reduction.

Another Dubai recruiter, Ian Jenkins, said the more successful firms would not simply be focusing on for how long somebody was working.

“The focus should be on output rather than attendance,” he said.

He also said it was unlikely the UAE could adopt a four-day working week without employees having to take a hit on their wages.

“The UAE is a service-led economy. Assuming there was no change in salaries, this would mean going to a four-day week would raise costs for service providers,” he said.

He also questioned whether the model was practical, with so many still working remotely due to the pandemic.

“The lines between work and home were blurring increasingly with employees expected to be always on regardless of working hours, this was driven by smartphones and digital working practices pre-pandemic,” he said.

“Remote working during the pandemic has increased this pressure,” said Mr Jenkins.

“A four-day week would only work when the employer has a respect for the employee’s right to disconnect outside office hours.”

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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If you go
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.

When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.

How to get there: Emirates currently flies from Dubai to Orlando five times a week.
Springsteen: Deliver Me from Nowhere

Director: Scott Cooper

Starring: Jeremy Allen White, Odessa Young, Jeremy Strong

Rating: 4/5

Lexus LX700h specs

Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor

Power: 464hp at 5,200rpm

Torque: 790Nm from 2,000-3,600rpm

Transmission: 10-speed auto

Fuel consumption: 11.7L/100km

On sale: Now

Price: From Dh590,000

Profile box

Company name: baraka
Started: July 2020
Founders: Feras Jalbout and Kunal Taneja
Based: Dubai and Bahrain
Sector: FinTech
Initial investment: $150,000
Current staff: 12
Stage: Pre-seed capital raising of $1 million
Investors: Class 5 Global, FJ Labs, IMO Ventures, The Community Fund, VentureSouq, Fox Ventures, Dr Abdulla Elyas (private investment)

The specs
  • Engine: 3.9-litre twin-turbo V8
  • Power: 640hp
  • Torque: 760nm
  • On sale: 2026
  • Price: Not announced yet
What is Folia?

Prince Khaled bin Alwaleed bin Talal's new plant-based menu will launch at Four Seasons hotels in Dubai this November. A desire to cater to people looking for clean, healthy meals beyond green salad is what inspired Prince Khaled and American celebrity chef Matthew Kenney to create Folia. The word means "from the leaves" in Latin, and the exclusive menu offers fine plant-based cuisine across Four Seasons properties in Los Angeles, Bahrain and, soon, Dubai.

Kenney specialises in vegan cuisine and is the founder of Plant Food Wine and 20 other restaurants worldwide. "I’ve always appreciated Matthew’s work," says the Saudi royal. "He has a singular culinary talent and his approach to plant-based dining is prescient and unrivalled. I was a fan of his long before we established our professional relationship."

Folia first launched at The Four Seasons Hotel Los Angeles at Beverly Hills in July 2018. It is available at the poolside Cabana Restaurant and for in-room dining across the property, as well as in its private event space. The food is vibrant and colourful, full of fresh dishes such as the hearts of palm ceviche with California fruit, vegetables and edible flowers; green hearb tacos filled with roasted squash and king oyster barbacoa; and a savoury coconut cream pie with macadamia crust.

In March 2019, the Folia menu reached Gulf shores, as it was introduced at the Four Seasons Hotel Bahrain Bay, where it is served at the Bay View Lounge. Next, on Tuesday, November 1 – also known as World Vegan Day – it will come to the UAE, to the Four Seasons Resort Dubai at Jumeirah Beach and the Four Seasons DIFC, both properties Prince Khaled has spent "considerable time at and love". 

There are also plans to take Folia to several more locations throughout the Middle East and Europe.

While health-conscious diners will be attracted to the concept, Prince Khaled is careful to stress Folia is "not meant for a specific subset of customers. It is meant for everyone who wants a culinary experience without the negative impact that eating out so often comes with."

UAE currency: the story behind the money in your pockets
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Match info:

Real Betis v Sevilla, 10.45pm (UAE)

MATCH INFO

Uefa Champions League semi-final, first leg

Barcelona v Liverpool, Wednesday, 11pm (UAE).

Second leg

Liverpool v Barcelona, Tuesday, May 7, 11pm

Games on BeIN Sports

The specs: 2019 Jeep Wrangler

Price, base: Dh132,000

Engine: 3.6-litre V6

Gearbox: Eight-speed automatic

Power: 285hp @ 6,400rpm

Torque: 347Nm @ 4,100rpm

Fuel economy, combined: 9.6L to 10.3L / 100km

UAE SQUAD

Mohammed Naveed (captain), Mohamed Usman (vice captain), Ashfaq Ahmed, Chirag Suri, Shaiman Anwar, Mohammed Boota, Ghulam Shabber, Imran Haider, Tahir Mughal, Amir Hayat, Zahoor Khan, Qadeer Ahmed, Fahad Nawaz, Abdul Shakoor, Sultan Ahmed, CP Rizwan

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COMPANY%20PROFILE
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COMPANY%20PROFILE
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Europe wide
Some of French groups are threatening Friday to continue their journey to Brussels, the capital of Belgium and the European Union, and to meet up with drivers from other countries on Monday.

Belgian authorities joined French police in banning the threatened blockade. A similar lorry cavalcade was planned for Friday in Vienna but cancelled after authorities prohibited it.

the pledge

I pledge to uphold the duty of tolerance

I pledge to take a first stand against hate and injustice

I pledge to respect and accept people whose abilities, beliefs and culture are different from my own

I pledge to wish for others what I wish for myself

I pledge to live in harmony with my community

I pledge to always be open to dialogue and forgiveness

I pledge to do my part to create peace for all

I pledge to exercise benevolence and choose kindness in all my dealings with my community

I pledge to always stand up for these values: Zayed's values for tolerance and human fraternity

Updated: July 09, 2021, 3:00 AM