Up to 50% salary cut at Dubai's Nakheel due to coronavirus situation

Dubai property developer Nakheel has slashed salaries by as much as 50 per cent as it tries to weather the coronavirus crisis, according to an internal email seen by Reuters, and its chief executive resigned in March, a spokeswoman said.
"Due to the ongoing circumstances, we have reached the stage where it is time to implement some necessary measures to help us weather this storm, safeguard our staff and security continuing of our business," Nakheel said in the email.
Top management and other senior executives were told that wages would be halved from April 1, while less senior employees have had their salaries cut by between 30 per cent and 40 per cent.
Staff earning Dh4,000 ($1,089) a month or less would not be affected, the email said.

"The revised salary structure - which took effect on 1 April and varies depending on grade - has been implemented to help us weather this storm, safeguard our staff and secure the continuity of our business," a spokeswoman told Reuters.
The spokeswoman also said chief executive Sanjay Manchanda had stepped down on March 1 to pursue new opportunities and that a replacement would be announced at a later date.

Nakheel in January announced the appointed of Mohammed Al Shaibani, chief executive of Dubai's state fund, as its new chairman.

Nakheel is a developer of the emirate's palm shaped islands. Due to government restrictions aimed at containing the spread of the coronavirus, Nakheel had to close nearly all outlets in its shopping centres for several weeks.

Dubai last month eased a 24/7 restrictions back to 10:0pm to 6:00am and allowed some businesses, such as shopping malls, to starting reopening at reduced capacity.

• Dubai