The differing positions held by the Cabinet and the Shoura Council over reduced work hours reflects the complex nature of the issue which has immense ramifications and possible side effects. Under the proposal, work hours in the private sector will be reduced to 40 hours with a weekly two-day off. The intention of the Shoura Council in making this change is to attract more youth to work for the private sector. This is a well-intended move, considering that the Shoura Council is the authority that voices the people's interest. It spares no efforts to satisfy the aspirations of the people. As for the Cabinet, it prioritizes financial flows and GDP growth, just as is done by executive councils in other parts of the world. If microeconomic indicators show a weak or negative trend, the Cabinet will be blamed and criticized. As a result, the Shoura Council or the Parliament will be the first to summon the concerned minister for questioning. Reducing the work hours will undoubtedly encourage Saudi youth to work in the private sector. This may reduce the unemployment rate, which continues to remain high. But this is only one aspect. One has also to ensure that the move would have a positive impact on local businesses. And so, the Shoura proposal could backfire if businesses are hit and investments slow down, which in the end will have an adverse effect on employment. GDP growth or otherwise has a direct bearing on employment. In the light of the drop in oil prices, we all know the public sector will not be able to play a central role around which all other economic sectors revolve. This is where the private sector can give a push to the economy. Thus, while I fully understand the Shoura's approach in this regard, the Cabinet's stand is also clear. No Cabinet anywhere in the world will make a decision that could have a considerable impact on revenues and GPD growth. =
