Many local companies are stopping overtime payment or restricting additional working hours in view of the impact of the global economic crisis, sources said. Even companies still unaffected by crisis are taking the precaution of cutting operational costs, the sources told Saudi Gazette. They said that some companies are considering giving workers the option of either accepting a pay cut or being fired. The measures may seem harsh but they are in line with what companies the world over are doing as profits fall from diminishing business. “Our company has not had the same profit this year as in the past,” said Ashraf Ali, an executive in a major manufacturing company in Jubail. He revealed that his company has stopped overtime payments “because we have fewer export orders than last year.” Most company owners say the cost cutting measures are temporary, until the situation becomes clearer. But many employees do not think so. “Our branch manager has told us that this is just for now, but I believe that once a perk is taken away, it is gone forever,” said Ravi Kumar, an Indian employee in a major construction company. “We used to get two months' salary as a yearly bonus. It was a real good pat on the back, but from this year onwards, it is not there,” he said. But there are others who say they are ready to sacrifice for their employers in these hard times. “I understand that my employer has not made a good profit this year and my fellow employees and I are ready to give up the extra allowances we used to get in better times, so as to save the establishment,” said Moinuddin Khan, an Indian who works in a trading establishment. “If we do not sacrifice, the company may have to close and we might end up losing our jobs. We are opting to stand by our employer and do whatever is needed to save our company,” he said. Among other cost saving measures being considered are sending employees on a long vacation – of course, without pay.
