Etihad Rail to reduce about 30 per cent of its workforce – report

United Arab Emirates rail operator Etihad Rail has made several job cuts as part of a wider restructuring initiative, the company revealed on Sunday.

The operator has reduced about 30 per cent of its workforce, Bloomberg reported. Etihad Rail has not confirmed that figure.

The company said in a statement: “We have introduced a restructuring initiative across the company to further streamline our operations as well as our internal procedures and processes.

“These changes involve a number of staffing adjustments, as we move towards a flatter management structure.”

Etihad Rail is currently developing the $40bn UAE rail network that will span 1,200 kms when complete. In December, it received the final approval from the UAE Federal Transport Authority to begin commercial operations on stage one of its network.

The first stage – stretching across 264kms – will connect Shah and Habshan to the port of Ruwais via two daily trains, each transporting 11,000 tonnes of sulphur.

Etihad Rail aims to transport up to seven million tonnes of sulphur every year, it said.

Officials have also confirmed that work has started on the second phase of the project, which will include connecting Abu Dhabi with Saudi Arabia via Ghweifat and Oman through Al Ain. It will also connect vital areas such as Mussaffah, Khalifa Port and Jebel Ali Port in Dubai.

While the overall rail network will include both freight and passenger services, UAE’s minister of Public Works Abdullah Al Nuaimi told Gulf Business last year that passenger rail services was not an immediate priority for the country.