WSP鈥檚 chief executive has said the company will transfer hundreds of British staff to the Middle East if the economic downturn continues
Chris Cole said the consultant engineer could move up to 250 UK staff to the region within a year, joining its 800-strong workforce.
Speaking after announcing WSP鈥檚 results for the six months to 30 June 2008, Cole said: 鈥淲e have transferred 100 people there from other parts of the world. It鈥檚 not difficult getting people to move when they get the same salary but pay no tax and their accommodation is free.鈥
Cole said staff could also work on Middle East projects while remaining in the UK. He said: 鈥淲here margins are tight in some parts of the business, staff can be used to serve the Middle East, principally in front-end design work.鈥
Turnover at WSP in the Middle East and North Africa is forecast to grow from 拢65m to 拢100m in three years and WSP is already at full capacity in the region.
Among its schemes is the City of Arabia development in Dubai (pictured), for which WSP is providing building services and structural design.
It鈥檚 not difficult getting people to move when they get the same salary tax free
Chris Cole, WSP Chief Executive
Over the half-year period, pre-tax profit at WSP rose 43% from 拢16.1m to 拢23m. Turnover at the group, which is the engineer on the 拢400m Shard of Glass project in London, was up 40% from 拢259.8m to 拢363.5m.
Cole said: 鈥淭hat kind of results in this kind of market makes you feel good. It underpins our diversification strategy.鈥
In the UK Cole said the company was suffering as a result of the 鈥渟oft spots that are obvious to everyone鈥. He added: 鈥淭he private sector is a bit tricky to say the least, but the public sector is fine.鈥
The consensus forecast for the full-year is pre-tax profit of 拢48.5m on turnover of 拢666m.
Francesca Raleigh, an analyst at Numis Securities, said the results were good but risks included staff retention, the public sector spending cycles and the impact of a global property downturn.
Postscript
For more on Dubai go to
No comments yet