In Dubai, 80 percent of employees are now back to work in some capacity, up over 70 percent in Q1 2022; commercial office rent for building users in Dubai increased by about 11 percent on a quarterly basis in Q2 2022.
As of the most recent survey, Dubai tops the world in office utilization, with an average of 80% of employees returning to the workplace during the second quarter as a result of the government relaxing Covid-restrictions.
According to international real estate specialists Savills:
Dubai maintained its lead over major financial cities including New York, London, Paris, and Singapore in terms of office occupancy since the UAE government swiftly relaxed pandemic limitations relative to other countries.
Due to a 10% increase in office employees who went back to work between April and June comparable to the January to March quarter of this year, Dubai moved towards the fifth-ranked position globally as well as to the top spot in Europe, the Middle East, and Africa. Four Chinese cities, Beijing, Shenzhen, Guangzhou, and Shanghai, took the top fourth position, with an equivalent of more than 90% of workforce starting back at the office.
The percentages vary between less than 40% of employees in the office in the London City business segment and an estimate of 43% in North America, to an equivalent of 80% of employees able to return to work in Dubai more than 90% in several Chinese cities.
In comparison to other countries, the UAE was able to relax its pandemic limitations rather swiftly because to an extensive vaccination effort. As a result, the transition to hybrid and flexible functioning has been unevenly distributed among businesses and has mostly been brought about by multinational corporate giants implementing worldwide standards for employees.
Dubai currently ranks fifth among the top cities with the maximum office utilization levels because to effective Covid-19 pandemic planning and control, and with Expo City Dubai, the emirate will indeed be able to establish its position even more.
What was once unknown is now becoming standard practice for the majority of organizations. The old workplace culture of working from the office is back on course now that the Covid risk has significantly subsided.
Since they have the necessary economic and technical resources, corporate giants that employ a large workforce have found efficient ways to carry out working remotely. It is extremely probable that these corporations will continue to use the remote or hybrid working model in the future. While this is not true for developing countries. Managing and supervising remote work would be challenging owing to the restricted availability of technology. As a result, this industry could still employ a physical presence strategy.
According to Swapnil Pillai, associate director for research at Savills Middle East:
Several organizations have expanded to better-quality space to recruit and retain employees and fulfil ESG considerations, while others have rearranged spaces to facilitate greater collaboration. Therefore, despite a shortage of Grade A inventory and growing development and fit-out input costs, rents for prime and Grade A space continue to rise.
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