Fine Hygienic Holding has ruled out job cuts and pay freezes, with its chief executive saying the company is using the current period of regional uncertainty to invest rather than retrench.
Maurizio Patarnello, who leads one of the Middle East’s largest FMCG companies, told Lana that Fine has so far resisted the cost-cutting measures being enacted elsewhere across the private sector.
“Until now, we have not enacted any of these actions,” Patarnello said. “Our people are our asset. Our action until now has been more to redeploy people, try to create new opportunities, rather than doing cuts or even reducing the salaries or doing some freezing. It’s not in our culture to do that. We have no plans to do any significant change in our structures.”
The comments come amid growing discussion across sectors in the UAE about workforce management in response to regional instability, with some businesses enacting hiring freezes or headcount reductions.
Patarnello said Fine’s response had instead been to look for opportunity, pointing to the recent launch of a new diaper product as evidence of the company’s continued appetite for growth.
“People ask me, was this the right moment to do that? I think the answer is yes,” he said. “For companies that are solid, that are leading and have a vision, these are good moments to invest. Those that remain and invest will be, I’m sure, rewarded in the future.”
His confidence rests partly on a reading of the UAE’s track record. “History tells us that this country has been very good at rebounds,” Patarnello said. “I have no reasons to believe today that this will not happen again. There is unbelievable infrastructure in this country. The market is rational and will reuse all this infrastructure for sure, because nothing will be thrown away.”
On the supply chain, Patarnello acknowledged that Fine has not been immune to disruption, with portions of its raw materials, particularly for its tissue products, sourced internationally. The company has responded by rerouting shipments through alternative ports including Aqaba and Oman where necessary.
“We can’t pretend that the situation is normal,” he said. “But as long as we have a proactive approach, we expect not to have any disruption whatsoever. This comes with a cost, but that cost is worth it.”
Fine Hygienic Holding has also drawn confidence from the government’s handling of the situation. “The resilience shown by the government has been a source of inspiration for us,” Patarnello said. “If everybody makes his part, then this resilience becomes resilience in action, which is, I think, what is happening in the UAE.”
On the question of when a recovery might materialise, Patarnello was measured but optimistic, noting he had seen the cycle of rebound play out before. “I have seen it. I was here when different crises happened. I have seen things coming back. I have seen how the market rationally uses these moments for a reset, and this reset then translates into a new momentum. I think this time is going to be another strong rebound.
