How the Iran War Has Impacted Luxury Staffing

FULL TRANSCRIPT

Introduction and Morgan’s Background

Ben W: Hello there, podcast listeners. In today’s episode, we’ve got Morgan Rich. He’s co-founder of Morgan Mallet Agency. And we’re going to be covering quite a topical subject. It’s the Iran war and how it has impacted household staffing with obvious focus on the Middle East. So welcome to the podcast today, Morgan. How are we doing?

Morgan: Thank you so much Benjamin, I’m very well, thank you so much and I’m pleased today to talk about these topics.

Ben W: Super, super. Before we jump in, for the listeners whose first time it might be listening to the Morgan Malley podcast, could you give us a quick overview of how you got started in this industry and what you like about it as well?

Morgan: Yes, we started in 2015 in London with Lorraine Mallet and now we are here for almost more than 10 years so we are very happy about this industry. It’s a very attractive industry with a lot of very good things to know about the clients, about the candidates. I met so many people and I am very happy to make this business.

Ben W: Morgan, I’m going off topic, but what’s your favourite part of running Morgan and Malley?

Morgan: I think this is my team. I’m very proud about my team because we can change so many ideas and we’ve got a very great people at Morgan Malle. So I’m very proud of this. I think this is the main thing that I enjoy in my business.

Middle Eastern Operations and Market Setup

Ben W: Super, super. Okay, let’s jump into it. So let’s just set the scene. Where does Morgan Malay work in the Middle East?

Morgan: So basically we’ve got an agency in Dubai in downtown in Sheikh Zayed Road and basically we manage requests in Saudi, Kuwait, Qatar, Oman as well, Bahrain. Yes, our office is based in UAE and we’ve got many leads as well, many clients in Abu Dhabi and Dubai especially.

Ben W: Gotcha. So Dubai also serves not just Abu Dhabi, not just United Arab Emirates, but the neighbouring countries as well, such as like Saudi, Iraq.

Morgan: Yes, Iraq as well, for example, we’ve got some position in Iraq and even in Iran as well. Sometimes we’ve got some position in Tehran. So it’s all Middle East. And that’s why we choose Dubai because Dubai is the perfect hub to be on the market in Middle East.

Ben W: Why is it the perfect hub?

Morgan: Because this is so international, all the business owners, even if they are from Iraq or even Saudi, they got an office in Dubai. It’s a place you must be there. It’s very international. That’s why.

War Impact and Initial Response

Ben W: Interesting. Okay. So the war started on the twenty eighth of February and where were you on that day?

Morgan: I was in Dubai and honestly, my experience was not like described on the European newspaper and media as well. The life was there, the restaurant was opened, the situation was there and at the beginning it was okay for me, to be honest with you. But what we notice of course we get less and less requests because many people especially expats not Arabic client. They left the country for a few weeks or few months. So the activity dropped down a little bit.

Ben W: I see. And does this war affect like does it change anything for a butler in Dubai or a chef in London? Are there any what’s the impact for them, if any?

Morgan: The impact was more about the travel, because we got many clients based in Middle East, they asked for European candidate or people from US. And during this time, nobody can travel, so it was the main issue. But the request was still there. And even, for example, the best example in Iraq, we’ve got a very important client and they asked for many people. And the issue was not the candidate, because the candidate still apply. The issue was from the fly, how to get a fly between London or between New York to Iraq. It was most impossible. And this is the main impact, I would say.

Agency Operations During Crisis

Ben W: Gotcha. I see. And just going back to when the war started, within the Morgan Malle Agency, what changed?

Morgan: The change was that we got many questions about the candidates. They were course worried about the situation and many candidates were on stage for a new job and they were a little bit scared about what’s going on, what we should do, should we apply to another job because we don’t have any news from the employer. So everyone was a little bit worried because nobody knows what’s going to happen in the future. So it was the main things to manage at this point.

Ben W: I see, I see. And did you put any placements on hold?

Morgan: Yes, some of those, especially for expat clients, they postponed the request for a months just to see what’s going on because they came back to their country, to Europe, to Russia, or even to the US. So for this kind of clients, of course, some job was on hold, but for Arabic clients, nothing changed.

Safety Measures and Team Protection

Ben W: Interesting. So Iranian missiles hit Qatar, The UAE, Saudi Arabia, how did you protect your Dubai team and the staff already placed there?

Morgan: It was a big concern for Lorin and I. So we decided to close the office and to ask the people to work from home. And of course we keep calling them every single day to get some news and to see what’s happened. And some of people came back to their country as well because we accepted them to work from overseas as well. So we were very flexible at this time and we took some news every single day to make sure that they were not too scared and to see what’s happened on their side.

Ben W: Gotcha, gotcha. But it’s correct what I say? It might be tricky in the future if they’ve got Dubai con working contracts and they’re in their home country.

Morgan: Yes, of course, we need to limit these things for one month or two months maximum because we are not allowed to employ people from Dubai and to work overseas, of course. So it’s only a temporary management and that’s it.

Candidate and Staff Response

Ben W: I see. What did the candidates already working in the region ask you for? Did anyone want to leave?

Morgan: I didn’t get any requests in this way. They were more concerned about if they will keep their job, but after a few weeks they understood that the situation didn’t change too much for them. The people didn’t move because when you work in the East the conditions are really good. So the people they stayed there and they follow the news basically like us to see what’s going on. That’s it, the situation didn’t change too much for them.

Ben W: Interesting. And how do you decide if a placement is too risky? Do you follow like embassy guidance?

Morgan: Yes, of course. Every time we got a job in a very dangerous place, we checked the embassy website and we checked the government announcement as well, of course. But at this stage, we didn’t get any requests in Iran during this time. So that’s why we didn’t involve in this case, to be honest with you.

Market Changes and Salary Impact

Ben W: Hm, I see. And let’s just focus on the client side now. Are Gulf clients more careful now or are they still hiring?

Morgan: Now they are still hiring, of course, but the thing what we notice, I just spoke with Eli, one of our recruiter in Dubai this morning, and she told me that maybe the salary will increase, especially for European candidate and American candidate, because the candidate are a little bit scared about what’s happened in Middle East, so they accept, they’re still accepting some position in Middle East, but they ask for more money. So this is what we can see now on the market. There’s a little bit increase about the request for the salary.

Ben W: That makes sense because the supply has been limited, hasn’t it? A few expats left, went back home, and there’ll be no new expats coming in. So the ones remain who remained, let’s say the butlers, the the chefs, they have a little bit more power now, right? To command higher salaries.

Morgan: Exactly. Exactly. So this is something we can feel a little bit for the last few days.

Ben W: Interesting. Now just going back to clients. Are the clients asking for new requests like security training or anything like that? Have you seen anything like that?

Morgan: What we noticed, we got an increase for the chef position. We got more and more requests for chef position. So I don’t know what’s happened. But yes, this is an increase. Not for the security, because Dubai and even Middle East are very safe. So we don’t have a lot of requests this way. But yeah, the chef, we got an increase. And after, for the position like housekeeper, nanny. Every time we got a lot of requests, this is the main roles we, the requests, the most popular requests I would say.

Travel and Logistics Challenges

Ben W: Interesting. So the Strait of Hamous was closed, flights were disrupted. How did that affect visas and travel?

Morgan: Yes, it’s not about visa because the UAE are very open about bring people to their country, to build the country. But again, it’s more about traveling. So now the situation is really good. So now you can travel in Dubai or Abu Dhabi. This is very easy to do, even in Middle East. But yes, one month ago, it was so difficult, and almost the flight was cancelled at the last minute. And it was so difficult time. But now everything came back to normal.

Ben W: Okay, I didn’t know that. The flights are going in and out of Dubai. Right, interesting.

Morgan: Yes, yes. And you know, we used to check, flight radar, to check even the fly on the air, like that you can see the traffic and now everything is came back to normal.

Ben W: Wow, okay. And are candidates still saying yes to Dubai, to Riyadh, to Doha?

Morgan: Yes, we don’t have any difficulty to recruit, but again, now we can feel that the people, they ask for more money.

Ben W: Just to compensate for the risk. Gotcha. And have any candidates pulled out of any contracts that they signed?

Morgan: During the hard time, some candidates or even some clients put on hold and some candidates say, no, I’m sorry, but I’m going to give up and to find another role somewhere else in the world. But it was during the hard time at the beginning of the war, Now it’s not the case anymore.

High-Risk Placements and Specialized Candidates

Ben W: Okay, so it’s settling down and it’s going back to normal at the moment. Gotcha. Earlier this year you found people for a job between Iraq and Iran. What kind of person says yes to that?

Morgan: This is a very good question. Basically, we’ve got some candidates who love this kind of challenge. But it’s a few percentage of the candidate, of course. But we’ve got in the database some candidates who love to travel in a not difficult country, but the country where the people doesn’t want to go because of the repetition, because of many things. But yes, we’ve got five or 10 % of the candidates. They love to do this kind of challenge.

Ben W: Interesting. And I guess as well because of the lack of popularity, the salaries are probably a little bit higher in those locations too.

Morgan: Of course, yes, of course. And this is exactly what we explain to the client when we get a request in this kind of country. We explain that it would be very attractive in order to attract a very experienced candidate, of course.

Ben W: So you say that to the clients, look, you gotta increase your salary or it’s gotta be an exceptionally high salary for this location. And what do you say to a candidate choosing between a Middle East offer and a European one?

Morgan: First of all, the first step is when I’m searching for a candidate, I’m going to search for a who used to work in this kind of country. I don’t want to bring someone who doesn’t have this experience because of course it’s going to be a long negotiation, he’s going to refuse, he’s going to give up at the last minute. So that’s why I prefer to focus my search on candidate who used to have this experience and it’s very easy to convince them. It’s all about the salary, all about the condition, the accommodation, about the clients and about of course the duties and responsibilities and the challenges. So this is plenty my role to do that but if I did my job as a recruiter at the beginning, I mean when I talk to the clients at the beginning and we set up a really good job description, very attractive, after for the rest it’s very easy to do. That’s why the recruiter is there, to advise the clients to attract the best people but for that you need to discuss, to advise the clients from the beginning is very important.

Crisis Management and Business Resilience

Ben W: Gotcha. Now just moving on to the final section. You’ve been through COVID, Ukraine, the twelve day war in twenty twenty five, and now this. What does Morgan and Mali do differently in crisis today?

Morgan: The first thing I would like to say, I think we are so lucky to work in this industry because even if there is some raw, some virus or whatever, there are still clients who request for household staff. There is still jobs. This is an industry that is not very affected by the crisis because it’s a primary service. You really need a chef, really need a housekeeper or nanny. especially for wealthy people. So that’s why we are so lucky and this is something we noticed with Lorraine. It doesn’t matter what’s happening in the world, we still have some requests. But what we are lucky as well for the second thing is we are very international. We own agencies in US, Europe, the Middle East. And so that’s why when crisis happen in the Middle East, we still have a request in US and in Europe. So we can make some compensation if I can use that. Even the recruiters, they are focused in the Middle East. If I’m talking about AB and Renate and even Dave, they can manage requests in Europe in the meantime when we get a drop of leads, because this is again, it’s online services. So that’s why Morgan Malay, we understood from the COVID office, the COVID events, that it’s very important to be international and it’s very important to be flexible, and to ask the team to work in different markets.

Ben W: Yeah. So it’s like a very insulated, protected industry that doesn’t really feel the impact of certain crises. And Laureen said as well the other day yesterday that when it all kicked off, the whole Iran crisis, that Ellie was relocated or not reallocated, leads and clients in the UK that she could attend to.

Morgan: Yes. While there was a small drop off in demand in Dubai.

Recovery Timeline and Future Outlook

Ben W: Okay. And if the ceasefire holds, how fast does Gulf hiring come back? Do you think it’ll be back to normal in three months, six months?

Morgan: Yeah, I would say three months. It’s going to be quick, but yeah, we need to wait at least three months, But what we notice at this stage, all the expact who have the life in Dubai came back already. Now it’s more about the foreigner, the entrepreneur, the investor, they need to come back step by step. It’s going to take between three and six months minimum.

Ben W: I see. And what’s your plan B if they don’t come back?

Morgan: They will. So I don’t have any plan B. They will come back because Dubai is going to be Dubai. It doesn’t matter what happens. It’s so attractive. The government, they make very good things. And yeah, I’m not worried. I don’t have any plan B.

Advice for Clients and Candidates

Ben W: Gotcha. And last question. For a client or for a family or for a candidate thinking about coming back to Dubai, what would you say to them?

Morgan: They must come back because the situation is under control now and this is a really nice place to live. I live in Dubai for almost three years and half now. I used to travel in a mini country and this is very good. The security is still there. This is a very fancy place. The governments manage very well this situation. We noticed that as a resident, we were so protected. So, I think they passed the challenge, and it’s not easy challenge.

Ben W: Absolutely. And what would you say to I guess you’d say something similar to families coming back. And what would you say to candidates come back? You’re gonna get more money now.

Morgan: Yes, course, more money of course, but even they can get a very good opportunities because Middle East is a very good opportunity for candidates. You can involve in your job, you can bring your experience from Europe or from US, Middle East as well and the people are waiting for that.

Ben W: Absolutely, yeah, absolutely. All right. Thank you very much, Morgan. That’s the end of today’s podcast. And for the listeners, if you are thinking about hiring in Dubai, in London, in Paris, in Monaco, in Saint Tropez, in New York, in Miami, wherever, get in contact. You can go to householdstaff dot agency. And there you can fill out a form or you can find the phone number and give Morgan Malleigh a call, and we’ll usually get back to you within 24 hours. for the candidates listening, you can go to householdstaff.ag forward slash jobs and you’ll see all the recent opportunities there. And these are global opportunities. We’re not just talking about London, we’re talking about Dubai, we’re talking about Monaco. All the luxury capitals in the world, you’ll be able to find a job, most of those. So that’s it from me today. Thank you very much. And one last thing, sorry, it’s not the last thing from me today. Remember to subscribe. We’re on Spotify, we’re on YouTube, and soon we’ll be on iTunes. So just hit like and subscribe, and you’ll be able to be updated with all the latest episodes. So

Morgan: Thank you, Benjamin.

Ben W: Thank you very much, and thank you, Margan.

Morgan: Thank you guys and have a lovely day. Thank you, bye bye.

Ben W: Thank you very much guys. Goodbye.

About Morgan & Mallet International Morgan & Mallet International is a leading global household staffing agency with offices in New York, Los Angeles, Miami, London, Paris, Geneva, Dubai, and South Africa. The agency finds private chefs, butlers, nannies, housekeepers, estate managers, chauffeurs, and personal assistants for UHNW families and family offices worldwide. All candidates carry a minimum of three to five years of verified private household experience.

To find out more or to start a search, visit householdstaff.agency.