A tax-free salary boost is no longer enough to attract and retain the best talent in the United Arab Emirates (UAE), a study by global recruitment consultancy Michael Page has found.
According to the company’s Middle East Salary Survey 2019, candidates are now focusing on career development, organisational culture and flexibility more than a pay rise.
Leith Ramsay, managing director of Page Group Middle East, said: “Whereas previously a salary increase when changing employers was expected to be around 10%–15% - sometimes more in certain sectors - candidates are now wanting more detail about career development plans and organisation culture, which also includes an approach to maintaining a flexible work environment.”
Nonetheless, wages in the UAE are projected to rise by 4.8% across all industries this year, according to a November report from global consulting firm Mercer. The study, which analyses pay based on actual placements made throughout a given year, said there are a number of key skills that all sectors are after in 2019. These include data science and analytics as well as procurement and cost management expertise.
Gulf recruiter and training institute Nadia Global agreed, predicting that wage increases were likely to be between 3.5% and 5% this year, The National reported.
But a December poll, carried out among UAE residents by The National itself, was not as optimistic. It revealed that only 14% of the 2,700 people questioned received a pay rise of more than 3% in 2018, while 54% believed their company would not be offering any salary increases at all this year. This figure compared with 40% who said they were expecting a pay rise.
Nonetheless, another December report from recruitment firm Cooper Fitch indicated that the UAE’s employment market was likely to pick up over the year ahead on the back of higher average oil prices and gross domestic growth of 4.2% based on Central Bank of the UAE estimates.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
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A tax-free salary boost is no longer enough to attract and retain the best talent in the United Arab Emirates (UAE), a study by global recruitment consultancy Michael Page has found.
According to the company’s Middle East Salary Survey 2019, candidates are now focusing on career development, organisational culture and flexibility more than a pay rise.
Leith Ramsay, managing director of Page Group Middle East, said: “Whereas previously a salary increase when changing employers was expected to be around 10%–15% - sometimes more in certain sectors - candidates are now wanting more detail about career development plans and organisation culture, which also includes an approach to maintaining a flexible work environment.”
Nonetheless, wages in the UAE are projected to rise by 4.8% across all industries this year, according to a November report from global consulting firm Mercer. The study, which analyses pay based on actual placements made throughout a given year, said there are a number of key skills that all sectors are after in 2019. These include data science and analytics as well as procurement and cost management expertise.
Gulf recruiter and training institute Nadia Global agreed, predicting that wage increases were likely to be between 3.5% and 5% this year, The National reported.
But a December poll, carried out among UAE residents by The National itself, was not as optimistic. It revealed that only 14% of the 2,700 people questioned received a pay rise of more than 3% in 2018, while 54% believed their company would not be offering any salary increases at all this year. This figure compared with 40% who said they were expecting a pay rise.
Nonetheless, another December report from recruitment firm Cooper Fitch indicated that the UAE’s employment market was likely to pick up over the year ahead on the back of higher average oil prices and gross domestic growth of 4.2% based on Central Bank of the UAE estimates.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
OTHER STORIES THAT MAY INTEREST YOU
A compliance guide to payroll in the Middle East
A brief guide to labour regulations in the United Arab Emirates
Saudi to pay part of private sector workers' wages to boost employment
