There is positive news for employees and jobseekers in the UAE in 2024, with salaries expected to rise by an average of 4 per cent to 7 per cent amid a strong jobs market and demand for talent that will combine to drive up wages, according to recruitment specialists.
Aligned with the growing demand for talent, salaries in the UAE are projected to increase in 2024. Particularly in non-oil sectors, where the most substantial growth is expected, competitive compensation packages will be offered to attract and retain skilled professionals.
As such, salaries are estimated to grow by approximately 4.5%, ensuring that talented individuals are rewarded for their expertise and contributions. Higher salaries not only provide financial incentives but also reflect the value placed on skilled professionals in the UAE job market.
Nearly 8 out of 10, 80 per cent, of employers in the UAE plan to increase employees’ salaries this year, reflecting a buoyant job market, competitive talent landscape, and an overall optimistic economic outlook of the regional economy, according to a new survey.
Released by Hays Middle East on Wednesday, the survey found that nearly 7 out of 10 – 69 per cent – of employers in the UAE plan to increase their headcount in 2024 as a majority – 58 per cent – of them feel optimistic about the UAE economic outlook for this year.
Interestingly, nearly half – 49 per cent – of companies in the UAE offer no remote or hybrid options to their employees, according to Hays GCC Salary Guide 2024.
“A larger proportion of UAE-based organizations grew their headcount in 2023 than in 2022, and more than half of this year’s respondents intend to increase remuneration in 2024,” says Trefor Murphy, founder and chief executive of Cooper Fitch in the salary guide.
“This is positive news for jobseekers in the Emirates, as greater demand for talent typically results in higher salaries.”
Oliver Kowalski, managing director, Hays Middle East, said 67 per cent of employers GCC wanting to grow their organization’s headcount this year shows that there is still great demand for qualified personnel.
“Employee expectations are also clear, they want to be adequately remunerated, which is why 75 per cent expect salary increases in 2024. The labor market is showing signs of great dynamism, with 31 per cent of skilled workers actively preparing to change organizations this year,” he said. The UAE, the Arab world’s second-largest economy, has undertaken several economic, legal and social reforms to strengthen its business environment, increase foreign direct investment, attract skilled workers with new visas and provide incentives to companies to set up or expand their operations.
The Emirates has shifted to an employers’ market, as more people move to the UAE because of economic headwinds in other countries, recruitment consultancy Robert Half says in its 2024 Salary Guide report.
“The UAE’s commitment to talent, innovation and a dynamic business environment is clearly resonating with international professionals and solidifying its position as a top hiring destination,” said Tarek Salam, head of expansion at Deel, which gathered data from 300,000 work contracts across 160 countries for the report.
