A recent report from Cooper Fitch finds that more than one-fifth of employers expect to reduce pay and more than a quarter have no plans to change salaries in the coming year.
By Maggie Mancini
Salaries in the United Arab Emirates are expected to rise by 4.5% in 2024, according to a report released by Cooper Fitch. Most firms in the UAE are expecting to raise salaries throughout the year, with more than one-third expecting to raise salaries by more than 5%. Â
More than one-fifth, 21%, expect to lower salaries in 2024, and more than a quarter have no plans to change salaries in the coming year. Cooper Fitch surveyed business leaders from more than 1,000 organisations to compile data in the report. Â
According to the report, more than half of respondents said they raised salaries in 2023, with around 8% of organisations raising salaries by 10% to retain top talent. Â
The report also finds that 59% of organisations made changes to headcount in 2023, with 26% expecting a 0% to 5% increase by the end 2024. More than half (56%) of this year’s respondents expect their teams to grow in 2024, whereas 20% are expecting to reduce their headcount. Â
When asked whether they believe there is enough available talent in the UAE to meet hiring requirements in 2024, more than a quarter of respondents (27%) said there was not. Management and leadership were the most significant talent gaps identified, accounting for 16% and 14% of responses, respectively. Â