Research from Robert Half finds that 65% of employees remain in their jobs out of necessity rather than preference.
By Maggie Mancini
As the United Arab Emirates continues to attract international workers, the market has a surplus of available talent, allowing employes to offer lower salaries and reduce benefits packages, according to research from Robert Half. While companies may benefit from increased retention, this trend carries some drawbacks, including decreased productivity and rising dissatisfaction, as workers may feel undervalued in a competitive market. Â
Despite an abundance of candidates, there has been a challenge finding workers with specific critical skills, leading some employers to compromise on their ideal candidate profiles for budgetary reasons. Â
More than half (63%) of business leaders in the UAE anticipate a headcount increase in the next year. Half of these leaders attribute the need for additional staff to organisational growth. However, economic factors such as global election outcomes and fluctuating interest rates have prompted a cautious approach, with one-third delaying hiring decisions until there is more economic stability. Â
Employees are aware of the heightened competition, according to the report, because it has diminished their leverage in salary negotiations. Three-quarters (75%) report increased difficulty in securing pay raises compared to the previous year, and 52% feel easily replaceable. Â
This environment has led 65% of employees to remain in their current roles out of necessity rather than preference. Despite this, two-thirds are considering a job change before the end of 2025, primarily driven by the cost of living and the need for higher salaries to meet financial obligations. Â
