UAE employees optimistic about salary increases in 2023, survey finds
A recent survey conducted by Bayt.com and YouGov revealed that a majority of employees in the UAE (53%) anticipate a salary increase in the coming year.
The poll surveyed 2,941 individuals from countries such as the UAE, Saudi Arabia, Kuwait, Lebanon, and Jordan between November 16th and 28th.
Seven out of ten employees in the UAE believe their salaries will either increase or remain the same.
Reasons cited for the expected salary increase include increasing opportunities, economic growth, competition for talent, and improved company performance or profitability.
46% of workers based in the UAE chose medical insurance as one of the top benefits offered by their employers, in addition to their salary.
This was followed by annual air tickets, chosen by 33% of workers, and gratuities, chosen by 27% of workers.
The findings also revealed that transport and housing allowances, as well as medical coverage for families, were also popular benefits.
Ola Haddad, the Director of Human Resources at Bayt.com, emphasized the importance of treating compensation as a crucial part of an employee’s reward and monitoring the factors that influence salary expectations.
The UAE job market has experienced a strong recovery from the slowdown caused by the coronavirus, partly due to the government’s fiscal and monetary measures.
Over the years, the Emirates, which is the Arab world’s second-largest economy, has taken various actions to enhance its business environment, bring in more foreign direct investment, lure skilled workers with new visa options and offer incentives to companies to establish or grow their operations.
A study conducted by Bayt.com and YouGov in October revealed that 86% of working professionals in the UAE had a hopeful career perspective for 2023.
According to a report by global advisory company WTW in September, employers in the UAE intend to raise salaries by an average of 4.4% in 2023 and are contemplating benefits such as retention bonuses to retain and attract employees in the face of a competitive labor market.
Bayt.com’s latest survey found that 66% of respondents prefer a fully fixed pay structure, while 25% prefer a partially fixed structure with variable pay in the form of commissions and incentives.
Additionally, 51% of UAE employees believe that their loyalty to their employer is linked to their salaries, while 32% stated that career advancement is the most important driver of loyalty, followed by daily responsibilities (30%) and line managers (27%).
Zafar Shah, research director at YouGov, stated that while financial rewards are crucial in attracting talent to organizations, non-financial rewards can serve as significant factors in retaining talent.
A survey of UAE respondents revealed that 61% of them plan to search for a new job in the same industry within the next year, while 43% plan to pursue a career in a different industry.
Additionally, 23% of the surveyed individuals regularly make financial investments, with 22% investing in gold, 18% in property, 14% in stocks, and 12% in their own businesses.