You could be earning c.4.5% more this year

Average salaries in the UAE could go up 4.5% y-o-y in 2024, driven by strong non-oil sector performance and an anticipated increase in OPEC+ oil production, according to GCC HR advisory firm Cooper Fitch’s Salary Guide UAE 2024 (pdf). The report is based on surveys with business leaders from 1k organizations, gathering insights on recruitment, headcounts, and salary trends for 2023-2024.

Some 54% of companies increased wages in 2023, with around 8% raising them by over 10%, prioritizing talent retention in specific sectors, the report reads.

Fifty-nine percent of companies upsized their workforce during 2023, up from 55% companies upsizing in 2022, the report said. Only 28% of companies downsized operations, down slightly from the 30% who downsized in 2022.

More workforce expansions + salary hikes are expected in 2024: Over half of companies are gearing up to expand their teams in 2024, while 20% anticipate a reduction in headcount. More than one third of respondents plan to raise wages by up to 5%, while 21% plan to lower salaries.

Are you in financial services, IT, or consulting? Don’t expect a bonus: With finance companies in the lead, 29% of businesses are skipping bonuses this year, likely due to economic challenges hitting international banks in 2023, according to the report. Consulting and IT-focused industries also show a high rate of bonus omission. On a more positive note, 2% of companies in accounting, chemicals, consumer goods, and healthcare are awarding bonuses equivalent to six months' basic salary.

Is there enough talent to meet your hiring needs in 2024? Some 27% of companies reported talent shortages in management, leadership, and sales positions.