The UAE is experiencing a surge in expat relocation as workers and investors continue to flock to the region. However, this rising influx is expected to impact salaries and benefits, with a decline predicted for 2025, according to the latest Robert Half salary guide.
While companies may benefit from improved retention rates due to fewer job changes, employees are facing challenges such as reduced salary competitiveness and limited opportunities to negotiate pay raises. The report noted that 75 percent of workers have found it harder to secure a pay increase compared to the previous year, and 63 percent are staying in their current roles out of necessity rather than choice.
Despite the challenges, three in five businesses (63 percent) are planning to increase headcounts in 2025. Employers, however, face the difficulty of balancing budget constraints while still seeking candidates with the right skills, with 47 percent emphasizing the importance of talent alignment.
Geopolitical factors are expected to shift the landscape in 2025, with 65 percent of employees considering a career change, potentially leading to intensified competition for top talent in the region.
