Annual bonus in UAE: Do you or don't you get it?

Bonus or no bonus? That is the question, much in discussion in most offices in the country and surprisingly majority of residents in the country claim to have not received anything this year.

The once prevalent annual bonuses are still hard to come by, reveals a poll run by Emirates 24|7, making many believe that the job market is still very much in control of the employers, who still prefer not to dole out the annual amounts to employees.

Majority (67 per cent) of those who participated in the poll say they have not received annual bonuses this year.  No bonuses and rising rents and school fees are adding to the woes of those who have not received it.

“My company paid me a one-month salary as bonus before 2008 but I haven’t got it since then. It was not a big amount but did help me and my family. I was hoping to get something this year but nothing has come so far,” complained an Indian national living in Dubai who doesn’t want to reveal his identity.

Many companies claim they still haven’t awarded staff their annual bonus for second or third consecutive year but this decision is based on rationale.

“We did make profits but annual bonuses were not given out as our profit target was not achieved. That’s what we were told,” said an employee with a leading airline in the region.

The Emirates 24|7 poll also shows that 33 per cent did receive their annual bonuses. Of this lucky lot, most residents seem to use their money judiciously.

Fourteen per cent respondents say they put the amounts received as bonus in the bank for future use whereas 9 per cent use the money towards pre-payment of loans, saving on the interest rate charged by banks.

Minority five per cent use it to pay off the bills and six per cent splurge it on travel or go shopping.

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