Why employees want nothing less than double-digit pay rise in the UAE

Having been through the cycle of single-digit pay hikes – sometimes even a 2 or 4 per cent for some years now – employees in the region believe that the so-called fat pay and benefit packages that the region was popular for is buried in the past.

Some employees also complain that there have been no increments at all and bonuses are the only saving grace. Then there is a section of professionals who says they have got nothing in the past four years, depicting a sad story sans hikes or bonuses.

It’s only human to expect and believe that we are worth more than we get and this belief is making many of us believe that the current packages in the region are just not enough.

According to a whitepaper released by recruiter Robert Walters, 67 per cent of professionals working in the Middle East (including the UAE) are not satisfied with the benefit packages offered by their employer.

The whitepaper also shows that 96 per cent of professionals consider benefits as critical to their decision to accept a role in the Middle East, a potential concern for employers as the economy improves and competition for talent increases.

“Our survey indicates that benefits for recent arrivals compare relatively poorly with packages for those that have been in the region for longer. Only 57 per cent of those that have been in the Middle East for up to three years receive a relocation allowance, compared to 70 per cent of professionals that have been working in the region for between 3 and 5 years and 89 per cent of those that have been working in the region for more than 5 years.

“The figures also suggest that the availability of certain benefits is sector dependent. For example, while 93 per cent of engineering professionals receive flights home, the same can be said for only 45 per cent of those working in business services. Among those working in banking and financial services, 45 per cent are provided with a budget for educational support, an offer extended to only 15 per cent of those working in professional services,” reads the paper.

The ‘expat package’ or all things paid, bonuses and allowances made a hasty retreat in Dubai during the recession years but even after a good three to four years it is hard to get for employees who are looking to come here.

Emirates 24|7 had earlier reported that those, who are already in the city, are now accustomed to this and see no return to largesse being handed down from employers. Read: Is expat package dead in UAE? Here are most outrageous ones.

According to a poll run by this website this year revealed that majority (98 per cent) of the respondents in the city are just used to getting a salary at the end of the month, which only includes house rent allowance and transport allowance to work.

As the perks differ with each sector so does the level of satisfaction, mentions the Robert Walters survey. While 84 per cent of banking and financial services workers and 83 per cent of those in professional services report satisfaction with the benefits they receive, the figure drops to 50 per cent for those in business services.

And while engineering professionals are most likely to receive more incentives than any of these sectors, only 6 per cent are happy with their benefits package, raising questions over the quality of the incentives on offer.

“A perfect storm is brewing, with a clear majority of professionals both unhappy with their current package and in agreement that a good set of benefits is key to accepting a new role. Failing to offer a good benefits package can therefore lead employers to lose out to competitors in the drive to secure talented individuals,” warns Jason Grundy, Country Head, Robert Walters Middle East.

“While it is not unusual that pre-financial crisis benefits packages are often more generous, employers should be careful not to freeze out professionals that have been in the region for a shorter period of time, as this is not always the best indicator of quality. Similarly, it is important to recognise that individuals often benchmark their benefits packages against those offered in other sectors, and this can also have an impact on their next move,” he added.

Follow Emirates 24|7 on Google News.