2.09 AM Friday, 29 March 2024
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 04:56 06:10 12:26 15:53 18:37 19:52
29 March 2024

Yes, double-digit pay hikes are back in UAE

Published
By Shuchita Kapur

For all those who’d been battering about no increments or the sad and meagre salary hikes of 5 per cent or even less, this news may seem the sweetest in a long time.

A new survey by jobs portal NaukriGulf.com reveals that employees in the country have begun getting the once-lost double-digit pay hikes. And while this is indeed limited to a few sectors right now, hopefully, it will prove to be contagious and soon show its positive effects on other sectors too.

“I hope it’s like the real estate in Dubai. First, the best properties go up but they pull along the third tier locations as well,” said a Sharjah-based customer service agent without wishing to be named.

As per the findings of NaukriGulf.com, increments have gone up for traditional high growth sectors.

Among the top sectors, 32 per cent recruiters from oil & gas industry and 27 per cent from the construction sector said that the increments they gave out this year were in the range of between 10 and 15 per cent.

Overall, 44 per cent employers said that only single-digit salary hikes were given in 2013, and 16 per cent said that there were no increments at all in the period.

The survey was based on the inputs of over 400 recruiters across the Middle East.

The previous edition of the survey conducted in the beginning of the year showed that 70 per cent recruiters had predicted addition of new jobs in 2013, while the number has now gone down to 64 per cent.

“Thus, the overall hiring sentiment is lower but still indicates a positive environment with most companies planning to increase their headcount along with bettering of hiring prospects for Arab nationals in the second half of 2013.”

“Talking about the UAE, 71 per cent recruiters predict new job-creation. Amongst the top sectors, recruiters from the oil and gas sector are the most hopeful with 61 per cent of them saying that new jobs will be created in the second half of 2013,” said Tarun Aggarwal, Business Head, NaukriGulf.com.

“Hiring sentiments in the Middle East remain cautious yet positive indicating that hiring will continue at a brisk pace in the current global economic scenario. Core sectors like oil and gas, construction, retail and hospitality are seeing good demand for new recruitments,” Aggarwal added.

There seems to be no respite for recruiters as far as talent crunch amongst expats is concerned with the scenario becoming tougher over the last six months.

In the UAE, 63 per cent recruiters face maximum difficulty while hiring Asians whereas only 25 per cent face talent crunch while hiring Arab nationals. Among the sectors, the situation seems to have worsened in the oil and gas sector with 71 per cent recruiters feeling the talent crunch as compared to 51 per cent recruiters that fell the same six months ago.

However, the scenario seems to have improved in the construction sector with 43 per cent recruiters now feeling the pinch as compared to 58 per cent six months ago, reads the survey.