UAE: 75% of employers expect salaries to increase in 2025
Nearly half – 48 per cent – of UAE workers have had their wages increased in 2024 and 74 per cent anticipate their salaries will increase in 2025, GCC Salary Guide 2025 by Hays shows.
According to the survey, UAE employees most often got 2.5 per cent to 5 per cent increments in 2024. As it turns out, 75 per cent of employers reported salaries will go up in their organization in 2025, according to GCC Salary Guide 2025 from Hays.
As of late, nearly 8 in 10 – 77 per cent – of UAE employers said they plan to hire permanent staff this year because the macroeconomic picture for the country’s economy looks good.
But 65 per cent of UAE professionals plan to relocate this year and said salary, benefits package and development programs were their key priorities.
About half – 49 per cent – of companies in the UAE are positive about the business prospects for 2025, and 65 per cent of companies advise adopting artificial intelligence (AI) technologies at work. Almost 8 in 10 – 79 per cent – of UAE employers say they would allow employees to use AI software someday.
The GCC Salary Guide 2025 surveyed nearly 2,000 employers and labourers in the Gulf. It had salary data for almost 400 jobs and insights on the UAE and GCC workforce trends.
16% increase in UAE citizens’ wages
For 55 per cent of UAE nationals last year there was no increase in salary. For those who did, the highest rate of pay increase was 16 per cent and above; the bulk of raises came from a new job, it said.
For the future, 72 per cent of UAE citizens predict their salaries to rise in 2025 and 28 per cent anticipate it will remain the same.
The UAE national’s share of pay rises was not as large as that of the rest of the Gulf region (51 per cent), but higher.
"This is a very competitive labour market for the employers in the driving Emiratisation recruitment strategies. : Organisations must think about the reward they are providing their existing staff if they are targeting retention where it’s feasible."
77% of the Emiratis plan to change job
‘For UAE nationals, 67 per cent are planning to change organisations in 2025, up from 23 per cent who planned to change organisations in 2024,’ a Hays survey has found.
"Beside wages, the most common reason UAE citizens quit last year was demotivation. It is extremely valuable to these professionals and will be another major reason why people will most likely be looking to move out of the company this year," added the international recruitment firm.
"Offering employees professional training, upskilling and progression reviews along with regular feedback is not only great for employee retention and happiness but helps build a skilled workforce."
The Emiratisation programme remains very important according to the survey with recruitment tactics focused on skilled citizens. This year in the UAE 55 per cent of employers report hiring UAE nationals, compared with 51 per cent last year.
In 2025, 46 per cent of UAE employers envisage hiring more UAE nationals. "Most professionals are now hired through permanent employment contracts and only a minority of people go to temporary work or are a contractor," Hays said.
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