UAE: 78% employees expect salary increase in 2025

by Tanvir Awan
Published: Updated:
UAE: 78% employees expect salary increase in 2025

In 2025, 78% of professionals in the UAE and Gulf region are expecting a salary increase, and 77% of employers anticipate a rise in pay within their organizations, most commonly between 2.5% and 5%.

This comes as part of the findings from the latest Salary Guide released by Hays Middle East, a leading global recruitment and workforce solutions company.

Hays GCC Salary Guide 2025

The Hays GCC Salary Guide 2025 provides detailed salary data across nearly 400 roles in 11 sectors, based on a survey of almost 2,000 employers and professionals in the region. The study reveals that the Gulf region’s labor market is expected to experience continued growth in 2025, with both employers and professionals seeking change and new opportunities.

Key findings from the report include:

  • Hiring Growth: In 2024, 68% of organizations increased their headcount, up from 62% in 2023. Despite this growth, 86% of organizations faced skill shortages, which is likely to drive further hiring in 2025.
  • Job Changes: 67% of professionals in the Gulf plan to switch employers in 2025, indicating a strong demand for career progression and new opportunities.
  • Permanent Hiring: 78% of employers in the Gulf region plan to recruit employees on a permanent basis in 2025.
  • Salary Increases: 78% of professionals expect a salary increase in 2025, with most expecting an increase between 2.5% and 5%. However, 73% of professionals report that they do not receive non-monetary benefits beyond their fixed salary.

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Oliver Kowalski, Managing Director at Hays Middle East, commented on the findings: “Despite the wider economic climate, the Gulf region continues to experience significant growth driven by ongoing investment, digital transformation, and the emergence of new technologies. This creates a wealth of opportunities for professionals to advance their careers. The Hays GCC Salary Guide 2025 offers valuable insights that employers can use to drive business growth and professionals can leverage to achieve their career goals.”

Key sectors driving hiring demand

Technology

Organizations across the Gulf are actively hiring technology professionals to support digital transformation and stay ahead of technological advancements. This sector will continue to see strong hiring activity as businesses seek to innovate and stay competitive.

Banking and Financial Services

The Banking and Financial Services sector remains a critical driver of growth in the region. The Gulf’s role as a global investment hub requires a skilled workforce to manage key business initiatives and contribute to the success of financial institutions.

Construction

Major infrastructure projects, particularly in Saudi Arabia’s Vision 2030 initiative, are driving demand for construction professionals. Saudi Arabia is expected to become the world’s largest construction market by 2028, while the UAE continues to attract international talent due to its thriving market and tax-free salaries.

As the Gulf region continues to experience economic expansion and transformation, 2025 promises to be a year of increased job opportunities, salary growth, and evolving market dynamics.

tanvir@dubainewsweek.com

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