Picture for illustrative purposes only. ARCHIVE

A new study reveals that the UAE’s growing population, particularly in Dubai and Abu Dhabi, is creating an “employer’s market” that has led to a decline in starting salaries for some professional roles. As expatriate professionals continue to enter the UAE’s job market, this influx of talent is reportedly driving salaries down. The study from recruitment consultancy Robert Half shows that starting salaries for professional services in the UAE dropped by an average of 0.7 percent in 2024 compared to the previous year. Finance and accounting roles saw a 2.1 percent decrease, with corporate accounting roles dropping by up to 23 percent. This trend has led more than half of employees to consider job changes due to the rising cost of living. Despite this, Robert Half noted that demand remains high for certain skill sets, such as financial planning and tax expertise. “The presence of readily available expatriates who arrive in the UAE without jobs has impacted salary levels,” the report noted, highlighting how an oversupply of professionals has influenced wage expectations. Population growth has been particularly significant in the UAE’s largest emirates, with Dubai reaching a population of 3.798 million as of early November 2024. Abu Dhabi’s population also surged to 3.789 million in 2023, an 83 percent increase since 2011. Not all roles are experiencing salary drops. Starting salaries for in-house legal roles increased by 1.6 percent due to a demand for experienced mid-level legal counsel. This growth is driven by global investment interest and an increase in IPOs among UAE businesses. ICA/Expat Media
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