International Experts identified that macroeconomic stability and the growth-oriented vision of the UAE’s leadership are improving the country’s appeal as an investment destination amid worldwide economic unrest. In UAE, the Jobs Market will continue to strengthen in 2023, driven by strong market confidence and foreign direct investment (FDI) as firms enlarge their international presence in the Emirates. After an unpredictable 2022, strong market confidence has led to consistent recruitment activity and industry growth. Based on market confidence and therefore more aggressive growth and diversification plans, organizations shifted up a gear, and their appetite to invest in attracting top talent increased significantly. Experts have also seen a significant return to foreign investments with businesses looking to enlarge their international footprint in the UAE. It is also said that the UAE jobs market has made a strong recovery from the coronavirus-induced slowdown, assisted by the government’s fiscal and monetary measures.
| United Arab Emirates Economy In Statistics | ||||
|---|---|---|---|---|
| Details | Last | Previous | Value | Reference |
| GDP Annual Growth Rate | 3.9 | -6.1 | percent | Dec/21 |
| Unemployment Rate | 3.9 | 6.7 | percent | Dec/21 |
| Inflation Rate | 6.77 | 3.43 | percent | Jun/22 |
| Interest Rate | 3.9 | 3.9 | percent | Nov/22 |
| Balance of Trade | 290300 | 228900 | AED Million | Dec/21 |
| Current Account | 176200 | 77100 | AED Million | Dec/21 |
| Current Account to GDP | 11.7 | 5.9 | percent of GDP | Dec/21 |
| Government Debt to GDP | 38.3 | 36.9 | percent of GDP | Dec/21 |
| Source: Trading Economics | ||||
Sources also recorded that the UAE, the Arab world’s second-largest economy, has undertaken various economic, legal, and social reforms over the years to strengthen its business environment, raise FDI, attract skilled workers with new visas and offer incentives to firms to set up or expand their operations. Experts also recorded that employees in the UAE’s financial services and legal sectors will receive the highest salary increases in 2023, with an average rise of 5 percent and 4.9 percent, respectively. This is followed through the technology industry, which is expected to record a 3 percent salary increase on average, while finance and accounting professionals will receive a 2.5 percent wage rise and the HR sector is set for a 2 percent increase. Sources found that 86 percent of working professionals in the UAE have a positive career outlook for 2023. However, the concept of remote working continues to be a long-term legacy of the Covid-19 pandemic, which also surveyed 2,000 employees in the UAE.
A Survey’s statistics showed that about 66 percent of respondents said they are looking for positions with an element of working from home integrated into their role. It is important for companies in the UAE to learn to embrace a hybrid work model as it will prove to be key in attracting and safeguarding employees. The most popular arrangement is three days at the office, and two days at home, which is preferred by 36 percent of respondents. Statistics also identified that 27 percent prefer working from home permanently, while 21 percent like the idea of spending just one day working from home. Office-based teams may also benefit from greater employee engagement, with 41 percent of respondents emphasizing the importance of face-to-face meetings and 28 percent saying they want to maintain social links and enjoy relaxing moments with colleagues. Meanwhile, 79 percent of respondents said key topics pertaining to social and corporate governance were a significant factor when selecting their dream job.
A survey showed that 96 percent chose human rights responsibility, while environmental and economic responsibility were both highlighted by 84 percent of respondents. The study also found that 60 percent of those polled would consider returning to their former company said. About 57 percent of people said they were unaware of company return programs, leading to the conclusion that companies need to better promote them and look at rehiring as part of their recruiting strategy. Although unavoidable outside factors may threaten to influence industry behaviors, all signs of growth and resilience seem to be pointing in the right direction for the UAE.
On the other hand, it is also important to mention here, the International Monetary Fund (IMF) cut its global growth forecast for 2023 and warned of a cost-of-living crisis as the world’s economy continues to be affected by the war in Ukraine, broadening inflation pressures and a slowdown in China. Moreover, IMF also said that Middle East and Central Asia economies are forecast to grow 5 percent in 2022 before decelerating to 3.6 percent in 2023, after expanding 4.5 percent in 2021. World Bank’s statistics showed that economies in the oil-rich bloc of GCC are projected to grow 6.9 percent in 2022 and their economic output is estimated to reach about $2 trillion in 2022. According to the UAE Central Bank, the UAE economy, which bounced back strongly in 2021, is estimated to expand by 5.4 percent in 2022. Emirates NBD, Dubai’s biggest lender, expects the economy to enlarge by 7 percent in 2022, setting up the country for its fastest annual expansion since 2011, when output grew by 6.9 percent.