Salary Survey 2009

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Only 21 percent of real estate respondents were confident about their professional future.

Employees working in Kuwait were worst hit by salary freezes in the latter part of last year, according to our survey, with just 22 percent gaining an increase in their monthly pay packet.

The best place to secure a wage increase during the last six months was Oman, where 46 percent of workers had been rewarded by their companies. However, our survey also showed that employees in Oman were the worst paid in the region, despite the wage increase.

In Kuwait, 38 percent of workers benefited from a pay rise while the top three positions in the Gulf were completed by Saudi Arabia and the UAE, where 35 percent of employees were rewarded.

Bahrain came second from bottom in the pay rise table with just 32 percent of employees saying they had received an increase during the past six months.

Pay rise in first half of 2009

Despite the downturn, many respondents were optimistic about their pay prospects. Forty-five percent of employees in the Gulf region are expecting to receive a pay rise in the next six months.

Ignoring the country's poor record on pay rises, people working in Bahrain are the most optimistic about salaries with 57 percent expecting an increase.

By contrast employees in Kuwait and the UAE are more pessimistic, with 54 percent and 56 percent respectively saying they do not expect any pay hike in the next six months. And if you work in the oil and gas or the cargo/freight industry, your expectations are much higher than those working in real estate or hospitality.

Only 27 percent of people working in the region's struggling property sector expect a pay rise, according to our data.

Pay rise in 2009 by industry

For those in search of a wage hike, the textiles industry was the best sector to work in during the second half of 2008; however, our data also showed that it was the worst paid industry to work for, with an average monthly salary of $3,656 including all bonuses, commission and allowances.

The survey revealed that 57 percent of textile workers who completed our poll had received a pay rise during the past six months, compared to an average of 34 percent across the spectrum of sectors.

Of those who did receive pay rises in the last six months, workers in the travel and tourism, recruitment, law and oil and gas sectors gained most. They achieved above-average salary hikes of between 42 and 44 percent.

Propping up the industry pay rise table was the art and design industry, where our data showed just 18 percent of employees were rewarded with salary increases.

Unsurprisingly employees in the real estate sector also struggled to secure a pay rise, with more than 76 percent saying they had not had one.

Job security by country

Employees working in GCC states remain largely optimistic about future job security, despite the large number of redundancies announced recently in the region.

More than 40 percent of respondents to the Arabian Business Salary Survey 2009 said they looked forward to the future with "complete confidence", with people from Saudi Arabia and Kuwait in particular feeling upbeat about their job prospects.

Sixty-one percent of Kuwaitis and 58 percent of Saudis told us they had no worries but in the UAE that figure fell dramatically to just 37 percent, reflecting the larger number of redundancies seen in the emirates.

High profile developers such as Nakheel and Damac have cut hundreds of staff, while thousands of other workers have lost their jobs in the construction industry.

Workers in Bahrain, Qatar and Oman are also reasonably optimistic about the future, with 48 percent, 52 percent and 57 percent of those polled saying they were looking forward with confidence.

However, the picture is not all rosy for Gulf-based staff. A large chunk of the 3,000-plus respondents who took part in our survey admitted they were less sure of their job prospects now than they were six months ago - before the full impact of the worldwide crisis hit the region.

Least optimistic, according to our survey, are those working in the UAE, with 43 percent feeling less secure in the job than in the summer of 2008, followed by Bahrain (36 percent) and Kuwait (34 percent).

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READERS' COMMENTS

The figures look very dubious
Posted by Arun Panangatt, Dubai, UAE on Wednesday 11 March 2009 at 16:46 UAE time


The figures for Western expats looks pretty much ok , but I have to say that the figures give for Indians and Pakistanis are way off the target. this is probably reflective of the profile of sample surveyed from these countries. I assume this was an online survey and therefore had limitations in terms of access. The average income of most Indians & Pakistanis is much less than AED 10k. Any western expat would earn ( irrespective of their competence) at least 3 times more for the same kind of work. Indians and Pakistanis earning 25k+ would form probably around 20% of the total Universe of individuals from these countries currently residing in UAE. It is quite clear that the sample achieved is skewed towards higher income individuals ( at least for Indians & Pakistanis)

salary scale of Asians
Posted by Kazim, Dubai, UAE on Wednesday 11 March 2009 at 09:13 UAE time


I'm surprise to see the salary scale for Indian, Pakistani and Egyptians, as far as I know in my circal of Indian, Pakistani and Egyptian almost all are getting around AED 25+ as basic plus car and home as well commission if applicable. Thought to update your survey :)

Good for those paid in USD/AED but not in GBP
Posted by Rob Llewellyn on Tuesday 10 March 2009 at 10:46 UAE time

Doug,

Thanks for pointing that out. You're quite right.

I was still considering my last contract there where I had done some work for a UK consulting firm and agreed terms in GBP.

I must say that the majority of my contracts there are agreed in USD or AED. Which as you rightly point out, is good to pay off any UK debt right now. Rob

Think you've misunderstood, Rob
Posted by Doug, Dubai on Tuesday 10 March 2009 at 10:31 UAE time


Rob, I think you've misunderstood. British earners in Dubai have not lost their value at all.

When I agreed my salary (way back when the dollar was weak), the salary on offer in Dubai was comparable with what I would earn in the same job in the UK, so I took that offer. Now that the pound has tanked against the dollar, the money I earn here is worth much more. For instance, I send home a certain amount of the dirhams I earn in Dubai back home to pay off a UK credit card. I can now actually send back fewer dirhams a month to the UK and yet pay off MORE than I was ever before. So essentially, I get to keep more dirhams for spending, while managing to clear off my UK debts far more quickly.

It's a bad time of British tourist to come to the UAE, but for those of us already here and essentially earning dollars, we can put away a tidy little nest egg while the times are good.

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