By Andy Sambidge
Research by Towers Watson shows Saudi wages rose most in the GCC this year
Salaries in the UAE are forecast to rise by 5.7 percent in 2012, according to new research by Towers Watson.
The HR company said wages increased by an average of 5.5 percent across all industries during 2011 compared to 4.4 percent the previous year.
According to Towers Watson, Saudi Arabia saw the highest average salary rises of the GCC countries in 2011.
The kingdom saw wages increase by 6.2 percent this year, followed by Qatar (5.8 percent), Kuwait and the UAE (5.5 percent), Oman (5.3 percent), and Bahrain (5 percent).
Towers Watson added that Egypt led the way in the MENA region with a 10 percent salary growth, while Bahrain saw the smallest increase.
The research showed private sector salary increases were higher overall in 2011 than the previous year.
It also revealed that the number of companies in the region freezing salaries dropped significantly compared to the previous two years.
Billy Turriff, business leader for data, surveys and technology at Towers Watson Middle East, said: "The data provides some interesting insights into rewards and compensation trends, particularly how salaries have continued to increase despite the economic and political turmoil that has affected many countries in the MENA region.
"With overall remuneration levels increasing in 2011, more organisations are using bonuses and allowances to differentiate their rewards offerings against the competition.
"Next year we expect pay increases to be approximately 0.5 percentage points higher than 2011."
Earlier this month, a survey by recruitment consultants Bayt.com said almost three quarters of UAE residents believe their salary does not cover the rising cost of living in the Gulf country.
Some 71 percent of residents surveyed said their wages had not kept up with soaring prices in the Gulf country, with 37 percent expecting a similar outlook next year, the poll said.
The negative outlook was evident across the board, with 84 percent of survey respondents also saying there were “not many” or “very few” jobs available in the UAE, and 66 percent stating that their financial situation is either the same or worse than last year.
I guess that increase maybe applicable to the Emaratis and Westerners mostly......as usual.
Its that negativity inbuilt in you that doesn't get you a pay rise. If you are good enough, I am sure you would get as well. And now for the record, I am an India and I received pay rise in 2011. Rather than whining, put an effort to do better, walk an extra mile, put up a smiley face and you will get one as well.
It all depends on which company you are working, And more important in which sector the company is working in,
Hospitality , Airlines , Legal and Retail are the sectors to be in these days ,I got a raise of 30 % salary and 20 % bonus of annual salary this year, And anticipate to get the same next year as well, And, i am not an Arab and or westener,So if there is an oppoutunity , choose wisely where you work, and always be on look out for better oppurtunity, Happy New Year !!!