New insights for UAE job seekers: Top sectors offering salary hikes in 2025

Dubai: The UAE labour market is set for significant transformation this year, with a rising demand for top-tier professionals in the construction, banking, and technology sectors. According to a survey in Hays’ GCC Salary Guide 2025, 30 per cent of employers have expressed willingness to provide salary increases ranging from 2.5 to 5 per cent.

Additionally, 5 per cent of employers anticipate offering raises exceeding 20 per cent to retain staff. The survey, conducted by the Middle East division of recruitment giants Hays, studied nearly 2,000 employers and working professionals across the Gulf region.

Hiring boom

The report shows hiring rates are set to gain further momentum (compared to 2024) across the Middle East to meet economic demand. Both employers and professionals are seeking change, said Oliver Kowalski, Manager Director at Hays Middle East.

Employers are looking to hire skilled professionals to overcome skill shortages and meet key business initiatives, while professionals are looking for new and rewarding opportunities.

“Despite the wider economic climate, the Gulf region continues to experience tremendous economic growth – thanks to continuous investment, digital transformation, and new emerging technologies,” said Kowalski.

“Now more than ever, professionals have the chance to embrace change. New roles are entering the job market, giving people opportunities to enhance their skill sets and leverage new career prospects,” he added.

Hiring outlook for 2025

In 2025, hiring surges are expected to continue, with a large proportion of employers set to recruit employees on a permanent (78 per cent), temporary, contract, or freelance basis (21 per cent). Only 14 percent of employers have no recruitment plans.

From an employee’s perspective, 67 per cent of professionals in the Gulf region plan to change organisations this year, and 78 per cent are expecting a salary increase. About 77 per cent of employers say they expect salaries or rates of pay within their organisation to increase, most commonly between 2.5 per cent and 5 per cent.

Top sectors hiring in 2025

The banking and financial services sector holds significant importance across the Gulf region, ready the report. “As a hub for investors and opportunities for significant growth, the region has received momentous investment in recent years. As a result, a vast workforce of skilled professionals is needed. Professionals who can drive key business initiatives and contribute to the success of the organisations they operate” read the report.

Moreover, the Gulf’s construction sector is also thriving. The UAE continues to attract overseas talent due to the allure of tax-free salaries and opportunities to work in a prosperous market. With more emerging projects, organisations seek top talent to join their teams.

The technology sector is also a top recruiter. With constant technological advancements, organisations are pressured to meet commercial demands. “There is an increasing need for teams to innovate to stay ahead of the curve and, most importantly, stay relevant,” the report read.

2024 hiring activity

Last year, hiring activities gained vast momentum, with 68 per cent of organisations citing headcount increases compared to 62 per cent in 2023. Despite this, 86 per cent of organisations said they still faced skill shortages, leading to further predicted hiring surges in 2025. Last year, 71 per cent of employers reported salary and pay rate increases within their organisations, with the most common increases ranging between 2.5 and 5 per cent.

However, when professionals were asked if they had received a salary increase in 2024, just 51 per cent agreed, a slight decrease from the 54 per cent recorded the previous year. Interestingly, 35 per cent of the surveyed employers also offered their staff flexible working options.