It’s not good news, we’re afraid. According to a new salary forecast we won’t be getting any pay rises in 2016, or at least most of us won’t be…
According to the Morgan McKinley 2016 UAE salary guide, workers in the region will most likely not see their wages change. So no pay rises and no bonuses with companies allegedly focusing on a “difficult year” ahead.
The Salary Survey for 2016, provides insight into salary trends in key sectors for the UAE. The sectors include Banking & Financial Services, Accountancy & Finance, Risk Compliance, Supply Chain, Manufacturing, Sales & Marketing, HR, Construction, Oil & Gas, Metal & Mining, Power and UAE Nationals.
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Based on extensive data, the guide summarises expectations for gross salaries and recruitment trends for the coming year, and it’s not looking too good.
Trefor Murphy, managing director at Morgan McKinley UAE said: “Undoubtedly, the year ahead will be difficult for the UAE.” He added that of the outlook for 2016 “[it’s] highly uncertain, some doom and gloom is starting to creep into market sentiment.”
“We expect salaries to remain broadly flat during the coming year, with workers more concerned about remaining employed than pushing for substantial pay increases,” he said.
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Worryingly, at the end of 2015 our career options seemed rosy, with Trefor admitting 2016 initially seemed like a fruitful year.
“Until the very end of 2015 we were looking forward to a bumper year in 2016,” he said. “in terms of both the creation of new headcount and salary growth. We have now lowered our expectations, however, and expect salary growth to drop below current levels or to remain flat for the year ahead. We are predicting that for the full year of 2016 that salaries could drop to as low at two per cent or three per cent below certain levels or remain relatively flat depend on commodity prices.”
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However, before you start to panic, according to a survey at Korn Ferry Hay Group only 15 per cent of companies in the UAE are planning to implement some layoffs this year. Meanwhile bayt.com claim 39 per cent of companies in the UAE are “definitely hiring”. So, not 100 per cent doom and gloom …
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