SALARY SURVEY 2009
40 Gulf Business January 25-February 7, 2009
SALARY SURVEY 2009
AN EMPLOYER’S
MARKET The turbulence in the global economy has turned the Gulf’s recruitment sector on its head. Whereas before the region had been seeing steadily rising salaries fuelled by a constant shortage of talent, it is now faced with the opposite situation, as ZARINA KHAN finds out.
C
ompanies in the Gulf have always grappled with a few immovable realities. First, a shortage of qualified professional staff. Second, having to go to great lengths to appeal to and keep said staff. And thirdly, the fact that such lengths will inflate the already artificially overblown market, making it harder and harder for them to draw and retain qualified professionals. It was a vicious cycle that kept recruitment firms in high demand and human resource departments under constant stress. But it seems that that long held reality is going to change. With the economic downturn, the push and pull of human capital has been greatly altered. Whereas before companies had to offer near hardship packages to entice executive and white collar workers to the Gulf, now phones are reportedly ringing off the hook at offices across the region, with job seekers from the Americas, Europe and South and Far East Asia seeking employment in this part of the world. OUT LIKE A LAMB Last year started off fairly well, despite some shudders from abroad. Salaries were still maintaining their high rate of inflation. “During the first half of 2008, the shortage of talent within the UAE meant that many employers continued to pay above average market rate salaries to retain candidates,” said Christo Daniels, Manager of iQ selection, Dubai.
January 25-February 7, 2009 Gulf Business 41
SALARY SURVEY 2009 Average Monthly Salary in US$ for an Arab National Employee in the Gulf CEO/MD with sales $50 million+ CEO/MD with sales $10-15 million CEO/MD with sales $1-10 million General Manager – Multinational Company General Manager – Local Company Head of Human Resources Head of Information Technology Head of Sales/Marketing – Multinational Company Head of Sales/Marketing – Local Company Hotel General Manager Accountant Sales Manager Business Development Manager Real Estate Manager Banking – Head of Operations Banking – Branch Manager Banking – Treasury Manager Banking – Retail/Personal Banking Manager Media – Advertising Creative Director Media – Public Relations Director Media – Publishing Editor Construction Project Manager/Chief Engineer Executive Secretary/PA
Bahrain 38,000 36,000 28,000 12,000 13,000 17,000 15,500 12,000 14,000 12,000 4,500 8,000 13,500 11,000 10,000 7,000 13,000 10,000 8,000 8,000 9,000 11,000 2,800
KSA 43,000 40,000 31,000 14,000 14,000 19,000 17,000 14,000 16,000 14000 7,000 10,000 15,000 13,000 15,000 12,000 18,000 15,000 10,000 9,500 11,000 18,000 3,500
Kuwait 35,000 38,000 25,000 11,000 12,000 15,000 14,000 9,000 11,000 11000 5,000 7,000 12,000 10,000 12,500 10,000 15,000 12,500 7,000 7,000 8,000 12,000 2,600
UAE 40,500 35,100 27,000 13,500 15,000 18,900 16,200 11,000 12,000 13500 6,000 9,450 14,850 12,150 10,000 7,000 13,000 10,000 10,800 10,800 11,000 15,000 5,700
Oman 38,000 36,000 28,000 12,000 13,000 17,000 15,500 12,000 14,000 12000 4,500 8,000 13,500 11,000 10,000 7,000 13,000 10,000 8,000 8,000 9,000 14,000 2,800
Qatar 45,000 43,000 33,000 15,000 17,000 20,000 18,000 15,000 17,000 15000 8,000 11,000 16,000 14,000 10,000 7,000 13,000 10,000 9,000 9,000 10,000 17,000 7,000
Benefits like Medical, Insurance, etc are additional to the indicated packages
A few sectors in particular were rising on the back of the continued investment and expansion optimism that has been fuelling the Gulf boom. “For the first three quarters of 2008 we saw a continued rise in salaries in the UAE. Two of the largest growing sectors were legal and accountancy, both of which saw an influx of new firms in addition to
expansion of existing companies… This led to a typical undersupply/over demand situation with firms having to pay salaries which are competitive with international rates,” said Ian Giulianotti, Associate Director of Human Resource Management at NADIA. The region’s growing child – its construction sector – held the lead in terms of growth
and valuation as more and more projects were competing for investor attention. “The construction industry continued to lead the field in salary increases, in some cases rises of 30 per cent not being uncommon at the midmanagement level. We also saw an influx of construction personnel from overseas, especially Australia and South Africa. Finance and
KING MAKING
P
eter Felix, President, Association of Executive Search Consultants (AESC), talks about attitudes at the highest level in the Gulf job market. How do you think the renewed interest in placement in the Gulf can affect the region’s existing employment atmosphere? Competition for senior roles will boost professionalism in the region, and companies that view the downturn as an opportunity to invest in people will reap long-term rewards. Retaining a credible, autonomous search partner to craft a talent management strategy would be a pragmatic move during this time. AESC’s CorporateConnect explains how to work with search firms and can help to refer
42 Gulf Business January 25-February 7, 2009
qualified firms to companies that have yet to establish relationships. As top talent floods the region, quality of life will continue to rise, with educational institutions, infrastructure, and cultural development filling any current gaps.
Peter Felix, President, Association of Executive Search Consultants (AESC).
In what ways do the Western executives fleeing the American and European recession to the Gulf have an edge, and in what ways are they disadvantaged? Traditionally Western expatriates, especially Britishers, have found a warm welcome in the Gulf. But with the rise of local and regional talent and geopolitical trends of the last few years, Gulf ties to Asia have strengthened and some Westerners in the GCC and northern Africa are finding themselves culturally
SALARY SURVEY 2009 Average Monthly Salary in US$ for an Arab Expatriate Employee in the Gulf CEO/MD with sales $50 million+ CEO/MD with sales $10-15 million CEO/MD with sales $1-10 million General Manager – Multinational Company General Manager – Local Company Head of Human Resources Head of Information Technology Head of Sales/Marketing – Multinational Company Head of Sales/Marketing – Local Company Hotel General Manager Accountant Sales Manager Business Development Manager Real Estate Manager Banking – Head of Operations Banking – Branch Manager Banking – Treasury Manager Banking – Retail/Personal Banking Manager Media – Advertising Creative Director Media – Public Relations Director Media – Publishing Editor Construction Project Manager/Chief Engineer Executive Secretary/PA
Bahrain 31,548 27,201 20,798 14,488 12,141 11,428 10,934 11,641 11,060 8,393 5,388 7,744 11,038 9,819 15,005 7,631 11,150 7,675 7,600 7,140 6,806 12,688 3,838
KSA 40,125 35,250 25,000 18,075 14,913 15,400 12,750 14,625 15,050 10,830 8,325 10,900 14,050 12,400 19,268 11,550 14,925 10,950 11,475 10,900 9,925 17,275 4,463
Kuwait 32,825 32,525 20,925 14,850 14,775 11,750 11,825 16,550 10,250 9,100 6,750 7,675 10,825 9,750 18,285 9,725 14,250 10,325 8,500 7,925 7,850 13,050 3,738
UAE 37,550 32,025 23,500 19,725 17,675 14,400 15,550 13,625 12,495 10,313 8,325 10,400 14,050 11,900 13,855 10,475 12,700 11,300 9,750 8,600 8,525 14,050 5,475
Oman 34,250 30,375 21,200 14,488 13,550 11,888 11,175 11,613 10,888 8,450 5,388 7,600 11,250 10,250 14,405 8,175 11,550 8,113 7,600 7,025 6,663 12,188 3,550
Qatar 38,325 33,548 24,275 17,500 14,550 14,750 14,975 14,550 13,825 11,100 8,250 10,825 14,475 12,325 15,355 9,750 12,550 10,625 9,250 8,100 8,025 15,050 5,088
Benefits like Medical, Insurance, etc are additional to the indicated packages
banking were also facing shortages of talent, especially in areas of investment banking where expertise in sophisticated products and an increase in public awareness of opportunities in the local stock markets led to a particularly high demand for anyone with expertise in these areas,” Giulianotti added. Tied to that, early 2008 saw more demand
limited. This is less the case in the UAE, which has only a 4 per cent indigenous population, whereas there is more pressure to hire locals in, say, Qatar. In a recent study, AESC noted that initiative, entrepreneurialism, and strategic vision were imperative for those running operations in the GCC. An expected but disappointing observation of the survey was that women and ethnic or social minorities find it much more difficult to advance here than those in the majority. Gender, geography, and ethnicity notwithstanding, companies are looking for proven experience and talent bright enough to attract other talent, and often Westerners exhibit the entrepreneurial spirit necessary to drive growth in a young market.
in the real estate and wealth management sectors to deal with the sale and handling of the Gulf ’s growing assets. “Anyone [in sales] prepared to work on commissionbased remuneration was able to find a job in hours,” the NADIA official revealed. The luxury retail industry was also growing, attracting staff from Europe and other developed markets compared with the usual recruitment from the developing world. But by the second half things began to slow down and by the third quarter of 2008 it was evident that whatever was playing out in the US, Europe and Greater Asia, would have noticeable impacts in the Gulf. The shift in the Middle East’s hiring market began with the economic downturn abroad in the last quarter of 2008, when the first dominos of the Western corporate world lost their balance. “During the fourth quarter of 2008, hiring activity slowed as the global economic turmoil translated into a lack of confidence across most sectors within the UAE. Reduced hiring volumes created less competition between businesses to attract staff and, in turn, this eased some of the pressure on employers to pay inflated salaries. Basic salaries remain inflated in some areas which require niche technical skills, however, these are expected to stabilise during 2009,” Daniels said.
The executive level was particularly affected by the economic downturn; a report from the Association of Executive Search Consultants showed a drop in recruitment by 6 per cent in the third quarter of 2008, with a 3 per cent increase in year-on-year industry revenue growth. IN LIKE A LION It is no surprise then that the realities on the ground in 2009 are markedly different than previous years. What was boom is bust and what was stagnant is booming, recruitment insiders say. “The sectors which have been the most affected by a slowdown in hiring activity as a result of the global economic crisis are financial services, real estate and engineering. The least affected sectors include information technology, telecommunications, administration, sales, healthcare and FMCG [fast moving consumer goods] where hiring remains steady,” Daniels revealed. And while the Gulf suffered from its own small-scale contractions set off by the wider economic meltdown, it found the situation complicated by the influx of would-be workers to the region. In the US, since recession kicked off in December 2007, there have been 2.6 million jobs lost, of which 693,000 jobs were lost in December 2008 January 25-February 7, 2009 Gulf Business 43
SALARY SURVEY 2009 Average Monthly Salary in US$ for an Asian Expatriate Employee in the Gulf CEO/MD with sales $50 million+ CEO/MD with sales $10-15 million CEO/MD with sales $1-10 million General Manager – Multinational Company General Manager – Local Company Head of Human Resources Head of Information Technology Head of Sales/Marketing – Multinational Company Head of Sales/Marketing – Local Company Hotel General Manager Accountant Sales Manager Business Development Manager Real Estate Manager Banking – Head of Operations Banking – Branch Manager Banking – Treasury Manager Banking – Retail/Personal Banking Manager Media – Advertising Creative Director Media – Public Relations Director Media – Publishing Editor Construction Project Manager/Chief Engineer Executive Secretary/PA
Bahrain 29,725 25,925 19,550 12,050 11,113 10,813 9,525 10,325 9,600 7,163 3,900 5,163 8,025 8,388 9,859 10,350 12,317 9,917 6,525 5,950 5,838 8,738 2,300
KSA 36,250 32,450 23,425 15,638 12,188 13,250 11,675 12,188 11,750 8,163 4,663 5,875 10,963 9,963 13,840 13,800 16,988 14,300 8,388 8,388 6,875 10,600 2,638
Kuwait 32,250 32,313 19,488 13,563 11,188 10,963 9,600 9,400 8,675 7,525 3,950 4,663 8,100 7,888 11,850 12,075 14,588 12,683 7,100 6,813 5,875 9,100 2,438
UAE 35,613 31,813 22,425 16,425 13,763 12,750 12,463 12,550 11,900 8,488 4,950 5,950 10,250 9,175 10,492 11,500 12,892 10,492 8,675 7,813 7,163 10,388 4,081
Oman 30,875 26,788 20,413 12,913 11,688 11,388 10,100 10,613 10,463 7,738 3,900 5,163 9,175 8,675 10,175 10,925 12,892 10,204 7,100 6,525 5,838 8,525 2,588
Qatar 34,375 30,288 22,913 14,413 13,590 12,600 11,313 12,400 12,250 9,238 5,450 6,663 11,675 10,175 10,175 10,925 12,892 10,204 7,600 7,025 6,338 10,025 3,438
Benefits like Medical, Insurance, etc are additional to the indicated packages
alone. Europe, particularly the UK, Iceland and Germany, has also suffered massively. Already the UK is expecting this year to bring a further 600,000 people into the unemployed category, taking the number to 2.8 million. A good proportion of those new pink-slip holders are looking to the relatively calm economic waters of the Gulf to keep them buoyed. “Obviously there is a flight from some sectors of financial services – investment banking and leveraged finance are caught in the global tsunami, and there are signs of some softening in technology. Asset management and risk are emerging as winners,” said Peter Felix, President, Association of Executive Search Consultants (AESC). Recruitment firms are already finding one half of their job – handling expressions of interest from would-be employees – becoming far more lively. “There has been an increased number of international candidates, particularly from Europe and the US, relocating to the UAE and this has contributed to a significant shift in the supply and demand of candidates across many sectors within the region. This shift within the recruitment market means employers now have a much wider pool of talent to choose from and so they can 44 Gulf Business January 25-February 7, 2009
be more demanding when it comes to the levels of skills and experience they require,” Daniels of iQ selection said. That situation is being mirrored across the placement industry with professionals of every sector clamouring to work in the Gulf. “At NADIA over the last quarter we have seen a 50 per cent increase in the number of applicants. The majority of these have been from overseas candidates,” Giulianotti said. And, he added, the job seekers are not just calmly exploring their options. They are determined to come over and are forgoing the traditional cushy packages that are part-and-parcel of many professional placements in the Gulf. “We have seen a dramatic shift in the attitude of candidates. Previously they would demand substantial increases in remuneration, usually around 30 to 50 per cent, before considering changing employers. Now the candidates are
Reduced demand and an influx of talent coming onto the market means it is less likely employers will offer above market rate basic salaries.
more focused on stability, promotion opportunities and job security. From the employers’ point of view we see that they are more demanding both in terms of quality of candidate and remuneration levels,” the NADIA official said. ON THE REBOUND But it is the other half of the job placement industry – pairing the applicants with vacancies – that is becoming more difficult. Vacancies are harder to come by within the Middle East and even existing jobs are vanishing. While professionals and executives from the countries shuddering under the weight of layoffs and corporate collapses appeal to the Gulf’s economic strength, the region has its own internal pangs. Small-scale layoffs have been announced in the real estate sector. Mega developer Nakheel announced in November it would cut 500 jobs while the Damac Group said it would cut 200 positions. While the numbers seem insignificant in the face of the layoffs seen elsewhere, observers worry that they could be the beginning of a wave. A report in the local media last month quoted Khalfan Al Kaabi, a member of the board of directors at Abu Dhabi Chamber of Commerce, as saying up to 45 per cent of construction workforce could
SALARY SURVEY 2009 Average Monthly Salary in US$ for a western Expatriate Employee in the Gulf CEO/MD with sales $50 million+ CEO/MD with sales $10-15 million CEO/MD with sales $1-10 million General Manager – Multinational Company General Manager – Local Company Head of Human Resources Head of Information Technology Head of Sales/Marketing – Multinational Company Head of Sales/Marketing – Local Company Hotel General Manager Accountant Sales Manager Business Development Manager Real Estate Manager Banking – Head of Operations Banking – Branch Manager Banking – Treasury Manager Banking – Retail/Personal Banking Manager Media – Advertising Creative Director Media – Public Relations Director Media – Publishing Editor Construction Project Manager/Chief Engineer Executive Secretary/PA
Bahrain 31,800 28,500 21,625 13,723 12,641 13,175 11,888 12,400 11,675 9,525 6,675 8,100 12,000 10,175 13,007 13,800 16,242 12,604 7,813 8,100 8,025 12,900 3,625
KSA 39,475 36,250 27,150 18,230 15,125 16,475 15,188 14,550 14,544 12,106 9,613 10,538 14,906 12,325 17,613 17,250 20,963 17,325 11,975 11,400 11,144 18,850 4,088
Kuwait 33,750 34,100 23,575 15,350 14,125 15,050 13,400 11,475 11,900 10,750 8,325 8,175 12,688 10,250 16,258 17,250 19,625 15,971 10,725 9,575 8,963 15,275 3,838
UAE 39,700 35,400 25,725 19,110 15,625 14,900 15,225 14,025 12,688 11,713 9,600 10,900 15,375 12,400 14,904 17,250 17,967 14,617 11,975 11,975 11,325 17,925 5,863
Oman 32,375 28,788 22,200 14,125 12,900 13,463 12,425 12,688 11,675 9,813 6,675 8,388 12,575 10,175 13,007 13,800 16,817 12,892 8,100 8,388 8,313 13,188 3,650
Qatar 36,450 32,075 25,275 16,200 14,975 15,250 13,675 14,475 13,750 11,600 9,250 10,175 14,113 12,250 13,323 14,375 17,392 13,467 8,888 9,175 9,100 14,975 5,588
Benefits like Medical, Insurance, etc are additional to the indicated packages
be laid off if private sector projects in the UAE are delayed or cancelled. “There is no shortage of talent as far as I am aware, however, a lot of employers are laying off staff. If anything, there is an over-supply of people at the moment... There has been a substantial increase in applications especially in the finance and banking sector, as well as the construction sector,” said Noha El Shazly, UAE Managing Partner of GulfBankers. OUT OF POCKET And it is that new reality – high demand of jobs from qualified and slightly desperate aspirants matched against limited availability – that is having the most radical impact on the Gulf’s job market. “When there is a shift in supply and demand, where there are more candidates than jobs, it is inevitable that salaries will be affected. The reduced demand and an influx of talent coming onto the market means it is less likely that employers will offer above market rate basic salaries to attract staff,” Daniels said. In other words, the Gulf ’s constantly rising pay scale graph may finally come down a notch. Already companies that have vacancies say they are enjoying the unusual benefit of choice – with a range of qualified applicants applying for the job. “Salaries are
not expected to decrease but we will not be seeing noticeable increases within salaries during 2009,” El Shazly said. Soon employers will also enjoy the benefit of desperation – those who have limited-tono job prospects back home may be willing to take salaries and benefits far below previous expectations, just to have a job and get out of the storm raging in the Americas, Europe and the Far East. “I would predict that, unlike the last three years where cost of living and staff retention have been major influences on annual salary reviews, leading to double digit rises, this year the majority of pay rises will be under 5 per cent. In some cases, people may be asked to accept reductions in salary to ensure continued employment… Employers will no doubt be reluctant to bear the expense or face the uncertainty of employing candidates from overseas,” said Giulianotti. “With restraints on finance, the biggest expense will continue to be rents. As supply catches up with demand, it may be that we will see some relief in the form of more choice in the market place, although I would not predict any major reduction in rental rate unless the current economic situation becomes a long-term factor,” he added.
And even recruitment agencies will not be safe from the undercutting and oversupply the market is beginning to witness. “As the demand for talent slows, the competition between recruitment consultancies for the available jobs will increase. To succeed, it will be crucial for recruiters to focus on providing the most collaborative, professional service and consulting advice to candidates and employers,” Daniels said, offering a peek into how even his sector is being affected by the new global economic paradigm. GulfBanker expected a similar level of intensity in its sector, with El Shazly saying: “Recruitment agencies in the Gulf are likely to face sharp reductions for their businesses. In my opinion there are far too many agencies already. There will always be demand and jobs to be filled, but the demand will be inclined towards the middle management and senior management roles for critical positions.” CAPTAIN, O CAPTAIN? One of the biggest changes in who is applying for work in the Gulf and how much they are willing to be paid comes at the higher end of the professional spectrum. Despite the constrictions abroad, Felix explained that: “Companies committed to this region January 25-February 7, 2009 Gulf Business 45
SALARY SURVEY 2009 RIDING THE WAVE
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ith the ongoing fluctuations in the topsy-turvy global economy and regional markets, it is going to be hard for any professional or company to keep their footing. BAC Middle East Recruitment Manager Siobhan O’Reilly shares her insight on what to do and where to focus attention to keep from falling off the log. The Gulf is always said to suffer from a talent shortage. Has this been assuaged by the changing economic situation outside the Gulf region? There has been a softening in the recruitment market, which has reduced the level of candidate shortages. There are an increased number of highly motivated candidates in the market and this has a major effect on the balance of power in the market between candidates and clients. However, it should be noted highly skilled candidates with good regional experience will still be in demand. Visa regulations in the region mean that even in the case of redundancies there is normally a fairly small window of opportunity to recruit such candidates. In the longer term, there is not going to be an ongoing large pool of locally available expatriate talent. What challenges is the recruitment industry likely to face in 2009? As companies examine their hiring plans, the emphasis is likely to shift heavily to quality of service and staff. Companies will
seem prepared to honour their long-term commitments and senior executive hiring continues.” But while previously securing the right executive for the big office took a lot of footwork and wrangling, recruitment officials say the situation now is like shooting fish in a barrel – relatively speaking. “More senior executives, especially those based in London and New York, are willing to entertain conversations about relocating here. Increasingly the quality of opportunities in Dubai, Abu Dhabi, and the rest of the GCC are as compelling as those in mature markets. BlueSteps.com, AESC’s career management service, has benefited from an influx of interest in the emerging markets,” he said. 46 Gulf Business January 25-February 7, 2009
market, employers are now in a much stronger position. Our recent client survey was revealing on this issue: almost 90 per cent of those surveyed believe that the recruitment market will become more client-focused this year.
Siobhan O’Reilly, Recruitment Manager, BAC Middle East. take more time over hiring decisions in order to ensure they are hiring the best possible candidate for the position. Do you expect the demand for recruitment agencies to increase this year in the face of global layoffs and collapse of industries? Making the right hiring decisions is going to become even more important if the market is tougher. Those agencies that provide quality service and source the best candidates will continue to do well. Well-established firms with a strong local presence and proven market knowledge will be in the best position to meet these needs. Who do you think stands to gain most from the new economic reality in 2009 – employees, employers, or recruitment firms? After several years of a candidate-oriented
FINDING BALANCE The trick then, for 2009, is for the Gulf to make the most of the wealth of qualified talent seeking work in the region without losing the very things that make a move appealing – comfortable salaries and job security. “As the global talent war negotiates a shift from resource to knowledge-driven economics, companies and countries are finding it imperative to compete. Visa restrictions, taxes, infrastructure, cultural and educational opportunities, as well as protectionist attitudes are all components of a country’s employment value proposition, and it is refreshing to see
What sort of shifts are you seeing in the Gulf comparatively – are salaries equalising or is there a growing disparity? This is a complex issue due to different living costs, as well as taxation levels in various countries. We do not anticipate a growing disparity in real salary levels due to the international mobility of skilled professionals in the modern world economy. The main question concerning absolute salary levels is whether the cost of living increases of recent years will continue or abate in 2009. There have been layoffs in the Gulf as well. Is the presence of available ‘local talent’, compared with the usual need to recruit from abroad, going to have any impact on hiring? Recruiting locally available talent is the preferred option for many companies as it is often more expensive and uncertain to relocate staff from overseas. Locally sourced staff with regional experience can usually ‘hit the ground running’ and can draw upon existing knowledge and contacts. The increased number of candidates available within the region will make it harder for overseas candidates without highly desirable skill sets to obtain expatriate postings.
recognition of this from those governing the country,” Felix said. RISES AND FALLS The Gulf Business Annual Salary Survey turned up some interesting results this year compared with data from last year. There have been many changes in pay rates, but no absolute upward revision across all professions and countries. The percentage of change varied from as high as 100 per cent for an Arab National Head of Human Resources in Qatar to minus 50 per cent for an Arab National accountant in Kuwait. Executive-level jobs had the single noticeable spike. In each of the four demographic
SALARY SURVEY 2009 HOT AND COLD
T
he new year is bringing some major changes in the Gulf’s job market with new hot sectors and the cooling off of many more. Ian Guilianotti, Associate Director of Human Resource Management, NADIA, discusses the trends.
5. Construction industry professionals. There are still enough ongoing construction projects to ensure continued skills shortage in this area for at least another two years. And which professionals will be out in the cold? 1. Property sales people 2. Wealth management advisors 3. Retail investment bankers 4. Property developers 5. Executive search consultants
What will be hot in the employment market over the next 12 months? 1. Islamic Finance. The current world economic situation will ensure that this already burgeoning sector of finance will continue to gain prominence in the employment market. A lack of available skill will further enhance the prospects of any candidate with relevant qualifications and experience. 2. Legal processionals. If the economy picks up they will benefit from the requirements for legal advice. Likewise, if the economy continues its downturn, they will benefit from the increase in disputes and arbitration.
Ian Giulianotti, Associate Director of Human Resource Management at NADIA.
3. Accountancy professionals. They are in the same boat as legal professionals
4. Consultants and freelancers. Companies in the short term may be reluctant to add to their headcount but will be prepared to engage people on a project, casual or short-term basis. This area will be an attractive short-term solution for people who unexpectedly find themselves unemployed.
groups, raises were noticed for chief executive officers. For Arab Expatriate CEO/MDs with sales of more than $50 million in Bahrain the increase was 24 per cent; Saudi Arabia 14 per cent; Kuwait 5 per cent; UAE 10 per cent; and Qatar 23 per cent (all figures rounded down). For those of Western origins, the increase was 32 per cent in Bahrain; 19 per cent in Saudi; 12 per cent in Kuwait; 10 per cent in UAE, 29 per cent in Oman; and 40 per cent in Qatar. Those from Asia saw a 29 per
cent increase in Bahrain, 20 per cent increase in Saudi; 7 per cent increase in Kuwait; 13 per cent increase in UAE; 23 per cent increase in Oman; and 37 per cent increase in Qatar. For Western expats the profession with the highest upward revision was Head of Human Resources in Qatar, which had a 52.5 per cent increase from last year’s figure. The single biggest drop for that demographic group was for a Western expat Accountant in Kuwait, which was minus 24.32 per cent.
2009 ANNUAL SALARY SURVEY RESPONDENTS BAC Middle East PO Box 8743, Dubai, UAE Tel: +9714 337547 Fax: +9714 3376467 www.bacme.com iQ Selection 901/902 Park Place Sheikh Zayed Road PO Box 118468,
Dubai, UAE Tel: +9714 329 7770 Fax: +9714 3297771 www.iQselection.com
Association of Executive Search Consultants Tel: +1 212 398 9556 x234 www.aesc.org
GulfBankers PO Box 31372, Dubai UAE Tel: +9714 3321716 Fax: +9714 3321929 www.gulfbankers.com
NADIA Recruitment, Training and Management Consultants Tel: +9714 3313401 or 800 6236 (toll free) www.nadia-me.com
Who stands to gain the most in the new economic realities of 2009? Undoubtedly we will see a return to the basics of Maslow’s hierarchy of needs in the employment market in 2009. Employees will put more emphasis on security, stability and continuity and less on job satisfaction, recognition and promotion prospects. Employers will be more demanding in terms of results and performance and will look to ensure costs are kept below budget levels.
Among Asian expats the largest increase was seen for a Head of Human Resources in Qatar, which rose 57.5 per cent, while accountants in Bahrain and Oman saw a drop of 35 per cent in their salaries. Among Arab Expats working in the Gulf, the profession that had the biggest salary revision was Head of Human Resources in Bahrain, which increased 48.41 per cent. Accountants working in Bahrain and Oman shared a downward revision of minus approximately 36 per cent. There was a definite trend in salaries within countries, however, with Qatar having the highest upward revision in all demographic groups and Kuwait having the lowest. Overall, the country with the highest average increase for the Western expat group was Qatar, with a 21.57 per cent increase in salaries and the highest percentage decrease was in Kuwait, with minus 1.70 per cent. Among Arab expats, the biggest increase in salaries was again in Qatar, with an average 9.76 per cent and Kuwait again dropped the most at minus 4.64 per cent. Among Asian expats the highest increase was in Qatar with 21.19 per cent and Kuwait fared the worst at minus 0.28 per cent. January 25-February 7, 2009 Gulf Business 47