Youth Salary Dissatisfaction in UAE Grows

Many Young Emiratis Dissatisfied with Salaries: New Challenges in UAE Job Market

The job market in the United Arab Emirates has undergone significant transformation in recent years, particularly concerning the employment of Emirati nationals in the private sector. Although the government has launched several initiatives to engage local talent, recent research indicates that the gap between salary expectations and market opportunities remains a serious issue.

Increasing Dissatisfaction with Private Sector Salaries

A recent survey reveals that more than 70 percent of Emirati nationals are dissatisfied with their current salaries in the private sector. This percentage has significantly increased compared to the previous year when 32 percent of respondents expressed satisfaction. This year, the figure has dropped to 25.76 percent, issuing a serious warning to employers.

Simultaneously, expectations have risen: 43.04 percent of respondents hope for a salary increase of at least 10 percent in the near future. This illustrates that inflation, rising living costs, and increasing demands from new entrants are placing greater pressure on employers.

Employers Cite Unrealistic Expectations and Skill Shortages as Recruitment Barriers

According to the 'Making Emiratisation a Success 2025' study, employers' biggest challenges in hiring Emirati nationals involve unrealistic salary demands (50.48%), talent shortages (28.47%), and lack of technical skills (13.40%). Although these rates have slightly decreased compared to the previous year, the issue remains significant.

The survey indicates most private sector employers continue to offer a salary range between 4,000 and 10,000 dirhams per month, identified by 56 percent of respondents. However, more companies are offering competitive salaries: 31.10 percent are proposing amounts between 10,000 and 20,000 dirhams, while 8.37 percent are in the 20,000 and 30,000 dirham range.

Factors Influencing Employee Satisfaction

Employee retention is mainly influenced by the following factors:

Salary (45.55%)

Job security (42.91%)

Career development opportunities (37.22%)

The survey clearly shows that financial recognition remains a crucial issue, but long-term professional development and stability are increasingly important aspects for workers.

Which Sectors Are Most Popular?

The IT sector is one of the most attractive areas for young Emiratis, confirmed by 28.23 percent of employers. In addition, manufacturing, financial services, and HR and administration are gaining growing interest among applicants.

While the agricultural and trade sectors remain present, they attract job seekers in smaller proportions. Meanwhile, technology-driven and operational roles are continually expanding.

Youth Workforce Dominance and Future Prospects

Over 85 percent of Emiratis employed in the private sector have 0–2 years of experience. The demand for mid-level managers with 3–8 years of experience is also increasing, reaching 52.63 percent this year.

Government efforts, particularly in education, healthcare, and technology, aim to have young Emiratis actively participate in private sector development. As of January, 131,833 UAE nationals are employed in the private sector, compared to 92,000 at the end of 2023—a 43 percent increase within a year.

Conclusion

The transformation of the UAE job market clearly shows the need to balance employees' legitimate expectations with employers' budgetary possibilities. The private sector can remain attractive to Emiratis only by offering long-term competitive wages, flexible working conditions, and genuine career-building opportunities. The future depends on how willing the parties are to adapt and collaborate in creating a more sustainable, equitable job market.

(Source of the article: Ministry of Human Resources and Emiratisation (MoHRE) survey.)