UAE job market sees increase in entry-level roles but decline in white-collar hiring: Report

UAE's job market looks 'promising' in 2025 despite a decline in white-collar hires last year. Availability of blue-collar positions surged by 69 per cent in 2024, marking a substantial increase in opportunities within this sector, according to a report.

The study by the Innovations Group, one of the UAE's largest HR and staffing solutions providers, also revealed a decline in white-collar hires, which dropped by 21 per cent last year. This suggests a decline in recruitment activity or possible hiring challenges despite a broader range of job roles and categories.

In an interview to Khaleej Times, Nikhil Nanda, Director, Innovations Group, said, “As we look ahead, the UAE’s job market looks promising, driven by a few notable trends for 2025. The rise in the establishment of new businesses in the country has led to a surge in entry-level roles such as receptionist, front office staff, and warehouse associates.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

"If we look at the role of sales executives, they continue to dominate entry-level positions due to their crucial role in driving new business growth. The growing demand for entry-level roles reflects the UAE's economic momentum, with a high demand for foundational support roles from businesses.”

Blue-collar jobs on the rise

Nanda explained the rise in blue-collar jobs can be attributed to ongoing mega residential and commercial infrastructure projects.

“The high demand for construction workers due to off-plan residential construction has been driven by record-high off-plan residential sales, which has driven construction activity to peak levels. Moreover, increased operational and maintenance (O&M) activities due to geopolitical instability in the Middle East have led to the redirection of cargo traffic through UAE ports, creating additional roles in the logistics and port management sectors.”

He highlighted that the decline in white-collar jobs had mainly been due to the ‘centralisation’ of support functions to global hubs away from the UAE. “Sales and business development positions are still in demand; however, hiring the right talent for these roles remains a persistent challenge.”

Field experts also emphasised as industries evolve, the country is likely to see increased demand for roles that involve physical labour.

Kenny Wang, senior recruiter, Genie Recruitment, concurred, “As the UAE shifts away from its reliance on oil and gas, the country is actively diversifying its economy, with a strong focus on mega infrastructure projects. These large-scale developments have led to a surge in blue-collar job opportunities. The proven success of many construction projects — known for their reliability and timely completion -- has further boosted investor confidence, encouraging more foreign and local investments in the sector.”

Temporary slump in white-collar jobs

However, recruiters reiterated that the decline in white-collar opportunities is “minimal and temporary” and particularly stems from companies automating processes, embracing AI and streamlining operations to cut costs and become more efficient.

• UAE: Job market stays stagnant as non-oil sector grows fastest in 9 months