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Nearly half of UAE employers say expats flocking to country without jobs in hand

Unemployed expats are willing to take large pay cuts to secure a role as plenty of talent is available in the market

Nearly half – 49 per cent – of UAE employers say that many expatriates flocking to the UAE are immigrating without a job in hand, according to a new study released by recruitment firm Robert Half on Tuesday.

Many people used to come to the UAE on a visit visa – usually a three-month visa – in search of greener pastures in the Emirates. Those who were lucky and landed a job were issued an employment visa, but those who couldn’t find a job returned to their home countries or accepted jobs with lower pay.

In October 2022, the UAE announced a job exploration visa, among other entry permits, to allow people to scout for jobs in the country as the economy grew at an exceptional pace, creating jobs across diverse sectors.

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“The UAE has a lot to offer candidates with good weather, tax-free earnings, and a multicultural lifestyle, which is bringing a lot of expats over in the expectation that they will be able to find a job easily when they arrive,” said Gareth El Mettouri, director for the Middle East at Robert Half.

Taking larger pay cut

The global recruitment consultancy said that the availability of expat workers is making it easier for UAE employers to hire, with half – 52 percent – saying that they are now receiving more job applications per role than they were 12 months ago.

With the hiring market firmly on the side of businesses, leaders are reaping the rewards of the expat deluge. Two in five – 43 percent – employers said it is taking less time to get candidates into a role because they are immediately available, while one-third of employers reported that unemployed expats are willing to take large pay cuts to secure a role.

Due to the influx of a large number of expats, Gareth El Mettouri said that “competition for jobs is fierce, and many are having to settle for lower salaries or take the first role offered to them to stay, putting businesses in a strong position.”

Talent is plenty, but…

The study noted that employers in the UAE are finding it easier to hire as expats flood into the UAE, but many are still finding it challenging to hire talent with the skills they need.

According to global recruitment firm Robert Half, around 71 per cent of UAE hiring managers agree that it has become easier to attract workers to the organisation over the past 12 months, partly due to a notable influx of expats coming to the UAE over the past year, with half of them claiming that many expats are immigrating without having a job secured.

The UAE has seen a massive influx of foreign workers in the past three-and-a-half years, thanks to the massive macroeconomic growth the country witnessed across different sectors. This was reflected in Dubai’s population, which rose by nearly 300,000 from 3.4 million on January 1, 2021, to 3.7 million on June 25, 2024, mainly driven by people coming to UAE in search of greener pastures.

Employers searching

However, having more expat workers in the country does not necessarily mean that employers are finding talent with the skills they need.

According to the global recruitment firm Robert Half, around 71 percent of UAE hiring managers agree that it has become easier to attract workers to their organisations over the past 12 months, partly due to a notable influx of expats coming to the UAE during this period, with half of them claiming that many expats are immigrating without having a secured job.

“Many organisations are still struggling to find the skills they need to succeed in the current economy. Highly skilled talent – particularly with experience in the UAE market – can command higher salaries, and many businesses are opting for the cheaper option only to end up back where they started when their new hires do not work out. It is important that business leaders weigh up the importance of the skills they need against the cost, or they could find their growth impeded by a lack of talent,” said El Mettouri.

72% employer to hire

Robert Half's study further revealed that nearly three-quarters – 72 percent – of UAE employers plan to make new hires in the next six months. The strong UAE economy is supporting business growth, with half citing this as the main reason they are looking to hire new team members. Around 30 percent of employers are looking to fill vacant roles or relieve understaffing that is preventing the business from achieving its goals.

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