UAE job market grows 1.25% in Q1 2025 as employers prioritise skills and strategy
KHALED AL KHAWALDEH (ABU DHABI)The UAE recorded a 1.25% rise in job opportunities during the first quarter of 2025, according to the Cooper Fitch Q1 2025 Employment Index, marking a steady start to the year in an evolving employment landscape shaped by digital transformation, policy changes and sectoral investment.Though marginal, the global recruitment firm says this increase reflects UAE employers' cautious optimism despite a slowdown in the global job market.The report said that firms are targeting strategic recruitment and internal efficiency, especially in sectors such as oil and gas, healthcare and technology.The growth is underpinned by the strengthening of the UAE's non-oil economy, with sectors such as trade, real estate and technology seeing stable recruitment demand."Early signals suggest that some traditionally high-growth sectors may be approaching a new maturity phase as the focus shifts from expansion to efficiency. These patterns raise timely questions about how the region's labour market is evolving," the report said.One of the stand-out areas was the increase in hiring for AI and digital jobs – growing 3% across the GCC in the first quarter of the year.According to Fitch, the region as a whole ranked above the global average for interest and investment in technology, with 81% of GCC companies surveyed in the report planning to boost tech investment and 72% ranking AI as one of the top innovation priorities.This fundamental shift in hiring criteria was reinforced in a recent LinkedIn survey cited by Marzio C, which found that 80% of professionals in MENA believe employers now value skills more than degrees. Marzio said this trend was encouraging for career-switchers and self-taught professionals with digital competencies."The UAE job market is charging ahead into 2025 with optimism and innovation. Global shifts in technology and policy are reshaping how employers hire and how professionals build their careers in the Emirates," Marzio said.The survey found that employers are adopting AI-powered recruitment tools, using them for resume screening, candidate matching and even virtual interviews.Around 74% of professionals in the region surveyed believed that AI tools help them work more efficiently, further validating the shift toward tech-led hiring, according to LinkedIn.Despite the optimistic economic momentum, salary growth has largely stalled. The Cooper Fitch report noted a 0% average increase in UAE salaries in Q1 2025, citing population growth and cautious employer strategies.
Nonetheless, 71% of employers either maintained or increased remuneration for new recruits over the past year, though this marked a 10% year-on-year decline.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
What's On
a day ago
- What's On
Emiratis can now renew their UAE passport up to one year before expiry
Starting August 18, 2025, Emiratis can renew their UAE passport up to one year before the expiry date. Previously, the limit was just six months. How it works The Federal Authority for Identity, Citizenship, Customs and Port Security (ICP) says the new rule applies to any passport with 12 months or less left. Renewals can be done easily through the ICP smart services platform, without visiting a service centre in person. The digital process makes it faster and more convenient for everyone. Why this change? Ali Mohammed Al Shamsi, chairman of the authority, says the move is all about making life easier for citizens. With the new rule, people can plan trips well in advance, avoid last-minute passport problems, and complete official paperwork more efficiently. It also encourages the wider use of digital identity services. Al Shamsi adds that this step strengthens the UAE's reputation for efficient government services and sets a benchmark for the region. UAE passport power The UAE passport is ranked one of the 10 strongest in the world in 2025, reflecting the country's growing influence on the global stage. It allows Emirati citizens to travel to 184 countries without a visa or with a visa-on-arrival, making international travel faster and more convenient. This is a significant improvement from previous years and highlights the passport's increasing strength and value. Here's the recent progress in global rankings: 2022 and 2023: Ranked 15th 2024: Ranked 11th 2025: Ranked 8th The steady rise in ranking shows how the UAE has invested heavily in improving mobility for its citizens, making it easier for them to travel for business, education, or leisure. It also reflects the country's strong diplomatic relations worldwide, which continue to open doors for Emiratis across the globe. Experts say this trend is likely to continue, further solidifying the UAE passport as a symbol of national pride and global connectivity. This move makes UAE passport renewal easier, quicker, and more efficient, while also highlighting the country's commitment to high-quality government services and improving citizens' everyday lives. Image: What's On Archive > Sign up for FREE to get exclusive updates that you are interested in
Campaign ME
07-08-2025
- Campaign ME
Grandiose Supermarket, SAP partner to elevate CX, scalable growth
Grandiose Supermarket, a premier quality food and grocery retailer in the UAE with nearly 50 stores and part of the Ghassan Aboud Group, has signed an agreement with SAP to implement RISE with SAP S/4HANA Cloud – Private Edition as the digital backbone of its operations, integrated with SAP Business AI. This strategic partnership will empower Grandiose to deliver better customer experiences, unlock AI-driven operational intelligence and support its bold growth ambitions in the UAE's dynamic retail landscape. Central to this transformation is SAP Business AI, which enhances Grandiose's business applications with intelligent automation and deeper analytics. This will empower the brand's teams to offload routine work, analyse millions of data points for deeper insights into customer and supply chain behaviour, and focus on strategic initiatives that drive innovation and growth. This AI-driven foundation ensures Grandiose can scale efficiently, opening new stores and entering new markets with intelligence built into every layer of the business. By adopting RISE with SAP S/4HANA, hosted on Microsoft Azure, and integrating SAP Business AI, Grandiose aims to streamline its supply chain, enhance stock visibility and improve replenishment planning. The solution will optimise product availability across branches while reducing instances of overstocking and understocking. 'Customer experience is at the heart of everything we do at Grandiose,' said Mussaab Aboud, CEO Grandiose Supermarket. 'Partnering with SAP and leveraging SAP Business AI helps us better understand our customers' needs, predict trends, and exceed their expectations with seamless availability and personalized services. The resilience and optimization provided by SAP's AI-infused solutions will help us automate core processes and focus more on value-added services that enrich the customer journey.' The implementation of SAP S/4HANA will serve as the digital core for Grandiose's operations, leveraging industry-specific vertical solutions tailored for the retail and food sectors. These out-of-the-box capabilities, combined with localised features for taxation and compliance based on SAP's strong relationships with UAE customers, reduce the need for extensive customisations and accelerate time-to-value. 'SAP has become synonymous with family conglomerates and growth-driven businesses like the Ghassan Aboud Group, especially in the retail sector where innovation and resilience are essential,' said Marwan Zeineddine, Managing Director, SAP UAE. 'We're proud to support Grandiose's expansion with a future-ready platform powered by Business AI that enhances customer experience, optimises operations, and drives continuous innovation. As Grandiose continues to scale across the UAE and beyond, this transformation aims to lay the groundwork for a more intelligent, responsive and customer-centric retail model, setting a new benchmark for digital excellence in the UAE.
Khaleej Times
06-08-2025
- Khaleej Times
UAE President to meet Putin on official visit to Russia on Thursday
UAE President Sheikh Mohamed bin Zayed Al Nahyan will begin an official visit to the Russia on Thursday, August 7. He will be meeting Russian President Vladimir Putin during the visit. The two leaders will discuss various aspects of the strategic partnership between the two countries and ways to enhance cooperation, particularly in the economic, trade, investment, energy, and other areas that serve joint development, in addition to regional and international issues of common interest. The Ruler of Abu Dhabi met Putin in October last year when he had visited Moscow. The two leaders inaugurated the Sheikha Fatima bint Mubarak Education Centre at Primakov School in Moscow. Last month, Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, met Putin on the sidelines of the Supreme Eurasian Economic Council meeting today in Minsk, Belarus. The meeting between the Crown Prince of Abu Dhabi and President Putin explored the deep-rooted friendship and strong strategic partnership between the United Arab Emirates and the Russian Federation.
