How UAE Firms Attract Talent with Evolving Workplace Incenti
How Companies in the UAE Are Adapting Workplace Incentives to Attract Top Talent
The UAE's competitive job market has spurred companies to offer unique incentives to attract and retain highly skilled professionals. Recruiters highlight that while attractive salaries remain a draw, employers are now creatively enhancing benefit packages to meet the evolving expectations of employees.
Beyond Salaries: Expanding Incentive Packages
Pedro Lacerda, country head of UAE at recruitment agency Tasc Group, explains that a good salary alone isn’t always enough to retain talent. Employers are increasingly introducing perks designed to appeal to employee preferences and enhance job satisfaction.
S Ahmad, a banking professional in the UAE, enjoys benefits such as zero per cent interest on mortgages, car loans, and personal loans within specified limits based on her job grade. Additionally, her employer provides an education allowance, family medical insurance, and an annual bonus.
"An education allowance is very important these days," she states. "If I plan to move jobs, I would ideally demand the equivalent value of my perks added to my monthly salary in addition to a raise. These perks contribute to around 25% of my total take-home pay."
Hiring Trends and Shifting Employee Expectations
A steady increase in hiring activity highlights the strong demand for professional talent in the UAE. According to Cooper Fitch’s Gulf Employment Index, recruitment increased by 4% in the second quarter of 2023, driven by initiatives such as the introduction of a digital work permit system and high employer confidence.
While the UAE continues to draw skilled professionals globally due to its tax-free salaries and high quality of life, reports show a wave of changing employee expectations. For instance, the 2025 Health on Demand report by Marsh-Mercer revealed that 58% of UAE employees are actively searching for new job opportunities. Similarly, 77% of UAE professionals surveyed by Michael Page in May 2023 indicated that they were exploring new roles, emphasizing the growing need for compelling workplace incentives.
Top Incentives Valued by UAE Professionals
UAE employees increasingly prioritize workplaces that offer innovative benefits beyond monetary compensation. Recruiters note the rising demand for:
- Flexible work arrangements
- Professional growth and development programs
- Comprehensive insurance plans
- Financial wellness initiatives
- Mental health and wellness support
Additional perks such as gym memberships, parking allowances, and signing bonuses are also gaining popularity, especially for roles in in-demand fields like technology, finance, engineering, and artificial intelligence. According to Nicki Wilson, managing director of Dubai-based Genie Recruitment, some companies are even offering "golden handshakes," which include cash signing bonuses to attract top talent.
Flexibility and Employee Wellness Initiatives
Flexible working arrangements have become a key factor for many professionals deciding to join a company. This could mean working from home, remote working during certain periods, or hybrid schedules. Lacerda emphasizes that companies offering such flexibility help employees better balance professional and personal responsibilities, making them more appealing.
Additionally, many employers are investing in employee wellness. Mental health support, access to gym memberships, wellness retreats, and subsidized therapy are becoming standard parts of benefit offerings. These initiatives are designed to prevent burnout and promote overall well-being, boosting employee retention rates.
Progressive parental leave policies are another emerging trend. Employers are introducing extended maternity leave, phased returns, and schedules tailored for parenting needs. These initiatives appeal to candidates planning families or seeking greater work-life integration.
The Importance of Positive Company Culture
Building an inclusive and diverse workplace has become a pivotal strategy for attracting and retaining talent. Companies fostering an environment where employees feel valued and supported see higher satisfaction and commitment levels. "It’s not just about pay anymore," says Lacerda, emphasizing the significance of meaningful workplaces over financial compensation.
Ankitha Rajendran, a freelance marketing strategist in the UAE, highlights the importance of genuine growth opportunities and thoughtful perks such as flexible hours and wellness benefits. "A pizza party once a month means nothing if you don't genuinely offer a better place for people to have mental peace and perform at their best," she asserts.
Long-Term Residency, Education, and Career Growth: Key Attractions
The UAE's long-term residency options, such as golden visas, have also become an important incentive. Offering family sponsorship opportunities and removing local partnership requirements appeals to many expatriate professionals. Moreover, educational benefits for employees' children are highly valued among families relocating to the Emirates.
Career progression remains a cornerstone of effective talent strategies. Companies are increasingly offering professional development opportunities, including executive courses, certifications, and mentorship programs. For Emirati professionals, tailored development programs and cultural accommodations, such as flexible leave during Ramadan, stand out as critical perks.
Equity and Long-Term Incentives: Fostering Employee Loyalty
In addition to traditional perks, some companies are introducing long-term incentive plans, including stock options and profit-sharing schemes. These rewards encourage employees to invest in the company’s success and foster loyalty over time.
Pankaj Suresh, growth and marketing lead at Alaan, shares his experience of prioritizing equity when choosing a role. "I left a stable job at the Boston Consulting Group to join an early-stage startup that didn’t offer an extravagant salary. However, the opportunity to own equity in the company was a game-changer. The firm has grown significantly, and my equity value has increased fivefold," he explains.
As the UAE job market continues to evolve, companies that proactively adapt to employee needs through comprehensive and thoughtful incentives are set to thrive in attracting top talents.
AI contributed to the creation of this article.