Fresh data from Mercer’s annual Total Remuneration Survey brings promising news for UAE professionals. The comprehensive study, covering more than 700 companies across various sectors, projects substantial salary growth for 2025.
Key Highlights:
- 4% average salary increase expected across all industries
- 28.2% of organisations planning to expand their workforce
- Consumer goods sector leads with 4.5% projected salary growth
- Equal salary increases planned across all employee levels
Breaking Down the Numbers by Industry
The survey reveals varying salary increase projections across different sectors:
- Consumer Goods: 4.5%
- Life Sciences: 4.2%
- Technology: 4.1%
- Energy: 4%
- Financial Services: 4%
AI and Digital Transformation Impact
The UAE stands as a regional leader in AI adoption:
- 74% of UAE residents use AI weekly
- Local business leaders identify AI as a primary growth driver
- Digital transformation creates fresh demand for skilled professionals
Expert Insights
Andrew El Zein, Mercer’s UAE Career Products Leader, recommends employers review housing allowances alongside base salaries, noting rising housing costs impact overall compensation packages.
Future-Ready Workforce Recommendations
For organisations preparing for 2025:
- Assess current skill inventories
- Identify development areas
- Understand hiring and retention factors
- Create distinctive employee value propositions
What This Means for Job Seekers
The 2025 forecast signals positive momentum in the UAE job market. With widespread salary increases and significant hiring plans, professionals should:
- Stay updated on industry-specific trends
- Develop digital skills
- Consider upskilling in AI-related areas
- Research company-specific benefits packages
Looking Ahead
The UAE’s job market shows strong signs of growth, supported by technological advancement and economic resilience. Both employers and employees should prepare for a transformative 2025, with special focus on digital capabilities and competitive compensation packages.
Data source: Mercer’s annual Total Remuneration Survey, covering 700+ UAE companies across multiple industries.





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