How to Hire Employees in the UAE : A Comprehensive Guide for Employers

Overview of UAE

The United Arab Emirates is the 29th largest economy in the world according to the nominal GDP (Gross Domestic Product) in 2020. It is a high-income economy and the second-largest economy in the Arab world. The services sector rules the economy with a share of 49.2%, followed by the industrial sector with a share of 15%, and then comes the agricultural sector. 78% of the total labor force is employed in the services sector.

Total Population - 9.99 million

GDP - $421.142 billion USD (FY 20)

Economic Overview

According to the International Monetary Fund (IMF), the UAE is poised for a consistent and positive economic growth with a projected 3.6% GDP increase as a result of improved domestic activities.

From an exceptional GDP growth rate of 7.9% in 2022, UAE's GDP growth is on an upward trajectory in 2023.

Market Size

The services sector rules UAE’s economy, and the majority of the labor force is employed in this sector. The primary industry which plays a major role in the economy is the oil and petroleum industry. The other popular industries in the UAE include tourism, aviation, real estate, education, sports, manufacturing, banking, and external trade.

A brief glimpse of the industries

• The oil and Petroleum industry contributes heavily to the UAE economy. There are oil reserves located in Abu Dhabi and Dubai and produce around 2.9 billion barrels a day. Oil export is also a major source of income for the country. There are many opportunities for job aspirants in this sector.
  

• Tourism is another major sector in the UAE economy. It has got some of the most expensive and luxurious hotels in the world. Shopping malls and other modern attractions are present in the country that draw the attention of tourists. Dubai is ranked as one of the leading cities visited by tourists from across the world. Burj Khalifa, the tallest building in the world, is also situated in Dubai and several other skyscrapers. There are plenty of employment opportunities available in this sector.
  

• Another major industry is the manufacturing sector which produces a wide range of products like fertilizers, cement, aluminum, handicrafts, and textiles. Export of these products also contributes significantly to the economy. There are a lot of opportunities for enthusiastic and skilled job aspirants in this sector.

Cost of Living in UAE

UAE is one of the favorite tourist destinations due to its shopping malls and the hospitality sector. Due to the high living standards on offer, the country is an expensive place to live in. The cost of living may vary depending upon the city. Dubai is the most expensive city to live in for expats. The following table depicts the average cost of living in the UAE in 2023.

Cost of Renting

The cost of renting in the UAE may depend upon various factors like the place where the house is situated, the size of the house, etc. The price will increase as the facilities increase. A one-bedroom apartment costs around $1,228, whereas a three-bedroom apartment’s rent is around $2,288.

Cost of living depending upon your location

Mentioned below is the average cost of living across the leading cities of UAE: -

The top sectors that are expected to hire in 2021 in UAE are:

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Top skills required in UAE

A wide variety of skills are required in the UAE, which can fetch you a handful of opportunities. The service sector dominates the economy, and there are opportunities in this sector. A person with adequate skills can work in this sector. From technically skilled engineers to e-commerce specialists, there are numerous job openings available in the country.

Top skills required in UAE

• E-Commerce
• Healthcare
• Business
• Digital Marketing
• Creative 
• Human Resource
• Science & Technology

City wise average salary-wise

UAE is a country that is attractive to many tourists due to its shopping malls and excellent infrastructure. Each city has a major sector that dominates the economy and is different from other cities. UAE has a wide range of job opportunities for enthusiastic job aspirants who wish to migrate to the country.

• Dubai: It is the most populous cosmopolitan city in the country. It is one of the favorite tourist destinations due to the shopping malls and the tallest building in Burj Khalifa. The city is known for its tourism and hospitality sector. The city is a major business hub of Western Asia and a global transport hub. The city’s economy depends upon tourism, aviation, real estate, trade, and financial services.  The annual average salary here is US $70,238.
  

• Abu Dhabi: It is the second-most populous city in the country. The city is a major center for commerce and culture. The major industries in Abu Dhabi include tourism, aviation, petroleum, and education. The annual average salary here is US $68,604.
  

• Sharjah: It is the third most populous city in the United Arab Emirates. It is the center of industry and culture in the country. The important industries in the city include education, aviation, culture, healthcare, and sports. The annual average salary in Sharjah is US $66,700. 
  

Hiring Cost

The employee recruitment process is a long, tiring, and costly task in the UAE. Many factors are involved in determining the cost of the hiring process, such as: -

• Cost of Interview process and time invested
• Onboarding process cost
• Cost of the training process

Salaries in UAE

The variety of job profiles available in UAE, along with the expected average salaries, are mentioned below: -

Employment Laws in UAE

The employment laws in UAE are crucial and ensure employee protection and provide other basic benefits for employees. This includes factors like maternity leave, working hours, annual leave, and other job matters.  UAE Labor Law has some important features, and this covers:

• 8 working hours per day according to Article 65
• Paid and Unpaid leave, including maternity leave and annual leave
• Article 63 mentions Minimum wages
• Wages Protection System

United Arab Emirates Remote Hiring Trends 2023

Growth in Hiring Activity

Due to the UAE government’s fiscal and monetary measures, the country’s economy has made a strong recovery from the COVID-19 pandemic downturns. Business activity has risen beyond pre-pandemic levels, leading to growth in hiring activity.

Increased Demand for Tech Roles

Some of the most in-demand remote technology roles include:

• Software engineers and developers
• UI/UX designers
• Graphic designers
• Product managers
• Front end and full stack developers
• IT project managers

Other job sectors with high demand in 2022 include:

• Cybersecurity
• Banking
• Consulting
• Sales and marketing
• Legal

Top 5 Companies Hiring in UAE

These five companies are leading in hiring employees and contractors in UAE -

• Parsons
• Honeywell
• Management Solutions International
• Manpower Group
• TASC Outsourcing

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How Can Skuad Help You with Hiring in the UAE?

To hire the best talent in the UAE, you are required to go through various processes and comply with numerous guidelines. This entire hiring process will take up considerable time and effort on your part. With Skuad, you can now breathe easy and enjoy a seamless hiring process with Skuad’s unified employment solution with just one click. Connect with Skuad to know more.

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