In a recent job market survey conducted by Zurich International Life, a staggering 84 percent of employees in the UAE and Saudi Arabia expressed their willingness to switch jobs. They expressed the possibility of having the same pay but appreciated receiving better employee benefits. These findings shed light on a dynamic shift in the priorities of the workforce in two of the GCC’s biggest economies.
Job market mobility on the rise
Over the past year, approximately one in four employees in the UAE and Saudi Arabia made a significant career change. This job market mobility was fueled by factors such as improved remuneration, better employee benefits, and the promise of professional growth.
The Zurich International Life survey, which polled 2,507 respondents in July and August, provides valuable insights into these transitions.
In Saudi Arabia, the survey revealed that 78 percent of employees are contemplating job changes in the coming year. Meanwhile, In the UAE, 74 percent of respondents showed a proactive interest in exploring new career opportunities. The study hints at a significant workforce transformation in both nations.
Furthermore, the survey shows that individuals in the 25-34 age group are particularly active in pursuing new career opportunities. This demographic shift highlights evolving expectations and priorities within the workforce.
Rethinking priorities
Adam Watterson, Senior Executive Officer at Zurich Workplace Solutions, emphasizes the growing prominence of employee benefits. He notes that employee benefits have become central, compelling employers to adopt a holistic approach to talent retention. Additionally, Watterson points to workplace savings, pensions, and end-of-service benefits as areas of focus.
The COVID-19 pandemic placed employee financial well-being in the spotlight. Many companies in the UAE are now developing plans to assist workers in bridging their retirement savings gap. Retirement savings were identified as the primary financial challenge faced by employees in GCC countries.
In September, the UAE introduced an optional savings retirement plan that allows employees to invest their end-of-service benefits. This initiative aims to promote long-term wealth building and financial security, addressing the evolving needs of the workforce.
The UAE has undertaken various reforms to attract skilled workers, like a mandatory unemployment insurance plan and savings retirement plans. These measures offer Emiratis and residents financial support during times of unemployment.
Read: Building a resilient labor market amidst growing challenges
Inclusion and talent shortage
The Zurich International Life survey highlights the increasing significance of diversity and addressing pay gaps in the workforce. A diverse and inclusive workplace is seen as crucial to attracting and retaining talent.
Almost nine out of ten employees consider employee benefits as an extremely important factor, often surpassing the importance of salary. The survey identifies preferred benefits including workplace savings, financial well-being, education, life insurance, child education allowances, and critical illness cover.
The survey highlighted the ongoing talent shortage in the UAE and Saudi Arabia, particularly in the operations and logistics sectors. These findings underline the need for comprehensive strategies to attract and retain skilled workers.
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