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Fri, Dec 05, 2025 | Jumada al-Thani 15, 1447 | Fajr 05:28 | DXB 
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UAE jobs: Salaries to rise 4% in 2026, some roles may get over 10% hike
The UAE enters 2026 with a solid economic outlook, supported by strong non-oil activity and continued investment across strategic sectors
Salaries in the UAE are projected to rise around four per cent next year, but some hard-to-replace employees could see an over 10 per cent increase in renumerations next year, according to recruitment and HR experts.
In an interview with Khaleej Times, Dr Trefor Murphy, founder and CEO of Cooper Fitch, said the UAE Salary Guide 2026 found that UAE firms plan to increase salaries by 1.6 per cent to four per cent next year.
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“When we did a similar kind of survey for 2025, it was found that there would be zero weighted average increase for this year. But when we actually did a survey this year, it was found that salaries in the UAE increased by 2.6 per cent in 2025. So, I’m estimating that, in reality, a salary hike could be between 1.6 per cent and a four per cent increase, based on what they projected and what they actually paid out,” Dr Murphy said during the launch of the UAE Salary Guide 2026.
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Over 10 per cent increment
Cooper Fitch survey found that 84 per cent of respondents are forecasting either an increase or maintain salary levels, signalling confidence in the year ahead, even as organisations navigate a more competitive labour market.
For 2026, nearly half — 48 per cent — of respondents plan to increase, while 37 per cent expect to keep them flat and 15 per cent anticipate offering lower ranges for new hires. Most planned uplifts sit in the 0–5 per cent band, with only a small share budgeting 6-9 per cent or over 10 per cent increases for hard-to-replace roles in areas such as technology, transformation, and specialised finance.
According to global organisational consulting firm Korn Ferry, salaries in the UAE are also projected to increase 4.1 per cent in 2026, nearly in line with 2025.
Dr Murphy noted that the UAE enters 2026 with a solid economic outlook, supported by strong non-oil activity and continued investment across strategic sectors.
The Central Bank expects real GDP to accelerate to around 5.3 per cent next year, with growth underpinned by construction, financial services, logistics and advanced industries. This strong macroeconomic growth is projected to one of the key drivers in the increase in salaries.
Firms reinstating benefits
Nicki Wilson, managing director of Genie Recruitment, said there has been no significant change in salaries across the board, with the exception of entry-level roles.
Wilson anticipates a broad salary increase across most sectors.
“However, we are seeing an important shift in benefits rather than base pay. Companies are reinstating benefits that had been removed in previous years, particularly family benefits, schooling allowances and enhanced medical coverage to remain competitive and attract senior-level talent. The real movement is in the total pack, not necessarily the monthly salary,” she added.
The rising inflation is prompting employees to look for greener pastures to combat inflationary challenges.
She pointed out that salary stability doesn’t mean stagnation.
“Many companies are exploring new retention strategies, flexible working models and wellbeing-focused benefits to differentiate themselves. There is also a huge difference when it comes to how to land a job in the UAE, and the new entries to the market need to seek out networking opportunities to land the best roles,” Wilson concluded.
Waheed Abbas
Waheed Abbas is Assistant Editor, covering real estate, aviation and other business stories that directly affect the lives of UAE consumers. He frequently reports human interest stories, too.
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