UAE employers move beyond paychecks to retain top talent: Here are the steps they are taking amid ‘modest pay rises’

Key points

• As salary growth in the UAE remains relatively modest at around 4%, employers are increasingly turning to enhanced benefits and workplace perks to attract and retain skilled professionals, HR and legal consultants said, according to a Khaleej Times report.
• Rather than relying solely on traditional offerings such as health insurance and travel allowances, companies are broadening their employee value propositions by introducing mental health support, flexible working arrangements, wellness stipends, dedicated learning and development budgets, and financial and legal planning services.
• The shift reportedly reflects a growing focus on non-monetary benefits as organisations seek to remain competitive in the talent market despite limited scope for significant pay increases.
• What did employers say?
• Sanjeev Giri, head of sales and operations at Adecco UAE, said the growing emphasis on employee benefits is less about companies becoming more “generous” and more about the limitations of salary-based competition.