UAE SALARY FUCAST 2026: Which roles and sectors will see the biggest hikes in the next year?
UAE workers will see an average salary increase of 4.1 percent in 2026, according to Korn Ferry Revent Delead Forecast 2026.
Employers are redoubled efforts to retain technical talent as the cost of living rises, economic growth accelerates and competition intensifies across the region.
The opinion highlights a labor market that is undergoing systemic change, with employers moving from active pay practices to designing long-term workforces.
UAE SALLARY Weather
The UAE 2026 forecast follows an increase in wages by 4.2 percent in 2025.
While the focus is on the UAE, the wider dynamics of the GCC continue to shape the character of the employer. Saudi Arabia is expected to lead the region with a 4.6 percent increase, followed by Qatar and Oman at 4.3 percent, with the closed UAE close behind.
The roles expected to remain the most sought after jobs in the UAE over the next year are:
- Engineering
- Technology
- Logistics and Supply Chain
- Finance and accounting
These categories reflect the country’s ongoing clothing changes, diversification plans and technology enhancement needs.
However, these same occupations are also seeing very high levels – especially in sales, finance and accounting, and engineering – as skilled workers are once again exploring opportunities in the stimulating talent market.
UAE employers face GCC competition
Korn Ferry notes that employers in the UAE are navigating rising competition in neighboring economies. Saudi Arabia’s national reform plans continue to attract Internationally Mobile talent, pushing UAE organizations to offer more compelling career paths and retention strategies.
Industry performance also shapes pay decisions. Banking, Real Estate, Oil and Gas, Manufacturing and Retail are expected to offer strong earnings growth in 2026, supported by large investment pipelines and emerging operating models.
Vijay Gandhi, Regional Director, Orn Ferry Digital, Emo, said: “The UAE has reached a level of market maturity where compensation planning is no longer applicable.
“Organizations are asking not only ‘how do we retain talent?’ But ‘how do we build the right skills for the next five years?’ That requires a more sophisticated approach to reward leakage, development, and long-term value creation. “
Young professionals
ANIS Abdeljaawad, senior director at Korn Ferry, said: “The hardest hit are the young professionals. This is not just a temporary accommodation, it shows a deep change, a slow reset of the working power of the regions.”
According to Korn Ferry’s Talent Trent Reports, 43 percent of companies plan to fill roles with AI. Jobs most affected include jobs and household chores (58 percent) and entry-level roles (37 percent).
Shift can have long-term consequences for leadership development, as entry positions traditionally serve as a foundation for building managers and future managers.
