09-07-2025
UAE leads GCC in hiring growth at 4%; financial services, real estate lead
Hiring in the UAE grew by an average of 4 per cent in the second quarter of 2025, marking the fastest pace in the Gulf Cooperation Council (GCC) region, according to Cooper Fitch's quarterly report released on Wednesday.
While the UAE recorded robust growth, hiring activity slowed in other GCC countries due to the Eid Al Fitr and Eid Al Adha holidays. Saudi Arabia and Oman posted a modest 2 per cent increase in recruitment, while Bahrain saw a 1 per cent rise. However, employment contracted in Kuwait and Qatar, declining by 4 per cent and 3 per cent, respectively.
'Hiring activity in the UAE gained momentum in the second quarter, building on the strategic groundwork laid earlier in the year,' said Dr Trefor Murphy, founder and CEO of Cooper Fitch.
'Stronger employer confidence, the launch of a digital work permit system, and solid performance in the real estate and technology sectors helped translate intent into execution – particularly in areas poised for expansion.'
In an interview with Khaleej Times, Dr Murphy noted that the UAE is leading the region in job creation due to its diversified growth across sectors. 'The financial services sector — banking and insurance — continues to perform well. Real estate is also booming, with Q2 seeing an uptick in transactions, especially in Abu Dhabi, where population growth is driving demand for residential, commercial, and mixed-use properties.'
He added that the UAE's key financial hubs — Dubai International Financial Centre (DIFC) and ADGM — saw a 2 per cent increase in investment-related hiring, driven by rising global fund inflows and demand for compliance, risk, and regulatory professionals.
Eid holidays contribute to slowdown
'Seasonal factors also influenced hiring dynamics across the region. With both Eid Al Fitr and Eid Al Adha falling in Q2, combined with the early onset of summer, many organisations faced compressed timelines and delays in decision-making, especially in countries with large public sectors or family-run businesses,' said Dr Murphy.
Eid Al Fitr was observed in late March, while Eid Al Adha fell in early June. Although the UAE experienced limited disruption, countries like Saudi Arabia, Kuwait, and Oman saw more pronounced slowdowns. As a result, some hiring is expected to shift into Q3, rather than indicating a longer-term decline in demand.
Since the UAE had fewer Eid holidays than other some countries, this helped the job market to maintain momentum.
Sector trends
The strongest hiring trends across the GCC were observed in senior finance roles, in-house legal, sales and marketing, digital transformation, data and AI, as well as CEO positions.
Cooper Fitch noted that banks are increasingly investing in AI integration and operational redesign, creating demand for candidates with cross-functional expertise in finance, compliance, and technology.
'Despite ongoing transformation agendas, many firms put senior-level hiring on pause due to shifting priorities, extended decision-making cycles, and tighter budgets,' the report stated.
'There is growing preference for interim consultants and niche specialists over traditional permanent roles, reflecting a market that's both cautious and saturated with strategic talent. In some cases, positions such as Chief Strategy Officer remain planned but are on hold, as companies evaluate the cost against immediate returns.'
