More than half – 52 per cent – of CEOs in the UAE say that recruitment and retention of talent are their biggest obstacle to growth, according to a new study released by Cooper Fitch.
The 3rd Annual CEO Report by the global recruitment and HR services firm revealed that 43 per cent of chief executives in the UAE plan to prioritise product and service expansion as a key component of their growth strategies for 2024.
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Interestingly, diversity of staff is also high on CEOs’ agenda as 65 per cent have already put a clear strategy in place for the inclusion of female executives.
The UAE job market has become very competitive after the very strong growth in the economy after the pandemic, creating a lot of new job opportunities for professionals. This created a challenge for employers to recruit and retain the best talent. Therefore, some companies are not resorting to remote workers for many tasks which also help them in terms of cost savings as salaries have also increased.
The survey was conducted across the GCC’s two largest markets Saudi Arabia and the UAE.
Cooper Fitch’s 2024 CEO Report features insights from executive leaders in the fields of fast-moving consumer goods (FMCG), financial services, holding groups, hospitality and tourism, manufacturing, real estate and more. Respondents hail from various stages of the business lifecycle, from startups and turnarounds to mature and well-established brands.
Growth in bonuses
When asked how much they expect their 2023 bonuses to change, the highest proportion – 29 per cent – of respondents said they were anticipating an uptick of between 1 per cent and 10 per cent.
“A lucky 4 per cent expect their bonuses to double, year on year. More than twice the percentage of UAE-based CEOs – 39 per cent – expect their bonuses to grow by 1-10 per cent, compared to those working in Saudi Arabia,” it said.
Cooper Fitch survey found that over a quarter – 27 per cent – of CEOs in the region will receive bonuses equivalent to 1-3 months of their annual salary, and 42 per cent say their amount will be equal to 4-6 months’ pay. Around one in ten – 11 per cent – CEOs expect a bonus equivalent to 7-9 months’ salary; 10 per cent said 9-12 months, and 6 per cent said more than 12 months.
“More than half – 53 per cent – of CEOs surveyed secured bonuses equivalent to 4-9 months’ pay for 2023, and the bonuses of a fortunate 6 per cent exceed their annual salaries. Saudi Arabia is outperforming the wider region in this regard, with a noteworthy 60 per cent of respondents reporting additional remuneration equivalent to 4-9 months’ pay, spelling good news for the Kingdom and the region as a whole,” said Jack Khabbaz, managing partner and head of CEO Practice at Cooper Fitch.