UAE expat packages dwindle to salary plus rent and transport

Published:  11 Jun at 6 PM
Want to get involved? Become a Featured Expat and take our interview.
Become a Local Expert and contribute articles.
Get in touch today!
Tagged: UAE
The formerly generous expat packages doled out to all overseas staff on contract in the UAE would appear to be dead in the emirate’s warm, azure blue water.

Prior to the recession, the so-called ‘expat package’ included every possible benefit plus hefty bonuses for the inconvenience of living the high life in glorious weather. Hastily discontinued following the financial crash, the package is now unlikely ever to return.

Executives working in the UAE are now expected to manage on their salaries plus allowances for rent and transport, according to 92 per cent of respondents to a recent survey. Reed Recruitment, active in the region, believes that the conditions which caused the expat package to be introduced no longer exist.

The perks were added to salaries to attract top Western talent to the Middle East to fill the skills gap in what was then considered a hardship assignment. Nowadays, a huge pool of native talent is available in the region, allowing companies to seek out local candidates with knowledge of the market and familiarity with the culture.

A recent seminar held at the London Business School established that Arabic language capabilities, cultural awareness and an understanding of the region are the major criteria in most UAE companies’ recruitment strategies. Middle Eastern companies in general are now focusing on local talent, reducing the need for expensive overseas staff.

Many companies in the emirate have now cancelled or critically reduced the essential schooling allowances for expat staff who arrive with their families. On this issue, 62 per cent of respondents to the survey have no help at all with school fees, 24 per cent receive some compensation and only 13 per cent get the full amount.
Like this news?

Comments » No published comments just yet for this article...

Feel free to have your say on this item. Go on... be the first!

Tell us Your Thoughts On This Piece:

Your Name *
Email * (not published, needs verification one time only)
  • Facebook
  • Follow us on Twitter
  • RSS feed
  • Facebook

Latest Headlines

News Links

News Archive