74% of UAE’s professionals worried about current job situation

Concerns about the current job situation prevail around the Middle East with 65% of the region’s professionals worrying about job security, according to a recent poll of more than 10,000 professionals by the Middle East’s number one job site - Bayt.com, in conjunction with research specialists YouGov. Professionals in the UAE are the most concerned about the job situation with 74% citing some level of concern, of which 23% consider themselves very worried. Around the rest of the Gulf region the majority are also concerned including 67% of Kuwait’s respondents, 62% of Qatar’s respondents and 61% of Saudi Arabia’s respondents.

The ‘Job Situation in the Recession’ survey was conducted to understand how the current recession is affecting people professionally, and financially; by asking their feelings and attitudes towards the situation of their job, company and financial position, and their own experiences or knowledge of job losses throughout the recent period.

The survey went on to address how professionals are feeling about the survival of their company: the research shows 50% are concerned for their company’s security. Once again, UAE’s respondents are the most concerned, with 59% citing worries about the future of their workplace. Jordan recorded high levels of reassurance at 51%.

“With the region in the full grip of the recession, the results of the survey demonstrate that the region’s professionals are very much concerned both about their job security and that of their company. What’s very interesting is that the experience of professionals in different countries around the Middle East varies significantly - even in neighbouring countries,” commented Amer Zureikat, Regional Manager of Bayt.com.

“This type of research points to the extent of the problem on a grass roots level - in terms of the people that are most directly affected, which will help HR stakeholders and other industry professionals to take stock of the fact that professionals understand it is a difficult time, and may plan on taking pre-emptive action to ensure the safety and security of their job and financial situation.”

Job cuts have been widespread around the Middle East with 43% stating there have been redundancies in their place of work. The UAE is the hardest hit, with more than half - 57% of professionals stating that there had been job losses in their workplace; this is followed by Kuwait and Morocco at 50% and 48% respectively.

The survey finds that amongst the 43% that witnessed job cuts in their companies, more than a fifth - 21% - said that more than 100 people had lost their jobs, while the largest proportion - 39% say less than 20 people were asked to leave. The figures back up the stories which appear in the regional press of companies cutting back on their staff base, in a bid to survive the recession.

40% are expecting job cuts in their company in the future. Similarly, the lack of optimism in the job market is highest in the UAE, where 52% of professionals are expecting further cuts, followed by Kuwait at 48%. The least gloomy country expecting future job cuts is Algeria (25%).

On a personal level, the survey found 59% of people knew someone - a friend, neighbour, ex-colleague or relative who had lost their job in the last few months. Overwhelmingly, more than three quarters of the UAE’s respondents know someone who had lost their job at 76%, which is most probably fuelling the high levels of concern amongst UAE residents regarding job security.

The survey asked respondents if they’ve been able to save money in their country of residence. Overall, 63% managed to save some money. Saudi Arabia’s respondents are best prepared with savings for a rainy day, with 75% having some amount of money put aside. Most Gulf residents have saved some money: 71% in Qatar, 65% in Kuwait and 64% in the UAE said they have some money on standby. Morocco and Jordan fared badly on the savings front with just 45% and 43% having savings.

Even with job losses and the seeming threat of corporate instability in the recession, 47% of respondents still consider their country of residence as a lucrative and attractive place to live and work. Most positive about their country of residence were respondents in Qatar and Saudi Arabia with 65% and 63% respectively having faith in their countries. The UAE fared relatively well, with 50% of respondents stating it is still attractive, 11% believing it was the same and 31% stating it was not attractive.

Asked how respondents feel their country of residence compares to other countries in the region, respondents in Qatar, 52%, emerged as the most confident that they were doing better than others, followed by Saudi Arabia’s respondents at 49%. The UAE’s respondents were largely divided; with 32% agreeing that they were better off compared to the 32% believing that things were the same as in other countries. Pakistan emerged as a country that respondents felt is doing worse than others.

Respondents remain largely optimistic in terms of the time that it will take for the regional job market to improve in their industry. The largest proportion of UAE respondents - 48% - felt that it will take up to 12 months, with just 12% believing that it will take more than two years. Qatar and Saudi Arabia were most optimistic that it would happen in less than 12 months, with 53% and 50% of respondents agreeing. Egypt (17%), Morocco (16%), Algeria (16%) and Jordan (15%) were the least optimistic in terms of things getting better relatively quickly, agreeing that it would take more than two years.

“Although residents in the UAE feel they are being hit hardest at the moment, half of respondents still feel it is an attractive and lucrative place to live. The split between the optimists and pessimists is a reflection of the size of problem in the real estate industry: in other sectors where uncertainty is not felt so strongly, there is much more optimism,” said Nassim Ghrayeb, CEO of YouGov.

“The UAE is still the favoured country of employment for millions of people around the globe and still offers plenty of opportunities for career growth and advancement for highly qualified talent. Bayt.com’s consistent and exponential growth trajectory statistics continue to confirm this,” concluded Zureikat.

The ‘Job Situation in the Recession’ survey was conducted online between 17th March and 6th April 2009 with 10,781 respondents from the UAE, Saudi Arabia, Kuwait, Qatar, Jordan, Egypt, Morocco, Algeria and Pakistan. Males and females aged over 21 of all nationalities were included in the survey.