Shocking: Online job listings plunge 33%

Hiring in the UAE slows down as market conditions remain uncertain, however, forecasts suggest pace could pick up in 2017.

According to the Monster Employment Index (MEI), the UAE has registered a 33 percent year-on-year decline in overall job opportunities posted online compared to September 2015.

The continuing decline observed over the past three months could be attributed to the lingering oil prices and the challenging market conditions that have made companies hesitant about growing their workforce, however, this may not last very long, according to leading online recruiters, Monster.

“Job seekers in the UAE have been facing difficulty finding relevant employment opportunities online over the past few months as companies reduce their hiring activity in light of the current economic difficulties being faced, however, hope should not be diminished immediately,” said Sanjay Modi, Managing Director, Monster.com, APAC & Middle East.

“While low oil prices are affecting the nation’s economy, the UAE is ahead of other GCC countries in regards to the nation’s economic diversification efforts, meaning it is less reliant on its oil economy and will be less affected by its price. With a positive outlook for the UAE in 2017, and with many projects in the pipeline gearing up to expo 2020 and 2021 visions, we expect the UAE employment market to steadily improve across sectors as companies become more confident in the UAE economy and plans start to materialize.”

According to the Capital Economics Q2 2016 Middle East Outlook, the UAE economy is expected to grow at two percent over the 2017 fiscal year as the nation slowly recovers from low oil prices. Although this figure may represent the slowest growth rate since 2010, the report highlights that the UAE is set to be one of the strongest economies in the GCC over the coming years.

The September MEI shows that Consumer Goods/ FMCG (food & packaged food, home appliances, garments/ textiles/ leather, gems & jewelry) is the only industry to report growth in online job postings at one percent from the same period last year amongst all the industries studied.