Bonuses are becoming increasingly common in the UAE, with companies using them as a key tool to attract and retain talent. According to recruitment experts, some companies are offering bonuses as high as 35 percent more than in previous years. For example, Emirates recently announced a 20-week bonus for its employees, while FlyDubai offered a 22-week bonus. While bonuses were traditionally only offered to C-suite executives, they are now being extended to mid-level and junior-level positions as well.
The topic of bonuses often comes up early in the recruitment process, with candidates interested in how bonuses are calculated, how they can be achieved, and when they will be paid. Candidates frequently compare the bonuses they receive in their current roles with potential offers, using them as a benchmark. Discussions around bonus payouts, eligibility criteria, and performance metrics are common during recruitment discussions.
Offering bonuses to retain employees is seen as a no-brainer by experts, as well-structured bonus programs can incentivize talent to stay. Performance-based bonuses are becoming increasingly common, with companies recognizing the value of rewarding employees for their contributions and encouraging them to stay. This approach not only helps retain skilled individuals but also fosters a culture of performance and loyalty within the workforce.
The nature of bonuses varies depending on the company and roles. In the recruitment industry, commissions are often based on monthly or quarterly sales achievements, and end-of-year bonuses may be tied to company earnings. Companies with more complex role requirements may offer signing bonuses or 6-month in-role bonuses. Some companies are even rethinking their bonus structures to better align with the expectations of younger employees who value immediate and tangible rewards.
Despite the increased use of bonuses as a tool for talent attraction and retention, a recent poll indicated that a majority of private sector employees in the UAE have not received a bonus recently and do not expect to receive one this year. However, recruitment experts believe that bonuses will continue to play a significant role in attracting and retaining talent in the competitive job market. As companies adapt their bonus structures to better align with employee expectations, bonuses are expected to remain a key consideration for job seekers in the UAE.
