What's The Right Salary? Talking Salary in UAE

Scenario:

A recruiter reaches out to a candidate with a promising opportunity.

Recruiter: “Hey, awesome profile! What’s your current and expected salary?”

Candidate: “My current salary is AED 18,000, and my expected salary is AED 30,000.”

Recruiter: “Your expectations seem quite high. Could you explain how you arrived at that figure?”

Candidate: “I’ve got 10 years of experience and am due for a pay rise to AED 25,000. If I move, I would expect a 30% increase on top of that.”

Recruiter: “The market rate for this position is AED 16,000 - AED 23,000.”

Candidate: “I already have multiple offers for AED 25,000+.”

Let’s break this down.

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Realistic Salary Expectations: What Candidates Need to Know

It’s important for candidates to understand that potential salary increases are not guaranteed and depend on various factors within their current organization. Unless there is a formal letter from the employer confirming a pay rise, basing future salary expectations on an anticipated increase is not advisable. Even if a 40% increase is desired, it’s considered excessive compared to market norms.

On average, internal pay increases for employees in the UAE typically range from 5% to 10%. When changing jobs, salary increases generally range from 10% to 20% to remain competitive within the market. (International moves may sometimes result in higher increases.) However, the candidate’s expected salary in this scenario is significantly higher than the standard increase, making it challenging for potential employers to meet this expectation.

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The Role of Recruiters in Salary Negotiations

Candidates must realize that recruiters handle various positions across the market and are well-versed in current salary trends. Competent recruiters can easily benchmark candidates accordingly, based on their qualifications, competence, and experience. If a candidate overinflates their salary expectations or uses phrases like “I have other offers” as a bargaining chip without substance, they risk losing the recruiter’s confidence. In such cases, it’s unlikely that the candidate will be approached again.

When working with a competent recruiter, it’s important to see them as a partner in reaching your career goals, rather than just a middleman. Recruiters can provide valuable insights with regards to Dubai jobs salary market conditions and help guide candidates toward realistic salary expectations.

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How to Approach Salary Negotiations

When entering salary negotiations, candidates should be well-prepared and informed about market rates. Here are some key steps to take:

1. Highlight Achievements: Clearly articulate your accomplishments and the value you bring to the table. Use specific examples to demonstrate your impact in previous roles.
2. Be Confident Yet Flexible: While it’s important to be confident in your worth, flexibility can be key in reaching an agreement. Consider other benefits in addition to salary, such as bonuses, health insurance, or flexible working hours.
3. Maintain a Positive and Professional Demeanour: A cooperative tone can set the stage for successful negotiations. Aim for a mutually beneficial agreement that satisfies both you and the employer.
4. Use Salary Guidelines: Provide evidence to support your salary expectations by referencing industry-standard salary guidelines or reports. This helps justify your request and shows that you’ve done your research.

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When Companies Pay Above Market Rates

There are occasions when a client may pay above market rates, particularly in specific regions like Saudi Arabia, where certain roles are in high demand. However, in most cases, this approach won’t work, as companies’ budgets are typically benchmarked against industry standards.

It’s also important to note that while recruiters act as intermediaries, they are paid by the clients, not the candidates. Therefore, recruiters are incentivized to provide guidance that ensures a fair and reasonable outcome for both parties.

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Conclusion: Setting the Right Expectations

In summary, realistic salary expectations are crucial for successful negotiations. By being well-informed about market rates, highlighting your achievements, and maintaining a professional demeanour, you can set the stage for a positive outcome. Remember, recruiters are there to help you navigate this process—working collaboratively with them can make all the difference in securing the right role at the right salary.

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