Weather - Red and Yellow Fog Alerts as Dubai Temperature Hits 43°C Transport - Etihad Rail Tickets Between Dubai and Abu Dhabi Cost More Durin… Education - Dubai Schools Open to Changing Timings to Ease Traffic and Shor…

Send an Inquiry

Fill in the details below and our team will get back to you.

Business & Investments 2 min read 22 views

UAE Companies Continue Hiring, But With Caution Amid Corporate Tax Pressures

As the UAE enters the second half of the year, businesses remain active in hiring, but with a more cautious and cost-conscious approach, primarily influenced by the upcoming corporate tax payment deadlines and broader global economic uncertainties.

With the first wave of corporate tax filings due in September 2025 for companies operating on a January–December fiscal year, many firms are tightening budgets and closely evaluating hiring needs. This trend reflects a strategic shift across sectors as companies strive to balance growth with compliance and cost-efficiency.

Hiring Slows, But Demand Persists

While no significant decline in overall demand for talent has been reported, recruiters and HR leaders confirm a temporary hiring freeze occurred earlier in the year amid geopolitical tensions—such as U.S. tariffs and Middle East instability. Now, hiring is returning, albeit more selectively.

“There haven’t been any major changes in demand for talent—except for the heightened caution in hiring during the U.S. tariff and Iran issues,” said Hasan Babt, Managing Director at consultancy firm Tuscan.

Sectors like transport and logistics are expected to lead the next wave of hiring in the UAE, according to a recent ManPower Group report. However, sectors such as heavy manufacturing, hospitality, and general administration are experiencing little to no salary growth, reflecting a saturated job market and stable talent supply.

Talent War in Tech, AI, and Strategic Sectors

Despite the general caution, UAE and Saudi Arabia are aggressively pursuing top-tier talent in high-demand fields—especially in AI, advanced technology, infrastructure, tourism, and renewable energy.

“This is fueling a war for talent,” Babt noted, adding that companies are offering premium incentives like sign-on bonuses, guaranteed retention packages, and phantom stock plans to attract and retain high-performing individuals.

In some cases, businesses are even buying out unvested equity from candidates’ previous employers—an uncommon but increasingly necessary tactic to secure elite tech professionals and C-suite talent.

Automation and Cost Management Reshape Workforce Strategy

Across many industries, the rise of automation and AI is prompting companies to restructure or reduce back-office roles, with many HR leaders acknowledging that job reductions in these areas are no longer a distant prospect but an imminent reality.

At the same time, finance and HR managers are already forecasting how corporate tax liabilities will impact hiring in Q4 2025 and beyond, as businesses assess long-term sustainability and plan for 2026 hiring budgets.

UAE hiring trends 2025corporate tax UAEcautious hiringtech job demand UAEAI jobs Middle East

Related Articles

More on Business & Investments

View all

Comments (0)

Join the conversation

No comments yet. Be the first to share your thoughts!

More Articles

See all
Dress, Fashion & Lifestyle

The Lucine Hair Dryer: Aurrelle’s New Expression of Everyday Luxury

Luxury often reveals itself in the objects used every morning. A balanced tool, thoughtful controls and accessories that earn their place can change an ordinary routine. Aurrelle brings that perspective to Lucine, a hair dryer combining adaptable styling with dedicated scalp light care. The...

Oct 6, 2026 · 4 min
Technology & Innovation

Why More Dubai Residents Are Taking Their Online Privacy Seriously in 2026

People in Dubai have a lot of their lives online. A DEWA bill, documents from the government, bank accounts, shopping, booking appointments, communicating with family and working can all be done from a mobile phone. It makes life faster but also allows more data to be stored through apps, websites,...

Oct 6, 2026 · 5 min
Health, Wellness & Spa

Palpitations That Come and Go: How a 24-Hour Holter Test Helps Find the Cause

It happens in the middle of a meeting. Your heart thuds, then races for a few seconds, then settles. By the time you get to a clinic, days later, the ECG is perfectly normal, and the doctor has nothing to go on. This is one of the most common frustrations in cardiology, and it is exactly the...

Oct 5, 2026 · 4 min
Technology & Innovation

From Code Obfuscation to App Security: Exploring Modern ProGuard Solutions

Mobile applications increasingly handle personal information, financial transactions, business data, and connected services, making application security an important consideration throughout development and deployment. Protecting application code can also help organizations reduce exposure to...

Oct 5, 2026 · 6 min

Our Associates


Add Business Card Add Event Add Directory Add Forum