(MENAFN- Khaleej Times) The UAE remains one of the best performing job markets in the region with its online recruitment activity rising by 24 per cent on the year while the growth momentum easing 21 percentage points between February and March 2016 according to the Monster Employment Index.
In the GCC region job demand exceeded the year-ago level by eight per cent in March 2016 and exhibited the first positive monthly growth since November 2015 up seven per cent. "Despite negative economic projections growth momentum in the GCC region is still positive" said Sanjay Modi managing director and Monster.com for India Middle East South East Asia and Hong Kong. "There is no doubt that falling oil prices have hit the economy hard; on the back of banks' tightening liquidity and governments' austerity measures to curb budget deficits employers clearly are much more cautious in hiring this year." While the year-on-year online recruitment activity surged the most in Kuwait (up 26 per cent) and followed by the UAE other markets showed declines - Saudi Arabia down one percent; Bahrain down one per cent; Oman seven per cent and Qatar down 13 per cent. "It is notable however; the growth momentum has improved slightly in each of these countries. Qatar exhibited the steepest decline of all" said the report. In the UAE healthcare is leading the industry growth charts for the second month in a row with a 38 per cent growth in online job posts year on year. The job demand in the industry is not surprising given the development of the Dubai 2021 Health Strategy to improve the quality and cost effectiveness of health services in the emirate and strengthen the collaboration between the public and private sectors. The second best performing industry is retail/trade and logistics with 36 per cent growth in online job posts. Followed by consumer goods/FMCG food & packaged food home appliance garments/textiles/leather gems & jewellery with a growth of 32 percent in job opportunities posted online year on year to March 2016. The outlook is gloomier for job seekers in Advertising Market Research Public Relations Media and Entertainment; Hospitality; and Oil and Gas sectors which exhibited a drop of 13 per cent 17 per cent and 22 per cent respectively. According to the International Monetary Fund the reason why the UAE continues to achieve new levels of economic growth despite a strong US dollar and low oil prices is due to its 'prudent financial policies and sound economic methodology'. Early market liberalisation and deregulation has successfully led the country to open up its banking sector to domestic and foreign financial institutions while also attracting major non-oil foreign trading partners and suppliers. As one of the most diversified economies among the GCC countries the IMF predicts a 2.5 percent growth for the UAE this year - a figure which is to improve even further should oil prices recover next year as foreseen. -
Issac John Associate Business Editor of Khaleej Times is a well-connected Indian journalist and an economic and financial commentator. He has been in the UAE's mainstream journalism for 35 years including 23 years with Khaleej Times. A post-graduate in English and graduate in economics he has won over two dozen awards. Acclaimed for his authentic and insightful analysis of global and regional businesses and economic trends he is respected for his astute understanding of the local business scene.