MANAGING DIRECTOR S LETTER 2 CONSTRUCTION 3 GENERAL CONTRACTOR 5 INTERIOR FITOUT 7 MANUFACTURING 8 MARKET INSIGHT 9 SALARY GUIDE 10

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1 CONSTRUCTION & MANUFACTURING SALARY GUIDE UAE 2014

2 CONTENTS MANAGING DIRECTOR S LETTER 2 CONSTRUCTION 3 GENERAL CONTRACTOR 5 INTERIOR FITOUT 7 MANUFACTURING 8 MARKET INSIGHT 9 SALARY GUIDE 10 UNDERSTANDING THIS GUIDE 12 TALK TO US 13

3 MANAGING DIRECTOR S LETTER. Welcome to Morgan McKinley s UAE Salary Guide This guide provides insights into salary trends in key disciplines and professional communities within the Gulf Cooperation Council (GCC) region, based on what we have observed over the past year, together with a compilation of hard facts and figures on gross salaries. Morgan McKinley s UAE operation is focused on sourcing talent for mid-management and senior roles for Banking & Financial Services, Accountancy & Finance, Energy, Sales & Marketing,Supply Chain, Manufacturing, Construction, and Office Support throughout the GCC. The GCC is one of the most economically dynamic regions in the world, with the UAE leading the way across the Gulf region and this is very much reflected in the buoyancy of the recruitment market and the resultant hiring trends. In our last report we reported that reverberations from the Eurozone crisis led to a subdued recruitment drive among UAE-based multinationals in 2012 but commented that there were signs of returning confidence. We predicted an upward trend. Results from 2013 have vindicated this positive outlook. Dubai, with the other Emirates, is the employment hub for the region, with rising levels of demand for consumer goods driving demand for more Sales & Marketing and Supply Chain professionals across the Gulf region. Rising levels of demand within both the green and traditional energy sectors also mean a growth in opportunities for Power Generation professionals. Inward and local investment in sectors such as FMCG, packaging and chemicals is creating demand for Manufacturing professionals, especially those with knowledge of techniques such as Six Sigma, as well as Accountants. With many new projects announced recently, there is a significant demand for professionals in the Construction and Oil & Gas industries, with Iraq particularly short of oil industry specialists. With the three main credit ratings agencies improving their ratings, the high level of business activity and improvements in balance sheets and liquidity, confidence is high in the Banking & Financial Services sector. In 2014 we expect to see an increase of 8% to 10% in the number of job opportunities across all industry sectors and salaries rising in the range 6% to 8%. Less easy to predict is the change in the cost of living over the coming years, although it is safe to say that in many countries the only way is up, putting pressure on employers and presenting candidates with some tough choices. However, Morgan McKinley will as ever be well placed to advise on important issues such as local accommodation and schooling. We hope you find the insights presented in this report interesting and useful, and welcome any feedback. Trefor Murphy Managing Director UAE T: +971 (0) The UAE returned to growth in 2013 and this growth looks certain to accelerate in 2014, with a renewed focus on the infrastructure, tourism and construction sectors, especially in light of the news that Dubai will host Expo Morgan McKinley has spent the past 16 years recruiting mid to senior professionals in the GCC market. 2

4 CONSTRUCTION GENERAL CONTRACTING INTERIOR FITOUT 3

5 CONSTRUCTION HIRING TRENDS The construction industry across the Gulf Cooperation Council (GCC) area has witnessed a significant increase in the volume of projects being announced in the commercial, residential, infrastructure, leisure and hospitality sectors, therefore the requirement for manpower is also increasing. There will be an estimated Dh3.3 trillion of construction developments launched across the GCC between now and 2020, according to a statement by a UAEbased building material company. Real estate projects account for an estimated Dh1.89 trillion of the current developments across the GCC. Additionally, a new report predicts that the UAE s construction market has returned to near full capacity. The granting of non-uae national freeholds and leaseholds is attracting foreign direct investment (FDI) in construction and the announcement of Dubai hosting the Expo 2020 gives focus to this development. The UAE has already committed to investing US$7.6 billion in the Dubai Metro (the red and green lines) and another $3.26 billion on several major road projects, which is in addition to a public-private partnership (PPP). Development of the construction sector is also being fuelled following the announcement of Mohammad Bin Rashid City, which will include a Universal Studios theme park, with more than 100 hotels and the world s biggest shopping mall. Elsewhere in the GCC, Oman is expected to award more than $30 billion, followed by Qatar with $26 billion, Kuwait with more than $25 billion projects up for tender, and Bahrain with $10 billion. TALENT SUPPLY The construction industry continues to rely on importing expatriate talent into the region, particularly in more specialised senior positions. Some of the more common roles that Morgan McKinley will be recruiting are mid to senior-level managers and engineers for all disciplines. As the UAE can boast that it is home to more than 100 nationalities, project sites are always staffed by professionals from across the globe. SALARY & COMPENSATION TRENDS Above-average pay rises and low inflation rates give UAE employees higher purchasing power than in other geographies. A report published in October 2013 stated that companies in the UAE are giving their employees average wage increases of 5.2 per cent this year, bucking the global trend for limited pay rises. The main pillars continue to be basic salary, accommodation allowance and transportation allowance. Flights to the country of origin plus medical insurance continue to be separated from this with single or family cover depending on the level of the employee. The above-mentioned projects being announced across the GCC region will have a positive impact on salaries and compensation. 4

6 CONSTRUCTION GENERAL CONTRACTING GROSS SALARIES (AED PER MONTH) Role: Managing Director - General Contractor 0-3 years 3-5 years 5-8 years 8+ years 50,000-60,000 60,000-70,000 70,000-80,000 80, ,000 Project Director 45,000-55,000 55,000-65,000 65,000-75,000 75,000-95,000 Senior Project Manager 55,000-60,000 60,000-65,000 65,000-75,000 75,000-85,000 Project Manager 45,000-50,000 50,000-60,000 60,000-70,000 70,000-75,000 Contracts Manager 45,000-50,000 50,000-55,000 55,000-60,000 60,000-65,000 Project Engineer 25,000-30,000 30,000-35,000 35,000-40,000 40,000-50,000 Site Manager 30,000-35,000 35,000-40,000 40,000-45,000 45,000-50,000 Site Foreman 10,000-15,000 15,000-20,000 20,000-25,000 25,000-30,000 Site Engineer 20, ,000-35,000 35,000-45,000 45,000-55,000 Commercial Director 45,000-55,000 55,000-65,000 65,000-70,000 70,000-80,000 Commercial Manager 45,000-50,000 50,000-60,000 60,000-65,000 65,000-70,000 Contracts Manager 45,000-50,000 50,000-60,000 60,000-65,000 65,000-70,000 Senior Quantity Surveyor 35,000-40,000 40,000-50,000 50,000-55,000 55,000-60,000 Quantity Surveyor 25,000-30,000 30,000-40,000 40,000-50,000 50,000-55,000 Planner / Scheduler 25,000-30,000 30,000-40,000 40,000-50,000 50,000-55,000 Estimator 15,000-20,000 20,000-25,000 25,000-30,000 30,000-35,000 5

7 CONSTRUCTION GENERAL CONTRACTING (cont.) GROSS SALARIES (AED PER MONTH) Role: 0-3 years 3-5 years 5-8 years 8+ years Business Development Director 30,000-35,000 40,000-45,000 45,000-50,000 50,000-60,000 Business Development Manager 20,000-25,000 30,000-35,000 35,000-40,000 40,000-50,000 Sales Manager 20,000-25,000 30,000-35,000 35,000-40,000 40,000-50,000 Sales Engineer 20,000-25,000 25,000-30,000 30,000-35,000 35,000-40,000 QA / QC Manager 20,000-25,000 25,000-35,000 35,000-40,000 40,000-45,000 QA / QC Officer 15,000-20,000 20,000-25,000 25,000-30,000 * HSE Manager 25,000-35,000 35,000-45,000 45,000-55,000 55,000-65,000 6

8 CONSTRUCTION INTERIOR FITOUT GROSS SALARIES (AED PER MONTH) Role: Managing Director - Interior Fitout Contractor 0-3 years 3-5 years 5-8 years 8+ years 48,000-52,000 5, ,000 58,000-65,000 65,000+ Project Director 35,000-4,0000 4, ,000 48,000-52,000 * Senior Project Manager 3, ,000 35,000-37,000 37,000-4,0000 * Project Manager 26,000-3,0000 3, ,000 33,000-38,000 * Contracts Manager 32,000-37,000 35,000-40,000 4, ,000 * Project Engineer 8,000-11,000 1, ,000 14,000-18,000 * Site Manager 12,000-14,000 14,000-18,000 18,000-25,000 * Site Foreman 2,500-4,000 4,000-6,000 6,000-1,0000 * Site Engineer 5,000-8,000 8,000-1,0000 1, ,000 * Commercial Director 30,000-39,000 40,000-45,000 45,000-50,000 50,000-60,000 Commercial Manager 25,000-30,000 32,000-39,000 40,000-45,000 45,000-48,000 Contracts Manager 21,000-26,000 28,000-30,500 30,000-35,000 35,000-38,000 Senior Quantity Surveyor 18,000-24,000 24,000-26,000 27,000-30,000 30,000-35,000 Quantity Surveyor 11,000-15,000 15,000-18,500 19,000-25,000 28,000-32,000 Planner / Scheduler 19,000-23,000 24,000-28,000 28,000-32,000 35,000-40,000 Estimator 16,000-19,000 19, ,000-27,000 28, General Manager - (Sales-related) 45,000-55,000 55,000-65,000 65,000-80,000 80, ,000 Business Development Director 24,000-27,500 28,000-32,000 32,000-40,000 40,000-45,000 Business Development Manager 15,000-20,000 22,000-25,000 28,000-35,000 37,000-40,000 7

9 MANUFACTURING 8

10 MANUFACTURING HIRING TRENDS TALENT SUPPLY SALARY & COMPENSATION TRENDS New private and public investments in manufacturing projects have increased the demand for manufacturing professionals across the GCC, particularly within FMCG, packaging and chemicals. This trend continues to place manufacturing among the top contributors to the region s GDP. Many FMCG companies have already established their headquarters and production facilities in the UAE, with both international and regional companies investing in manufacturing facilities in the region, and in the KSA. Their products include dairy, juices, dry foods, snacks and fruits and vegetables, as well as personal care. The chemicals industry has seen an increased trend towards hiring quality, health & safety and environment professionals as specialty chemicals companies in particular seek to expand in both size and production capacity. We are also seeing increased demand for continuous improvement, lean manufacturing and Six Sigma professionals in the FMCG and chemicals sectors. With Six Sigma s focus on variation reduction and potent statistical tools and lean manufacturing s focus on waste elimination and increasing productivity, these have proven to be complementary and powerful methods for meeting the majority of a manufacturing company s continuous improvement needs. We are seeing a rise in the number of European professionals coming to the UAE as firms seek to hire professionals with international who can bring new ideas, creativity and a fresh perspective to their strategic operations and day-to-day production activities. On the other hand, regional is becoming even more important and critical for FMCG and chemical businesses. Native Arabic speakers are still highly preferred in senior positions, particularly in functions that are driving influence and change on all levels. There is a continual challenge for multinational and local businesses to find such talent in the GCC region, especially Saudi Arabia Kuwait and also in Egypt. Employers are more willing than ever to relocate senior-level manufacturing professionals with relevant production in order to ensure that there is sufficient talent to meet the upcoming demand in this sector. As expanding businesses continue to invest in the Middle East as a key growth opportunity, there is fierce competition for the right talent to meet present and upcoming demand. Businesses know that they have to be more competitive when offering a salary package to attract and retain the best talent in the Gulf market. However, salary packages vary depending on location, size, upcoming projects and existing salary banding. Local businesses find it difficult to compete with the multinationals in the FMCG and chemical sector. Salaries have remained stable for operations, quality and engineering professionals; however, businesses are focusing on the quality of the individual and then matching the remuneration to their competence. This trend is set to continue into 2014 as many businesses realise that in the current competitive market they can achieve a higher level of return by hiring professionals with the right, even when at a higher cost, since they will deliver higher productivity and added value in the long run. 9

11 MANUFACTURING GROSS SALARIES (AED PER MONTH) Role: 0-3 years 3-5 years 5-8 years 8+ years Lean Six Sigma Black Belt 8,000-13,000 14,000-18,000 20,000-25,000 28,000-32,000 Master Black Belt 12,000-16,000 17,000-22,000 20,000-27,000 28,000-35,000 Lean Expert 8,000-15,000 16,000-20,000 20,000-28,000 28,000-32,000 Operations Manager 18,000-20,000 20,000-25,000 22,000-30,000 30,000-38,000 Production / Factory Manager 18,000-22,000 20,000-25,000 25,000-32,000 32,000-38,000 Continuous Improvement Manager 15,000-18,000 16,000-21,000 25,000-35,000 35,000-45,000 Lean Six Sigma Manager 14,000-17,000 16,000-21,000 22,000-38,000 35,000-45,000 Plant Manager 20,000-25,000 22,000-27,000 25,000-35,000 35,000-50,000 Quality Engineer Assurance and Control 8,000-10,000 13,000-17,000 * * Quality Manager Assurance and Control 15,000-20,000 17,000-23,000 18,000-27,000 30,000-40,000 HSE Engineer 7,000-10,000 10,000-15,000 * * HSE Manager 15,000-18,000 17,000-24,000 18,000-26,000 27,000-35,000 Process Development Manager 16,000-20,000 18,000-25,000 25,000-32,000 35,000-45,000 Process Engineer 9,000-12,000 10,000-17,000 17,000-25,000 * Process Engineering Manager 15,000-20,000 18,000-22,000 20,000-27,000 28,000-40,000 10

12 MANUFACTURING (cont.) GROSS SALARIES (AED PER MONTH) Role: 0-3 years 3-5 years 5-8 years 8+ years Manufacturing Engineer 8,000-10,000 10,000-16,000 * * Manufacturing Engineering Manager 12,000-17,000 15,000-20,000 20,000-28,000 30,000-40,000 Head of R&D 12,000-17,000 15,000-20,000 20,000-30,000 32,000-45,000 Maintenance Engineer 7,000-12,000 12,000-17,000 * * Maintenance Manager 18,000-23,000 23,000-27,000 25,000-30,000 30,000-40,000 General Manager 35,000-40,000 40,000-55,000 60,000-75,000 * CPO 50,000-65,000 65,000-80,000 80,000-95,000 * Managing Director 70,000-85,000 75,000-90,000 * * 11

13 CONSTRUCTION & MANUFACTURING SALARY GUIDE UAE 2014 UNDERSTANDING THIS GUIDE METHODOLOGY: The salary information provided in this guide has been compiled by dedicated researchers across Morgan McKinley s technical divisions. Our researchers are in regular contact with both employers and candidates across these sectors in the UAE. SALARY DATA: The salary ranges in this guide are indications of what individuals with similar might expect to earn in new roles in This salary data is based on placements made during the last six months, as well as the specialist knowledge of Morgan McKinley s consultants. Please note, the information presented in this document should be used as a general guide only. Where number of years is mentioned, it is only to give an approximate framework in which to gauge what a typical professional is likely to earn with the level of shown. In order to match candidates to the right career opportunity for them, Morgan McKinley assesses individuals on all their skills and abilities when deciding on their suitability for roles with our clients. Finally, the gross salary is quoted which is defined as the total gross salary paid each month not including bonus payments, guaranteed or otherwise. FURTHER INFORMATION: For more specific salary or hiring information, please visit or contact your Morgan McKinley consultant directly. DID YOU FIND THIS GUIDE USEFUL? FOLLOW US ON: Visit for more information 2014 Morgan McKinley Group Ltd all rights reserved. Copy or reproduction of this material is strictly prohibited. 12

14 WE ARE MORGAN McKINLEY. TALK TO US. The world s leading employers and successful local businesses must be doing something right. We believe we know what that is. UAE +971 (0) Australia +61 (0) China France +33 (0) Ireland +353 (0) Japan Singapore United Kingdom +44 (0) Hong Kong DID YOU FIND THIS GUIDE USEFUL? FOLLOW US ON: 13

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