The2017 Bayt.com Middle East and North Africa Salary Survey, conducted by Bayt.com, the Middle East’s number one job site, and YouGov, a leading market research agency, revealed that more than two thirds (67%) of Saudi respondents believe that their overall life quality is better or the same as other people of a similar generation in their country of residence.
Current Salary
In terms of Saudi respondents’ current salary package composition, nearly two thirds (64%) of those surveyed receive “basic salary and benefits” in their current compensation package.23% only receive their basic salary. On the other hand,13% of those surveyed actually receive their basic salary, benefits, as well as commission.
Of those receiving additional benefits, personal medical insurance (55%) was the top benefit received by employees, followed by a transportation allowance (44%), and family medical insurance (35%).
When it came to end of service benefits in Saudi Arabia,56% stated that their company offers an end-of-service gratuity, and14% claim they will receive a pension on retirement.7% stated that they receive other forms of end of service benefits, while29% stated that they will not receive any benefits.
21% of Saudi respondents claim that their loyalty to their employer is “completely linked” to the salary they earn, while over one third (34%) claimed their loyalty is not linked to the salary they receive. Besides salary, management (38%), fun office environment (35%) and training and development opportunities (34%) emerged as the most important factors driving employee loyalty in the Saudi Arabia.
“With salary being such an important driver for both employees and job seekers, we hope that the Bayt.com Salary Survey2017 will shed light on salaries, savings, and spending in the Middle East,” said Suhail Masri, VP – Employer Solutions, Bayt.com. “We conduct tens of comprehensive research reports each year in line with our mission as an organization, which is to provide people with the tools and information they need to build their lifestyle of choice. This survey was created in order to provide employers with insights into current employee satisfaction levels when it comes to their salaries and raises.”
Pay Raises
In2016, over a third (34%) of respondents in KSA received a salary raise. On the other hand,61% of those surveyed said they did not receive a pay raise in2016 at all. Of those who did receive a raise,41% were very happy or modestly happy with their raise.
46% of Saudi respondents are expecting to receive a salary raise in2017.
Future Plans and Expectations
More than half of Saudi respondents (54%) claim that they are planning on finding a better job in the same industry within the next12 month, while39% stated that they will be looking for a better job in a new industry. Less than a quarter (24%) of Saudi respondents plan on relocating to a different country in the Middle East in search of a new job.
When asked about salary trends,27% of Saudi respondents believe that salaries are increasing. According to respondents, factors causing salaries to increase include inflation / rise in the cost of living (31%), good corporate performance / increased profitability (26%), and growth in opportunities and economic growth in the country (25%).
Masri adds: “For people interested in more specific information about salaries, tools such as Salary Search by Bayt.com can help employers uncover the salaries that are being paid in their industry. The same tool helps professionals gauge their earnings against market average, and thus, learn whether or not they are being fairly paid for the job they are doing. This information collected through the survey is important when it comes to guiding both employers and job seekers, so that the difference between salaries offered and expectations can be successfully addressed.”
Expenses and Savings
With regards to the rising cost of living in Saudi Arabia, the bigger proportion (15%) of respondents have seen their cost of living increase between11% and15%. Respondents claim to have seen an increase in their utilities (72%), food and beverage (70%), and rents (57%). The great majority of respondents in Saudi Arabia (79%) also expect the cost of living to increase during the year ahead.
That being said,57% of respondents still manage to save a portion of their salary while49% repatriate a portion of their income to their home country.
Spending and Investments
The top monthly expenses for respondents in Saudi Arabia were rent (31%), food and dining out (29%), and Education / Children's schooling / Books (10%). When asked about the frequency of eating out,23% of respondents eat out every day,29% eat out a few times a week, and the rest do so less often.
In Saudi Arabia, the most popular choices for monthly investments include investing in their own business (28%), stocks (19%), and property (18%). Only13% of Saudi respondents, however, make financial investments on a regular basis.
Over a quarter of respondents currently own a home (26%).51% are interested in owning a home in their country of residence and54% would like to own a home in their home country.
Elissavet Vraka, Research Manager, YouGov said: “It is interesting to note that52% of MENA respondents manage to save a portion of their monthly income, with48% of those living outside their home country being able to repatriate a portion of their savings to their home country. This is a good sign for both employers and job seekers, as the ability to save and repatriate savings will impact other factors such as employee satisfaction and loyalty towards the company.”
Data for the2017 Bayt.com Middle East and North Africa Salary Survey was collected online from March23rd to April9th,2017. Results are based on a sample of3,879 respondents who live in the UAE, Saudi Arabia, Kuwait, Oman, Qatar, Bahrain, Lebanon, Syria, Jordan, Egypt, Morocco, Algeria, and Tunisia.