Salaries across GCC states expected to increase in 2016, says survey

Salaries across the region are set to increase by 5% next year, according to a study by the consultancy Aon Hewitt. The GCC-wide survey of 600 multinational companies and locally-owned firms shows a decline from the anticipated 6% in 2013 and 5.5% in 2014. It says levels have dropped due to falling oil prices and prospects of reduced foreign investment amidst regional security concerns and struggling economies such as Russia and China. However, the study indicates that the GCC is faring much better than other oil producing countries in the Middle East. The predicted increase in compensation is also expected to help ease inflationary pressures on employees.