The HR landscape across the GCC is undergoing rapid transformation. Economic diversification, technological change, evolving workforce expectations, and national policy reforms are converging to reshape how organizations recruit, retain, and develop talent. At Procapita Group, with our extensive research footprint and the Procapita Hub insights platform, we are seeing several critical HR and talent management trends emerge, and organizations are adapting quickly

Key Trends in the GCC HR and Talent Market

Based on Procapita’s research and global sources, here are the HR trends currently shaping the region:

1. Headcount Growth and Hiring Intentions Remain Strong

• In 2023, nearly 67% of GCC organizations reported growth in their total employee numbers, with projections for 2024 continuing this positive trend
• For 2025, almost one in five GCC organizations expect to increase headcount, driven by expansion projects, private sector growth, and diversification policies
  References: Consultancy ME Report, Consultancy ME

2. Compensation, Benefits and Promotions

• Salary increments averaged 6.7% across the GCC in 2023 compared to 5.2% in 2022, with performance-based increases becoming more common
• More than three-quarters of organizations awarded bonuses in 2023, and many plan both increments and bonuses in 2024 to retain and motivate employees.
  References: Consultancy ME

3. Recruitment Challenges and Skill Shortages

• Many organizations face difficulty in finding skilled professionals, especially in roles impacted by digital transformation and AI
• Competitive compensation in neighboring markets is causing a talent drain, while regulations in some GCC countries limit the attraction of foreign talent.
  References: Consultancy ME

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What’s trending across the GCC

• Nationalization is tightening (UAE Emiratisation, KSA Saudization). Targets, inspections, and penalties are ramping up, with new or expanded quotas across several Saudi health and engineering professions and stepped-up UAE enforcement (including fines for 2024/25 non-compliance and mid-year 1% targets).
  Refrences: Saudi Press Agency
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• AI + digital HR at speed—especially in government touchpoints. The UAE’s MoHRE has rolled out fully digital/AI-enabled work permits, cutting processing to seconds; employers benefit from faster onboarding and lower admin overhead. Many firms are still early on AI for talent deployment, but the push is on.
  Refrences: The Economic Times
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• Skills, upskilling and GenAI readiness. Employees in the Middle East show unusually high alignment and optimism about transformation but expect investment in new skills and meaningful work. HR priorities in the region (per Mercer and Deloitte) emphasize skills, human-centric tech adoption, and redesigned work.
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• Flexible/hybrid work gets formal footing in places (notably Qatar’s public sector). Qatar has codified flexible hours and limited remote work in government agencies; hybrid expectations are spreading in private sector offers.
  Refrences: The Peninsula

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What Procapita Advises and Is Doing in Response

As a leading HR consultancy and advisory firm in the GCC, Procapita Group has identified key actions organizations should take and is actively supporting clients in implementing them:

1. Build Strategic Workforce and Headcount Planning

• Use data and predictive analytics to forecast where hiring demand will grow, especially in tourism, infrastructure, and technology.
• Procapita Hub provides workforce planning data to help clients anticipate and address emerging talent gaps.

2. Enhance the Employer Value Proposition Beyond Pay

• Competitive compensation is essential, but retention increasingly depends on growth opportunities, engaging work environments, and strong leadership.
• Procapita’s advisory practice supports clients in building career development frameworks, mentorship programs, and measuring employee engagement using Zenithr benchmarks.

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Implications for Companies and HR Leaders

To stay competitive and adaptive in the GCC, companies should:

• Make HR and advisory functions predictive, using analytics and workforce forecasts.
• Prioritize continuous learning and internal mobility through promotions, role rotations, and cross-functional assignments.
• Embrace flexible work arrangements where possible to meet shifting employee expectations.
• Treat employee experience as a strategic priority. Leadership, culture, and growth opportunities are critical differentiators.
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How Procapita Group Is Positioned for the Future

Procapita Group is uniquely placed to support organizations across the GCC in navigating these shifts:

• With a strong advisory and talent solutions portfolio, we help organizations align their people strategies with emerging HR trends.
• Through benchmarking and insight tools such as Procapita Hub and Zenithr, clients gain real-time data, market intelligence, and comparative metrics for better decision-making.
• Our experience across public, private, and non-governmental sectors gives us unique insights into what works in different contexts.
• We are already working with clients to design competitive compensation schemes, strengthen recruitment and retention, build skills readiness for AI, enhance employee experience, and manage workforce transitions.

Conclusion

The GCC HR market is evolving rapidly. Organizations that embrace skills-based talent strategies, competitive compensation, and employee-centric cultures will gain a clear advantage. With our advisory, talent, and analytics services, Procapita Group is committed to helping HR leaders not just adapt, but lead.

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