The UAE is witnessing unprecedented construction. This boom has sent hiring into overdrive in the sector. Contractors and recruitment consultants report that with the right experience, project managers as well as skilled workers are being snapped up almost instantly. It’s rare to find experienced professionals in the region without work due to the high demand.
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Massive Project Mobilization
Its construction activity is evident across real estate, infrastructure, and manufacturing. New sites for towers, communities, and government-led infrastructure are being initiated, while existing projects are being accelerated to meet deadlines. This thriving environment will be showcased at the Big 5 Global event, opening today (November 26) in Dubai.
Prominent companies like Drake & Scull International are revamping their project backlogs after years of financial problems. They have advertised several senior positions, including a general manager for oil and gas projects, while filling a number of positions within the past few months.
Salaries and Workforce Dynamics
Despite the healthy recruitment trends, the sector has seen stable salaries. Says Ravi Jethwani, CEO, Innovations Group: The recruitment scene is largely mass recruitment at entry levels. The manpower requirement for mega-projects is driving this. Skilled and unskilled manpower is required in huge quantities, with some people dedicated strictly to a few projects.
Key Real Estate Developments
The UAE’s real estate sector is booming with large-scale projects:
-Dubai’s Palm Jebel Ali project has issued contracts worth over Dh6 billion, including Dh5 billion for villas and infrastructure.
-Meraas awarded a Dh850 million contract for the Bvlgari Lighthouse tower on Jumeirah Bay Island.
-Arada commenced work on the Armani Beach Residences on Palm Jumeirah, with the main construction contract expected in Q1-2025.
Additionally, other high-profile projects include Emaar’s luxury towers in Dubai Harbour, built by Ssangyong Engineering & Construction, and Damac Properties’ Harbour Lights residential tower.
Stabilization of Inflationary Costs
Inflationary pressures on building materials affected this sector in 2023, but things stabilized a great deal in 2024. Though steel and cement costs have been static, concrete and formwork system cost hikes were caused by increased demand and reduced availability.
The year wasn’t without hurdles. Flooding from April rains temporarily disrupted construction sites, causing delays. However, swift recovery minimized project timeline impacts. Developers have also adopted tougher contract clauses to manage risks related to supply chains and price escalations.
Continued Optimism
The country’s construction sector remains buoyant, largely due to major projects in the pipeline and stabilizing cost environment, according to industry sources, who foresee sustained growth as Dubai and the wider UAE push ahead with ambitious development plans.
