Read More: Teacher salaries in the UAE: a guide to earning potential at government and private schools
Improved enrolments and an acknowledgement that schools need to retain staff are two key factors that have led several schools in the Emirates to announce plans to remove pay freezes introduced during the Covid-19 pandemic.
From next year, some teachers will receive pay increases and incremental raises that were put on hold.
Education analysts said many schools in the Emirates were unable to increase salaries for staff during the first year of the pandemic after enrolments took a hit.
The UAE's handling of the pandemic has led to a sharp increase in people relocating to the country during the summer, boosting school numbers across the country, but particularly in Dubai.
Taaleem, one of Dubai’s largest school groups, runs 17 schools in the UAE and announced it would remove the freeze on teachers' salaries in September 2022.
A pay freeze had been introduced in March 2020.
It is now time to recognise and reward staff for the difficulties that they struggled with and show our sincere appreciation
Alan Williamson,
chief executive of Taaleem
"We are one of the first education providers within the UAE to announce that we are removing pay freezes for current staff," said Kate Fisher, head of human resources at Taaleem.
“Many education providers announced a pay freeze during the pandemic and we have officially announced that we will be lifting the pay freeze in September 2022.
“We never reduced any salaries during Covid-19. We have an incremental pay increase every year and are reinstating these increments in September for all staff.”
Taaleem employs 1,200 teachers in the country.
"The UAE economy is showing rapid signs of recovery," said Alan Williamson, chief executive of Taaleem.
"It is now time to recognise and reward staff for the difficulties that they struggled with and show our sincere appreciation for the effort, empathy and enterprise they showed towards the pupils and parents in their schools.
"The quality of a school never exceeds the quality of its staff and in a time of renewed confidence in the market, ambitious expansion plans and a drive to recruit and retain world class staff, it is imperative that we return, from September 2022 to annual increments that reward experience and expertise.
"All staff across our 17 owned and managed schools will benefit from this return to normality. We hope that other schools and groups will be inspired by our lead."
Jeff Evans, principal at Global English School in Al Ain and former director of Learning Key Education Consultancy in the UAE, said teachers' salaries in the Emirates had now started to return to normal.
"It has only just started to stabilise. I would not say yet that it is recovering but we are on the road to a return to normality,” he said.
His school temporarily cut staff salaries by 25 per cent during the pandemic but a pay freeze is no longer in place, he said.
"Salaries were reduced for six months after the start of Covid-19 and restored in September 2020,” he said.
"There is a small performance-related increment under discussion for January 2022.”
Mr Evans said the pandemic had a big effect on enrolments, particularly at schools that charge high fees.
"I don’t think many schools increased the package in the last two years because obviously the pandemic affected enrolments," he said.
"It certainly increased competition with parents looking for more affordable schools.
"That’s definitely a trend that affected the premium-fee schools, particularly as they had intensified competition."
More than four in 10 parents of pupils at private schools in Dubai pay less than Dh18,000 ($4,900) in fees every year, a report published by the regulator of schools in the emirate found this month.
Mr Evans said some schools did not cut teachers' salaries because staff were working harder while classes were held online, with teachers having to adapt quickly to new technology and communicate with parents out of hours.
Private schools in Dubai did not increase fees for the 2021-22 academic year, the second consecutive year that fees remained steady.
Beno Kurien, principal at International Indian School Abu Dhabi, said it was able to give some teachers pay rises last year.
Teachers who were up for appraisals were able to enjoy increases of between 10 and 15 per cent, based on their performance. Teachers' salaries were not reduced, he said.
Fiona McKenzie, head of education at Carfax Education, an international education consultancy in the UAE, said schools were "very aware of the value of retaining staff who are familiar with the local context and reviewing the salary structure is part of an ongoing programme to attract and retain the best teachers".
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UAE currency: the story behind the money in your pockets
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Barings Bank
Barings, one of Britain’s oldest investment banks, was
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Barings Bank collapsed in February 1995 following colossal
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Leeson gambled more than $1 billion in speculative trades,
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Winners
Best Men's Player of the Year: Kylian Mbappe (PSG)
Maradona Award for Best Goal Scorer of the Year: Robert Lewandowski (Bayern Munich)
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Top Goal Scorer of All Time: Cristiano Ronaldo (Manchester United)
Best Women's Player of the Year: Alexia Putellas (Barcelona)
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Best Defender of the Year: Leonardo Bonucci (Juventus/Italy)
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Best National Team of the Year: Italy
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What are NFTs?
Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.
You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”
However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.
This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”
This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
Key findings of Jenkins report
- Founder of the Muslim Brotherhood, Hassan al Banna, "accepted the political utility of violence"
- Views of key Muslim Brotherhood ideologue, Sayyid Qutb, have “consistently been understood” as permitting “the use of extreme violence in the pursuit of the perfect Islamic society” and “never been institutionally disowned” by the movement.
- Muslim Brotherhood at all levels has repeatedly defended Hamas attacks against Israel, including the use of suicide bombers and the killing of civilians.
- Laying out the report in the House of Commons, David Cameron told MPs: "The main findings of the review support the conclusion that membership of, association with, or influence by the Muslim Brotherhood should be considered as a possible indicator of extremism."