Older employees with 30-plus years of workplace experience face barriers when finding jobs in the UAE, experts have told The National.
The UAE is going through a demographic shift, according to a report by the UN Population Fund and Help Age International, which stated the number of people aged 60 and over is expected to increase more than six-fold between 2020 and 2050, from about 311,000 to two million.
At the same time, the UAE is attracting more seasoned professionals in their 50s and 60s than ever, as the country has introduced visa programmes to attract and retain skilled talent.
“You do have a lot of senior people coming in, and they’re coming in either with their families or not, as often their children are grown up, but they’re finding it very challenging,” said Nikki Samson, founder of NS Search, a marketing and human resources consultancy based in Dubai.
Ms Samson said one overarching reason for this is that older professionals are more expensive, in terms of salary but also associated costs such as health insurance.
“I'm finding the trend is that a lot of these senior people are going in on project-based roles,” she told The National. This means they’re paid a higher salary, but are expected to cover their own visa costs, medical bills and other personal costs, much like someone who is self-employed.
“You just get a lump sum and that's it,” she said. “And that's actually working out quite well.”
Misconceptions and ageism exists
Cindy Evans, who entered the workforce more than 30 years ago, arrived in the UAE in 2020. Despite finding temporary work at Expo 2020 Dubai, she later struggled to find a more permanent position.
“I began exploring new opportunities and faced challenges, including age bias in the job market,” said Ms Evans, who now works in the financial sector as an internal communications lead for the India, Middle East and Africa region.
“Despite being well-qualified, I encountered some recruiters and organisations hesitant to consider me due to my age and the salary level of my extensive experience.”
Several barriers for older professionals exist in the UAE job market today, said Ms Evans, including misconceptions about age and how flexible they can be in a work environment, particularly when trying to secure a full-time role.
These challenges motivated her to become a consultant, which allowed her to secure roles with organisations that value the experience she brings.
“Exploring options like consulting and working for yourself can be beneficial and may be the best way forward," she said.
Kathy Scheepmaker, 61, said one of the best things she did was start her own business.
The South African entrepreneur arrived in the UAE 10 years ago with a wealth of knowledge in the hospitality field and was able to get a job fairly easily, working on the development team for Atlantis The Royal.
But “there’s a big difference between 51 and 61”, she said.
She now runs her own luxury property management company, which she launched last year, and advised any older professional to start a business instead of trying to find full-time corporate work.
“There are massive opportunities for people prepared to work, to go out and get stuff and provide a service,” she said. “Everybody in Dubai wants a service and if you can provide it and it’s top of the range, then you’ll do well.”
Older employees can mentor the younger generation
Whereas certain sectors opt for younger employees first, believing older professionals are “stuck in their ways”, other industries prize experience, said Ms Samson.
Azeem Zainulbhai, co-founder and chief product officer at talent-on-demand platform Outsized, said “booming sectors” such as finance, oil and gas, construction, technology and hospitality are offering plenty of opportunities for professionals in their later career stages, especially in leadership, consulting or specialised roles.
But there is fierce competition, he added.
“The UAE’s global appeal attracts talent from all over the world, resulting in intense competition, especially from other experienced candidates, including those already residing in the region,” he told The National.
“Seasoned independent professionals can effectively leverage their extensive experience in the UAE job market by targeting leadership roles, as the country places high value on senior managerial and C-level positions, as well as department head roles and specialised consultancy opportunities.”
Management consultancies are a good example of this, added Ms Samson. “Yes, they're looking for the younger generation, who are more nimble [and tech-savvy], but they're also looking for somebody who's got that 30 years of experience, who's strategic, who can see that vision and put it together.”
Older employees end up mentoring younger colleagues, who are learning from people with more experience, while they're also picking up new tricks from the latest generation in turn, she added.
“It’s being the senior with a junior mindset,” said Ms Samson. “If you've got that, it's not a question of age, it's a question of mindset and I'm a firm believer in that.”
Health insurance hikes cost for employers
Toshita Chauhan, business head of health and motor insurance at policybazaar.ae, said high health insurance costs can often be a determining factor when employers are looking to hire older individuals.
“Premiums for this age group are significantly higher due to increased health risks,” she told The National.
“There are also limited insurance options, with some policies excluding or restricting coverage for pre-existing conditions common in older individuals. These factors can make insuring older employees more challenging and costly for employers.”
Address age upfront to avoid being involved in lengthy recruitment processes that result in your age being seen as a negative factor
Cindy Evans,
consultant
Solutions to this include group health plans, which allow employers to spread the risk across all employees, or exploring alternative insurance providers and customised plans that cater specifically to older members of the workforce, added Ms Chauhan.
Companies can also introduce corporate wellness programmes to encourage healthy lifestyles, potentially lowering long-term health costs, she said.
Advice for seasoned professionals
First and foremost, Ms Samson said, do not come to the UAE without a job or a plan.
“Do not come if you don’t have Middle East experience or if you don’t have an edge, like you work in AI, sustainability or climate, for example,” she added.
Both Ms Samson and Mr Zainulbhai agreed it is essential to network. “Leverage your network, because it's always about who you know," said Ms Samson.
Ms Evans believes, when you are meeting with potential employers, it helps to be clear about your career goals and demonstrate your flexibility and willingness to learn.
“Address age upfront to avoid being involved in lengthy recruitment processes that result in your age being seen as a negative factor.
“Emphasise your value and the mentorship you can offer younger colleagues while expressing your eagerness to learn from them.”
Finally, remember to value yourself, said Ms Evans. “The journey can be difficult, but you learn so much about yourself.”
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Group A: Palmeiras, Porto, Al Ahly, Inter Miami.
Group B: Paris Saint-Germain, Atletico Madrid, Botafogo, Seattle.
Group C: Bayern Munich, Auckland City, Boca Juniors, Benfica.
Group D: Flamengo, ES Tunis, Chelsea, (Leon banned).
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Group F: Fluminense, Borussia Dortmund, Ulsan, Mamelodi Sundowns.
Group G: Manchester City, Wydad, Al Ain, Juventus.
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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.”
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