United Arab Emirates: Among the World’s Lowest Unemployment Rates at 1.7%

The latest field survey results show that the unemployment rate in the UAE decreased by 5.3% last year compared to 2023. According to the International Labor Organization, the UAE now has one of the lowest unemployment rates in the world, at 1.7%, compared to the global rate of 4.9%.

The survey indicates that 81% of the workforce in the country is employed in the private sector, with diverse economic activities. The services sector employs 61% of the total workforce in private sector establishments, followed by the industry and construction sector at 37%, while other sectors account for 2% of the workforce.

The survey conducted by the Federal Competitiveness and Statistics Authority confirms that the majority of the workforce is in the production stage, with an economic participation rate of individuals aged 15 and above reaching approximately 83.8%, marking a 6.8% increase compared to 2023.

According to the annual Global Competitiveness Report released by the International Institute for Administrative Development for 2024, the UAE ranked first globally in five indicators, including the employment rate, labor force participation rate, labor disputes rate, cost of ending service compensation, and working hours.

Additionally, the UAE ranked second globally in the labor force growth indicator, third in employment growth, and fourth in the unemployment rate forecast, global skills availability, and regulatory framework for work. The labor force survey provides necessary data for research and statistical analysis purposes, supporting decision-makers at various levels by offering up-to-date, accurate, and high-quality data related to population characteristics in relation to the workforce and specific workforce-related characteristics.

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