Employment conditions in Kuwait set to improve
The latest Middle East and North Africa Consumer Confidence Index Survey, conducted by Bayt.com, the Middle East’s number one job site, and YouGov, a research and consulting organisation, shows that expectations for the year to come are high across the Middle East and North Africa (MENA) region. In Kuwait, respondents forecast a better financial climate and economy, with improved business conditions and more jobs available. In general across the MENA region, feelings for respondents’ personal situations at the present time are neutral.
Only 28% claim that their financial situation is better than last year, compared to 65% who state that it has either remained the same or declined. National economies are considered to be worse than last year,according to 33% of respondents. Consumer behaviour (41% of respondents say that now is a ‘bad time to buy’) is likely impacting business conditions which are neutral to bad, as stated by 65%.
In terms of employment, almost half of the respondents (49%) claim that there are ‘very few jobs available’. Six out of ten say that their company has either the same or fewer employees than this time 12 months ago, and two thirds (65%) believe that their salaries have not kept pace with the cost of living.However, respondents appear to be optimistic for the upcoming year.
The majority believe that their personal financial situation (51%), country’s economy (44%), business conditions (49%) and employment conditions (35%) will improve.“Retaining a positive outlook for the year to come will be pivotal to the region’s success. Conditions may not be considered to be entirely favourable at the present time, but there are plenty of signs that the months to come will prove beneficial for all,” said SuhailMasri, Vice President of Sales, Bayt.com. “Bayt.com gathers vital information from pertinent cross-sections of MENA society, to provide in-depth insights into the feelings, behaviour and trends happening in recruitment and business around the region.”Satisfaction with career prospects in the region at present is low, according to 39% of respondents, while 38% state that it is ‘neutral’.
Three quarters of respondents (74%) also claim that the prospect for career growth in their current organisation is neutral to low. Job security is seen to be an issue by 67%, with only one in four (27%) claiming their job security is ‘high’, and satisfaction with compensation is neutral to low, according to 84%.With regards to employment,24% of companies expect to increase employees in the coming three months. A further61% are either neutral or pessimistic about growth potential vis-a-vis the number of employees in their organization. The sentiment towards keeping up with staffing requirements is neutral, according to four out of ten respondents (37%), however19% cite optimism.The outlook for inflation is negative, with 38% believing there will be a rise in the cost of living. Similarly, 36% believe the cost of real estate is still creating a feeling of negativity across the region.In the next 12 months 29% of respondents are planning to purchase a vehicle. Of these, 51% will buy new. Moreover, one in five (21%) are considering investing in property, with 65% of them planning to buy new.The five most popular consumer purchases in the next six months will be desktop or laptop computers (25%); furniture (20%); LCD or plasma television (18%); air conditioners (16%) and digital cameras (13%).
“Consumer habits have remained somewhat stable in the past year, with the same five product categories continually topping the list. Computers are always a favourite purchase across the board, and technology in general seems to consistently be the best-selling consumer goods category,” said SundipChahal, CEO, YouGov.Respondents from Kuwait feel that their current personal financial situation has mostly remained the same (38%). Feelings towards the country’s economy are mostly neutral (38%), and it is considered to be a neutral time to buy according to 47%. In line with this, 67% of respondents state that business conditions are neutral to bad, and 74% state that there are ‘not many’ or ‘very few’ jobs available.While a third (33%) of Kuwait respondents believe that there are more employees in their company now than there were at this time last year; 31% claim that there are fewer. The majority (66%) state that their salary has not kept pace with the cost of living.
For the year to come, expectations are high, as ever. More than half(52%) believe that their personal financial situation will improve. Also expected to improve are the country’s economy (44%), business conditions (44%) and employment conditions, as stated by 32%.Job satisfaction in Kuwait is considered to be mostly neutral to low, with only 15% believing that the career prospects in their current job are high, while 31% state that the opportunities for career growth are low. The majority (70%) claim neutral to low satisfaction with their job security, and almosthalf (45%) are unhappy with their current compensation.Over 29% of Kuwait respondents anticipate an increase in the number of employees at their current company in the coming three months, with 36% being ‘neutral’ with the prospect of keeping up with staffing requirements.Respondents anticipatea mostly neutral-to-negative impact vis-a-vis the cost of living (according to 51%); they also believe that accommodation costs will rise (stated by 33%).In the next 12 months, 30% of Kuwait respondents are considering purchasing a vehicle; of these, 44% will buy new. Within the same timeframe, 26% will consider buying property, 67% of whom will purchase a new property.
The three most popular consumer purchases for the next six months will be furniture (24%); LCD or plasma televisions (23%) and desktop or laptop (21%).Data for the quarterly Bayt.com Consumer Confidence Index survey (August 2012) was collected online from July 16toAugust 1, 2012, with 7,421 respondents aged over 18 years, covering GCC Arab, North African, Levant, Western Expatriate and Asian nationalities. Countries who participated are UAE, KSA, Kuwait, Oman, Qatar, Bahrain, Lebanon, Syria, Jordan, Egypt, Morocco, Algeria, Tunisia and Pakistan.Bayt.com and YouGov survey.
- A blessing in disguise? UAE unemployment pushing youth towards entrepeneurship
- Why, despite all the insecurity, foreign students still flock to Lebanon to learn Arabic
- Overhaul or overkill? Gulf countries to spend $150 billion on education reform
- There's no faking it: tampering degrees in the UAE can surely land you in jail
- Is an MBA degree worth it?
- MENA citizens on the financial rise
- If only the poor can access bayt.com: according to the site, most Arabs are expecting improvements in finances
- Economic downturn worries Lebanese
- Call it Egyptian exceptionalism? Egyptians optimistic despite week economy
- Lebanese consumers upbeat about economy’s prospects