Private sector salaries are forecast to increase at an average rate of 6.6 per cent in the GCC states this year, according to a study.

The research, released today by GulfTalent.com, a leading online recruitment firm in the Middle East, said salaries in Qatar will top the list with an increase of 7.2 per cent, followed by Saudi Arabia and Oman at 7per cent.

Salaries in the UAE will go up by 6.3 per cent this year, while in Kuwait it will rise by 5.9 per cent and in Bahrain by 5.1 per cent, the study said.

The findings were published in GulfTalent.com’s sixth annual review of labour market trends entitled “Employment and Salary Trends in the Gulf 2010-2011” and were based on a survey of 32,000 professionals and 1,400 companies across the six Gulf states, a statement said.

Among countries, Qatar and Saudi Arabia had the highest pay rises in 2010 at 6.8 per cent and 6.7 per cent respectively. Oman was in third place with 6.4 per cent, followed by Kuwait at 5.7 per cent.

The UAE and Bahrain saw the smallest increases at 5.2 per cent and 4.9 per cent respectively.

Although much lower than the double-digit increases of 2008, the pay rises were all higher than the rates of inflation, resulting in improving living standards for many, it said.

However, an estimated 55 per cent of professionals did not receive any pay increase at all.

Across the region, with consumer spending picking up, the retail sector saw the highest pay rise at 6.4 per cent, while education had the smallest increase at 3.8 per cent.

Among job categories, Human Resource professionals saw the highest raise at 7.1 per cent.  - TradeArabia News Service