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This is why Gen Z professionals in the Gulf aren’t quitting their jobs

As economic uncertainty rises, Gen Z is choosing security over moving to new opportunities.

This is why Gen Z professionals in the Gulf aren’t quitting their jobs
[Source photo: Krishna Prasad/Fast Company Middle East ]

Gen Z professionals worldwide are job-hopping for better pay, work-life balance, or purpose. However, in the Middle East, they are bucking the trend with a new kind of workplace behavior: job hugging. They are holding on to their current roles—a choice motivated by caution, stability, and economic reality.

“It’s a conscious choice to stay in the same role past its learning curve—where you can do the job in your sleep to a standard level of performance,” says David Ribott, founder of Ribott Partners and a CEO coach. “This trend is often reinforced by incentive structures among GCC-based employers that offer stability and higher wages than the norm.”

BEING STRATEGIC

From the outside, this behavior may appear as a sign of engagement or loyalty. But experts caution against misreading the signals.

“Job hugging is when employees hold on to their jobs out of caution and need security rather than genuine loyalty,” says Mohamed Saleh, Senior Principal Consultant at Korn Ferry. “In the UAE, our data shows an overall turnover rate of 6.2% in 2024, indicating many are staying put in uncertain times.”

According to Korn Ferry’s 2025 Workforce report, 82% of Gen Z say they would stay if the job offers security, and 89% if it offers competitive pay. However, just 48% see themselves staying more than five years, compared with 70% of Gen X and 80% of older generations—a clear indication that Gen Z’s job hugging is driven more by short-term caution than long-term commitment.

“For Gen Z, especially in the GCC, stability, mentorship, and predictability are key psychological drivers,” adds Ribott. A LinkedIn report found that 53% prefer development opportunities over new roles, and 72% are more likely to stay in their current role if paired with a mentor.

ECONOMICS MEETS PSYCHOLOGY

Beneath the surface, macroeconomic forces heavily shape Gen Z’s behavior in the region. While official inflation numbers remain modest, the real cost of living is rising.

“If we consider expenses like housing and tuition, which employers often subsidize, these have outpaced salary increases in cities like Abu Dhabi, Dubai, and Doha,” Ribott says. “This pushes otherwise mobile professionals to stay put and protect their current benefits.”

In other words, the cost of leaving is starting to outweigh the benefit of leaving. And experts say job hugging is a “rational form of risk management.” Ribott says, “In the GCC, where unemployment is relatively low, visa-linked employment, housing allowances, and end-of-service benefits act as golden handcuffs, especially for expats.”

WHERE JOB HUGGING THRIVES

Data shows that job-hugging behaviors vary significantly by industry.

“When we asked employees about staying more than five years, sectors like manufacturing and utilities scored higher than finance, education, and the public sector,” says Saleh. “These roles often come with a perception of long-term stability and less disruption.”

Conversely, startups and scale-ups are seeing increasing skepticism from young talent. Once seen as springboards to success, they are now viewed as unstable in a market where venture funding has tightened and layoffs are not uncommon.

“Startups used to feel like the express lane to success. Now, they feel like roulette tables,” says Yasmeen El Hage, a Riyadh-based tech incubator founder.

A NATIONALIZED NUDGE 

In the GCC, job hugging is also influenced by nationalization programs to boost local talent participation in the public and private sectors.

Nationalization policies are nudging Gen Z nationals toward longer tenures, particularly in government and semi-government roles,” says Ribott. “These often come with higher wages, job security premiums, and clearer development pathways not easily matched by the private sector.”

The World Bank reports that in the GCC, “higher public-sector compensation and shorter hours” have historically drawn nationals toward government roles, further entrenching the job-hugging mindset.

“When these roles are designed with mobility and skill progression in mind, longer stays by Gen Z become a feature, compounding capability, not a bug, indicating complacency,” Ribott adds.

A NEW PLAYBOOK

With Gen Z increasingly choosing stability, employers are grappling with how to interpret this new loyalty. According to Saleh, the risk for leaders is thinking people are happy and committed just because they aren’t leaving. “Employees may be staying out of fear while quietly disengaging, doing the bare minimum, avoiding new responsibilities, or losing interest in developing their skills.”

Ribott adds: “Early indicators suggest leading Middle Eastern employers are receptive to job hugging as a sign of retention and a platform for internal mobility—but the jury is still out.”

While job-hugging isn’t necessarily a red flag, it requires a new playbook. Employers must differentiate between employees who are engaged and growing, and those who are staying for benefits alone. Tools like employee sentiment tracking, transparent career mapping, and psychological safety are no longer optional; they’re strategic imperatives.

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