As Saudi Arabia’s workforce evolves, the definition of what keeps talent engaged and loyal is undergoing a major shift. While competitive salaries still matter, they are no longer the sole determinant of retention. Today’s professionals are placing increasing value on benefits that support a more holistic, human-centered employee experience.

Read-Workplace policy: Saudi updates key employment regulations

According to Vijay Gandhi, Regional Director at Korn Ferry, the most effective benefits today go beyond paychecks. They include:

• Flexible work arrangements that allow employees to manage personal responsibilities and maintain work–life balance
• Career development and upskilling opportunities that help individuals stay competitive and fulfilled in a rapidly evolving job market
• Wellness and mental health support that demonstrates employer commitment to psychological well-being
• Performance-based incentives that directly reward individual contributions

Together, these offerings are reshaping the employee value proposition in Saudi Arabia, where purpose, development, and support now hold as much weight as compensation.

Leadership evolution: Empathy and agility take center stage

Leadership styles across Saudi Arabia are evolving in tandem with workforce expectations. Today’s employees are increasingly looking to leaders who demonstrate empathy, foster inclusion, and embrace transformation.

“Organisations today are navigating unprecedented disruption, from digital transformation and AI adoption to shifting workforce dynamics and economic volatility,” said Mohamed Saleh, Principal Consultant at Korn Ferry. “As a result, leaders now spend the majority of their time, up to 70 per cent, focused on transformation rather than maintaining the status quo.”

To thrive in this changing landscape, Saudi employers are investing in leadership approaches that are:

• Agile and inclusive, welcoming diverse voices across generations
• Purpose-driven, offering clarity and motivation around broader goals
• Empowering, creating environments where people feel valued and motivated

Leaders who succeed in this new paradigm are not just strategic thinkers but emotional anchors, those who foster trust and genuine engagement by combining capability with character.

Why job security feels stronger in Saudi Arabia

Unlike many regional markets, job security is not a widespread concern for most professionals in Saudi Arabia. This confidence stems from a mix of government policy, economic stability, and cultural norms.

Government-backed initiatives and a traditionally stable public sector have long reinforced a sense of security in employment. Simultaneously, Vision 2030’s strategic push toward private sector diversification has opened new pathways for meaningful careers, boosting long-term optimism among job seekers.

“Nationalisation policies like Saudisation have played a key role in broadening access to quality roles for Saudi nationals,” Gandhi explained. “This, in turn, has reduced fear of job displacement and allowed employees to focus on growth and purpose, rather than survival.”

Compensation isn’t enough: The employees want meaning

Though a competitive paycheck remains a cornerstone of talent attraction, it’s no longer enough to ensure retention. Research from Korn Ferry shows that emotional connection, purpose, and respect now play equal, if not greater, roles in driving long-term employee loyalty.

To balance monetary and emotional incentives, Saudi employers are shifting toward a more holistic talent strategy. Key elements include:

• Embedding purpose in every role by aligning work with national goals such as Vision 2030
• Consistent recognition that validates employee efforts in meaningful ways
• Inclusive leadership that ensures every employee feels respected and heard
• Sustainable investment in development and well-being to foster long-term engagement

This shift signals a broader transformation in workplace culture, where transactional relationships are being replaced by emotional commitment, loyalty, and shared purpose.

Gulf Business has announced an extension of the nomination deadline for the Gulf Business Awards 2025, giving companies and individuals across the region more time to enter. The new deadline is now set for Thursday, August 7, 2025.

Now in its 13th year, the Gulf Business Awards is the region’s premier platform for recognising business excellence, innovation, and leadership. The 2025 edition will take place on September 24 in Dubai, bringing together top decision-makers, executives, and entrepreneurs for an evening of high-profile recognition and networking.

The awards span key sectors including banking, real estate, healthcare, technology, energy, tourism, and more—honouring both standout companies and visionary leaders who are driving growth and transformation across the GCC.

Read: Gulf Business Awards 2025: Nominations, registration details revealed

Entries are judged by an independent panel of experts, comprising regional business leaders, industry veterans, and Gulf Business editorial leadership. The process is designed to ensure transparency, merit-based evaluation, and sector relevance.

With the deadline now extended, organisations have a valuable opportunity to finalise and submit their entries in categories that best reflect their strengths and impact.

Links below:

Submit your nomination
More about the awards

The Gulf Business Awards 2025 promises to be a landmark edition, celebrating the region’s most influential business stories and the individuals behind them.

International Holding Company (IHC) and RIQ, an AI-native reinsurance platform, announced a 10-year strategic partnership, anchored by a target of more than $500m in reinsurance premiums.

RIQ, which was launched earlier this year in Abu Dhabi by IHC in partnership with BlackRock and Lunate, will provide a full suite of reinsurance solutions to IHC and its group companies.

The platform is designed to offer capital-efficient coverage for complex specialty and property and casualty (P&C) risks using AI-augmented underwriting.

The partnership aims to enhance the resilience and operational agility of IHC’s companies and aligns with Abu Dhabi’s goal to become a global hub for reinsurance and financial innovation.

RIQ to obtain formal authorisation from ADGM as a reinsurer

RIQ is currently in the process of obtaining formal authorisation as a reinsurer from the Financial Services Regulatory Authority (FSRA) of ADGM.

The reinsurance transaction with IHC is subject to regulatory clearance.

Syed Basar Shueb, CEO of IHC, said the partnership reflects the company’s belief in “the transformative power of intelligent capital and data-driven risk transfer.” He added that the collaboration “is a strategic investment in the future of resilient infrastructure and industrial agility.”

Mark Wilson, CEO of RIQ, commented that the partnership is a “defining step in our mission to reshape global reinsurance from Abu Dhabi outward.”

RIQ has over $1bn in equity commitments from IHC and its partners and aims to write $10bn per year in reinsurance premiums.

Read: IHC rebrands eFunder as Zelo following acquisition

Giorgio Armani and RAK Properties have partnered to launch Armani Beach Residences Ras Al Khaimah, featuring the world’s first Armani-branded villas.

The exclusive development, located on Raha Island within the Mina district, will include a limited collection of beach villas and luxury apartments.

Each residence is designed to offer direct private beach access and views across the Arabian Gulf.

Villas to be designed by Giorgio Armani

Giorgio Armani and his team of architects designed the residences, drawing inspiration from his personal homes.

The project coincides with the 25th anniversary of Armani/Casa and the 50th anniversary of the Giorgio Armani brand.

The residences will reflect Armani’s focus on understated elegance and attention to detail.

Residents will have access to an exclusive members-only beach club and a curated programme of benefits and services from Giorgio Armani, including special events and concierge services.

The development is situated in a natural bay, framed by the Jebel Jais Mountain range. The environment is home to various wildlife, including turtles, dolphins, and flamingos.

Giorgio Armani, chairman and CEO of the Armani Group, said the project allows him to apply a ‘Haute Couture’ approach to living spaces, using “precious materials and unique, tailored creations.”

He added that the villas “are designed to integrate into the evocative surrounding marine landscape, offering a unique lifestyle experience.”

Sameh Muhtadi, CEO of RAK Properties, commented that the partnership with Armani is a testament to the emirate’s growing appeal.

“This development will not only set new standards for elevated living in the emirate, but will deliver lasting value and create an unparalleled lifestyle experience within Mina,” he said.

Read: Ras Al Khaimah records busiest half-year, visitor arrivals and revenues up

If you live in the UAE, chances are your phone has several loyalty apps. From groceries and gas to dining and fashion, there’s a rewards programme for nearly everything.

It’s a sign of just how fast the loyalty space has grown. But somewhere between collecting points at the pharmacy and earning cashback at the cinema, these questions keep coming up: are these programmes driving real loyalty and do customers actually see their value?

According to Adyen UAE Retail Report 2025, which draws on insights from a local survey, 55 per cent of shoppers say loyalty programmes often ask too much – whether it’s time, effort, or data. And more than half aren’t sure the rewards are worth it. But here’s the paradox: 62 per cent of UAE consumers say they’re more likely to shop with brands that offer loyalty programmes.

Where does loyalty stand in the country

The UAE’s loyalty programme market is projected to grow to 817.6 million by 2029 at a compound annual growth rate (CAGR) of 13.6 per cent. That’s why brands continue to invest.

Of the retailers we surveyed, 37 per cent said they already have loyalty schemes in place, while another 23 per cent plan to launch one within the next year. But the disconnect is clear: 53 per cent of consumers say most programs rarely offer rewards they actually want.

The loyalty paradox: what went wrong?

Loyalty programmes started with a clear purpose: reward frequent shoppers and foster long-term relationships. But many have become hollow point-collection systems that miss the mark on real engagement.

Today’s consumers want more than discounts, they want recognition, exclusive access and experiences tailored to their preferences.

The real issue isn’t weak rewards, it’s the lack of emotional connection. The best loyalty programmes give people something they remember.

How can UAE retailers fix the problem?

Hyper-personalisation over generic rewards

Customers no longer respond to blanket discounts. Instead, they expect rewards tailored to their individual purchasing habits, including personalized recommendations and offers, through to more exclusive rewards for high-end purchases, such as early access to new collections and VIP event invitations.

Take a regular supermarket shopper. If they consistently buy the same items, like a specific brand of coffee, cereal, or pet food, they’re far more likely to respond to personalised offers on related products rather than receiving discounts on things they don’t buy.

In the UAE, brands are beginning to explore AI-powered loyalty programmes that make this real. These systems can analyse data in real time and deliver bespoke offers that feel curated, not automated.

This is where personalisation makes all the difference.

Advanced segmentation is also key. Instead of treating all customers the same, retailers can create micro-segments based on shopping behavior, preferences, and even emotional triggers. That could mean limited-time offers landing just before the weekend for casual browsers, tailored promotions on wellness products for health-conscious shoppers, or early access to exclusive drops for customers who consistently spend at the higher end.

Multi-brand ecosystems = greater value

The future of loyalty lies in collaboration. Customers are more likely to stay engaged when they can earn and redeem rewards across a wider network of brands – especially those they interact with regularly.

Think earning points at a grocery store and using them for discounts on a food delivery app, or collecting rewards at a fuel station that can be redeemed at a pharmacy or retail chain. These kinds of everyday connections make loyalty programmes more practical, more integrated into people’s routines and ultimately harder to ignore.

They also create what’s often referred to as “stickier” loyalty. Once customers start building value across multiple brands they trust, they’re far less likely to drop out and more likely to keep coming back.

AI & fintech: the next loyalty frontier

Loyalty programmes only work if they’re easy to use. No one wants to scroll through multiple apps or jump through hoops to redeem a basic reward. The more seamless the experience, the more likely people are to engage.

This is where technology is starting to make a real difference. In the UAE, more brands are experimenting with tools that use AI to anticipate what customers might want next – like flagging when someone hasn’t engaged in a while and automatically triggering a relevant offer to bring them back based on their purchase history and browsing behaviour.

Fintech is playing a role too. Some programmes now allow instant point redemption at checkout, automatic cashback into digital wallets and seamless cross-brand redemptions without app switching.

When it’s working well, customers don’t have to think about how to use the program. It just happens in the background and it makes the experience feel more rewarding without being complicated.

The road ahead: loyalty as a strategic differentiator

The next era of loyalty won’t be about points. It will be about personalised value, seamless experiences and genuine relationships. UAE brands have the tools – and the data – to lead this shift, but it starts with rethinking what loyalty actually means to their customers today.

Programmes that understand how people shop, fit into their routines and offer something useful without overcomplicating things. That’s what will make them stick.

The writer is the head of Adyen Middle East.

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