Parsons Corporation has been awarded a nine-month contract by The Boring Company to provide services for the Dubai Loop underground transport project in the UAE.

The Boring Company has been tasked by the RTA with delivering the multi-phase project, which forms part of broader efforts to expand transport capacity in Dubai.

The project is being developed in partnership with Dubai’s Roads and Transport Authority (RTA) and is aimed at expanding the emirate’s transport network through a multi-phase passenger tunnel system comprising multiple tunnels and stations.

Parsons will manage pilot phase of Dubai Loop project

Under the contract, Parsons will act as The Boring Company’s delegated programme manager during the pilot phase of the project, supporting design-build activities.

Its responsibilities include independent design verification, stakeholder management, permitting and no-objection certificate support, as well as reviews of civil, structural, mechanical, electrical, safety and utility designs.

The companies did not disclose the financial value of the contract.

The Dubai Loop is intended to provide an additional transport option for residents and visitors as Dubai expands infrastructure under long-term urban development plans, including the Dubai 2040 Urban Master Plan.

Parsons said it has worked on transport infrastructure projects in Dubai since the 1980s and has supported the RTA since its establishment in 2005.

Its previous projects in the emirate include work on the Dubai Metro Red Line, Dubai Metro Green Line, the Dubai Metro Route 2020 and Infinity Bridge.

The narrative around hiring slowdowns in the UAE is gaining traction, but the reality inside organisations is far more nuanced. According to Iktimal Daneshvar, vice president and senior client partner for Recruitment Process Outsourcing (RPO) across the Middle East and Africa at Korn Ferry, the market is not contracting — it is recalibrating.

“I would not describe the UAE market as being in a hiring freeze,” she says. “What we are seeing is a shift from volume hiring to precision hiring.”

This shift reflects a broader evolution in how organisations across the UAE are approaching workforce strategy, moving away from aggressive headcount expansion toward more disciplined, value-driven hiring decisions.

At the core of this transition is a sharper focus on business impact. Roles are no longer approved based on expansion plans alone but are increasingly tied to measurable outcomes such as revenue growth, digital transformation, compliance, and operational resilience.

“Companies are still hiring, but the bar is higher. Every role now needs a clearer business case,” Daneshvar explains.

This has led to a noticeable divergence in hiring activity. Business-critical roles continue to move forward, while non-essential or speculative positions face longer approval cycles or are deferred altogether. The result is a market that feels slower on the surface, despite underlying demand remaining strong.

“The key change is discipline,” she adds. “Organisations are asking more questions before they go to market: do we need to hire externally, can we promote internally, can we automate part of the role and is the compensation aligned to the value this hire will create?”

This more structured approach is also reflected in broader labour market indicators. The UAE continues to rank among the strongest hiring markets globally, but investment in headcount is becoming more targeted.

“The story is not ‘hiring has stopped’. It is that hiring has become more intentional.”

Expat dynamics reshape talent strategies

The UAE’s workforce model has long been built on international talent, but shifting expectations among expatriates are now reshaping hiring strategies.

“The expat workforce remains central to the UAE economy but expectations have changed,” Daneshvar says.

Candidates are no longer evaluating roles based solely on salary. Instead, they are assessing the total value proposition — including cost of living, housing, education, healthcare, flexibility, career progression, and long-term stability.

This shift is particularly significant in a higher-cost environment, where compensation is directly linked to retention risk.

“Korn Ferry’s regional workforce data shows that 80 per cent of employees in the UAE and Saudi Arabia would consider changing jobs for better pay,” she notes.

For employers, this means rethinking not just salaries but the entire employee value proposition. Benefits, flexibility, family support, and clear career pathways are becoming central to attracting and retaining talent.

At the same time, companies are placing greater emphasis on local and regional hires, who can onboard faster and carry lower relocation risk.

“The UAE is still highly attractive to global talent but employers cannot rely on the market’s appeal alone,” Daneshvar says. “Candidates are comparing Dubai and Abu Dhabi with Riyadh, New York, Singapore, London and other global hubs.”

“The companies winning talent are the ones that can clearly answer: why join us, why now and why stay.”

Rather than a broad-based slowdown, the UAE hiring landscape is becoming increasingly segmented.

Daneshvar cautions against generalising entire sectors as weak, pointing instead to a more granular shift within industries.

“In most industries, we are seeing slower hiring in non-critical support roles, speculative headcount and roles that are not clearly linked to revenue, transformation or regulatory need,” she explains.

Some caution is evident in consumer-facing businesses, early-stage companies, and lower-margin operations, where organisations are reassessing cost structures and prioritising efficiency. However, this does not signal a wider decline in demand.

Instead, hiring momentum remains strong in sectors aligned with long-term economic priorities and transformation agendas.

“Demand is still accelerating in technology — especially AI, data, cybersecurity, cloud, and digital transformation,” Daneshvar says.

Financial services also continues to hire actively, particularly in risk, compliance, wealth management, fintech, and digital banking. Beyond this, infrastructure, aviation, logistics, energy, healthcare, and advanced manufacturing are all seeing sustained demand.

The defining trend across these sectors is a growing scarcity of specialised skills.

“The clearest theme is skills scarcity including technical and digital skills, leadership roles and operational capability.”

From headcount to capability

This evolving landscape points to a fundamental shift in how organisations define workforce growth. The focus is no longer on increasing headcount, but on building capability.

Generalist hiring is becoming more measured, while competition for specialised, high-impact talent is intensifying. This has created what Daneshvar describes as a bifurcated market — one where demand exists, but is concentrated in specific skill sets and functions.

“So the market is bifurcated. Generalist hiring is more measured but demand for specialist, revenue-linked, transformation-led and compliance-critical talent is still very competitive,” she says.

For employers, this means investing more in workforce planning, internal mobility, and skills development. For candidates, it underscores the importance of aligning capabilities with areas of strategic demand.

Ultimately, the UAE hiring market is not slowing — it is maturing. Organisations are becoming more deliberate in how they deploy talent, balancing growth ambitions with cost discipline and long-term resilience.

This transition reflects broader economic and structural shifts across the region, as businesses align hiring strategies with national priorities around digital transformation, diversification, and productivity.

For Korn Ferry, which advises government, semi-government, and private sector entities across the UAE, the message is clear: hiring remains active, but it is no longer about scale alone.

Instead, success will depend on how effectively organisations can identify, attract, and retain the talent that drives measurable impact.

In a market defined by precision, the ability to connect hiring decisions directly to business outcomes is emerging as the new benchmark for workforce strategy.

Alpha Dhabi Holding said its Q1 2026 net profit rose 81 per cent year-on-year, driven by growth across its diversified investment portfolio.

The Abu Dhabi-listed investment company reported net profit of Dhs3.8bn in the quarter, compared with Dhs2.1bn a year earlier. Revenue rose 8 per cent to Dhs18.8bn.

Adjusted EBITDA increased 2 per cent to Dhs4.3bn. Total assets stood at Dhs225.8bn, with total equity at Dhs104.9bn.

Revenue included Dhs7.4bn from real estate, Dhs6.6bn from industrial operations, Dhs2.7bn from construction, and Dhs2.1bn from services and other businesses.

Alpha Dhabi entered 2026 on a strong footing

Chairman Mohamed Thani Murshed Ghannam Al Rumaithi said the company entered 2026 with continued strength.

“Alpha Dhabi has entered 2026 with continued strength and resilience, building on our proven strategy and disciplined execution. Our performance is a direct reflection of the UAE’s thriving and stable market, showcasing the robustness of our diversified portfolio and our ability to capture value across high-growth sectors and geographies,” he said.

Managing director and group CEO Hamad Al Ameri said the results reflected the group’s investment strategy.

“Our Q1 2026 results reinforce the strength of Alpha Dhabi’s investment strategy. The solid economic fundamentals on which the UAE is built upon serves us with a confident environment in which we can execute our vision. Through continued diversification, strategic partnerships, and a focus on future-facing industries, Alpha Dhabi has sustained strong performance and created long-term value for our stakeholders,” he said.

The company said its performance was supported by continued momentum across its businesses in real estate, construction, industrials and services.

Alpha Dhabi said it remains focused on diversification, expansion into growth markets and disciplined capital allocation.

Read: Alpha Dhabi acquires majority stake in NCTH

The UAE marks the 50th anniversary of the unification of its armed forces on Wednesday, highlighting five decades of military development and its role in defending national sovereignty.

The anniversary comes as the UAE said its armed forces had demonstrated operational readiness in responding to what it described as recent Iranian strikes, including the interception of ballistic missiles and drones targeting the country.

The UAE’s military strategy has increasingly focused on integrating land, air, naval and cyber capabilities under a unified defence framework.

UAE armed forces remain a key force in ensuring the country’s security

Land forces remain central to the country’s defence structure, supported by armoured systems, artillery platforms and reconnaissance capabilities linked through digital command-and-control networks that allow real-time data sharing, state news agency WAM reported.

The air force continues to play a central role in the country’s defence strategy through multi-role aircraft capable of conducting long-range missions, while integrated early warning systems, air defence networks and command centres support broader air security operations.

The UAE, which sits along one of the world’s busiest maritime trade routes, said its naval forces have expanded their capabilities through multi-role vessels, coastal surveillance systems and unmanned platforms aimed at protecting shipping lanes and energy routes.

The country has also expanded domestic defence manufacturing, shifting from relying primarily on foreign procurement to developing and producing advanced military systems locally.

The UAE has continued to invest in military and academic training through national military colleges and joint programmes with international armed forces.

The WAM report also highlighted the role of national service in strengthening ties between the military and wider society.

Women have increasingly taken part in the armed forces, with the Khawla bint Al Azwar Military School playing a central role in training female personnel. Female participation in national service has exceeded 11 per cent in some cohorts.

The armed forces also continue to support humanitarian missions, relief efforts and emergency response operations in different parts of the world.

The UAE’s air defence systems have been actively intercepting a missile and drone threat on Tuesday evening.

The Ministry of Defence said the sounds heard across various parts of the UAE were the result of its air defence systems engaging and intercepting ballistic missiles, cruise missiles and drones.

The latest developments come less than 24 hours after a series of alerts were issued on Monday — the first since the US-Iran ceasefire that began on April 8.

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Four alerts in one day

On Monday afternoon, multiple missile alerts were triggered across the UAE, beginning amid heightened tensions around the Strait of Hormuz, a critical global shipping route.

Earlier in the day, the UAE condemned a drone attack on an ADNOC-affiliated oil tanker transiting the waterway, accusing Iran of targeting a national asset.

The Ministry of Defence later confirmed it had intercepted three missiles during the initial wave, with one projectile falling into the sea.

However, the situation escalated further as additional alerts were issued later in the day. The Fujairah Media Office reported that the emirate’s oil industry zone (FOIZ) was struck by drones launched from Iran, resulting in a fire at the facility.

Ongoing monitoring

Authorities have stressed that response systems remain active, with real-time monitoring in place to ensure public safety.

Residents have been advised to stay indoors, avoid unnecessary travel, and follow instructions issued by official government channels.

The situation remains fluid, with further updates expected as authorities continue to assess developments.