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UAE companies cut AI job reduction forecasts to 14 percent

Cooper Fitch survey shows 63 percent of Gulf organisations now at functional AI adoption stage or beyond.

Green geometric sculpture in minimalist art gallery with interesting wall designs.Photograph by 灵 道 on Pexels

UAE and GCC organisations expecting AI-related role reductions within the next 12 to 24 months dropped to 14 percent from 31 percent a year earlier, according to Cooper Fitch's AI & the Future of Talent 2027 report published September 2026. Companies are consolidating tasks rather than eliminating positions, with 22 percent reporting role consolidation under way and 41 percent exploring it. Nearly two-thirds of respondents report UAE AI adoption at the functional stage or beyond, up from 19 percent functional adoption in the previous survey.

Functional AI adoption reaches 44 percent across Gulf organisations#

Across the UAE and GCC, 44 percent of organisations now report specific-use AI adoption, while 8 percent have fully embedded AI across operations, the Cooper Fitch survey found. Annual AI budgets between USD 500,000 and USD 5 million rose to 27 percent of respondents from 19 percent in the prior survey. Investment above USD 5 million remained at 7 percent. UAE respondents were more likely to report high AI spending, with 11 percent citing annual investment above USD 5 million.

Gulf AI governance frameworks lag adoption rates#

Fifty-seven percent of organisations surveyed have no formal AI governance framework or only an informal evolving one. Among GCC regional companies, that figure rises to 81 percent. Just 10 percent of GCC respondents report fully established AI governance, despite 97 percent reporting some level of AI adoption. The report identified first-draft content, reporting, basic research, administrative coordination and routine problem-solving as the tasks most affected by automation.

Productivity cited as primary AI benefit across seniority levels#

Productivity remains the most commonly cited measurable benefit of AI, reported by 53 percent of executives, 68 percent of heads of function and 63 percent of managers in the Cooper Fitch survey. Revenue growth linked to AI was identified by only 4 percent of respondents across these groups. A sentiment gap emerged between leadership and staff: 31 percent of executives said AI exceeded expectations, while only 4 percent of heads of function said the same. Forty-one percent of managers and 50 percent of individual contributors said AI fell below expectations, compared with 19 percent of executives.

Sources5 sources across 1 domain

  1. khaleejtimes.comKhaleej Times14 percent of UAE and GCC organisations expect AI-related role reductions within 12 to 24 months, down from 31 percent a year earlier, per Cooper Fitch AI & the Future of Talent 2027 report
  2. khaleejtimes.comKhaleej Times63 percent of respondents report AI adoption at functional stage or beyond, up from 19 percent functional adoption in prior survey; 44 percent report specific-use adoption, 8 percent fully embedded
  3. khaleejtimes.comKhaleej Times57 percent of organisations have no formal AI governance framework or only informal one; 81 percent among GCC regional companies; 10 percent of GCC respondents report fully established governance
  4. khaleejtimes.comKhaleej Times27 percent report annual AI budgets between USD 500,000 and USD 5 million, up from 19 percent; investment above USD 5 million stable at 7 percent; 11 percent of UAE respondents cite spending above USD 5 million
  5. khaleejtimes.comKhaleej TimesProductivity cited as measurable AI benefit by 53 percent of executives, 68 percent of heads of function, 63 percent of managers; revenue growth linked to AI identified by 4 percent

Each source above carries the claim it supports. Links open the publisher's own page; their text is not reproduced here beyond what the claim requires, and their rights remain theirs.

Filed underuae ai adoptiongcc ai governanceai job marketcooper fitchai budgetsworkforce automation

Startup Arabia is published by Arabian Media Network. Pieces are produced by the Payroll Desk with AI-assisted synthesis of the cited sources and automated verification against the network's editorial policy. Every piece carries a desk rather than a reporter. Corrections are recorded on the piece and on the corrections page.