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By Azmat Haroon
Doha: The salaries of expatriate employees in the oil and gas sector in Qatar are 35 percent higher compared to the average packages for expatriates in the other Gulf countries.
This was disclosed by a Dubai-based global management consultancy firm which conducts an annual salary survey here. At the same time, the average salary for Qataris in the energy sector is 80 percent higher than salaries in the region’s industry.
The Hay Group said its forecast is based on an extensive analysis of salary data of 54,000 employees in Qatar from 128 organizations and 13 key industries, mainly in the private sector.
In Qatar, the average salary package of Qatar’s oil and gas sector is 45 percent higher than the average of the overall market. This is largely due to the huge allowances paid by the sector in comparison to other private sector organisations.
“What you have to look at is the difference between pay scales for nationals in the oil and gas vs nationals in other sectors. And similarly, the pay scale for expatriates in different sectors here,” Hay Group consultant Harish Bhatia told The Peninsula.
According to the report, packages for Qataris in the oil and gas sector are on average 28 percent higher than that for Qataris in other sectors. Expatriates in the oil and gas sector also get about 40 percent higher packages than expatriates working in other sectors.
This average has gradually increased in the past few years, Bhatia said. “Qatar saw a very large expansion of the oil and gas sector in the past four-five years, where they invested heavily in building gas plants,” the expert said.
The talent in the oil and gas industry, which is globally connected, is scarce. Qatar had to offer better packages than what these professionals were getting say in Australia or the UK, Bhatia added. Compared to the UK, Qatar is currently paying nine percent higher.
Additionally, to cover the cost of living and education, which is very expensive here these days, the oil and gas sector had to pay a high premium as well as allowances to attract expatriates, Bhatia said, adding that Qatar’s oil and gas also pays the highest house allowances in the Gulf.
“The reason the average is seen very high for this sector in Qatar is because over 65 percent of Qatari nationals working in the private sector are in the oil and gas industry,” the Hay Group expert said.