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The Talent Retention Tug-Of-War: Strategic Imperatives For HR Leaders In The MENA Region In this dynamic region, fostering a work environment that attracts, retains, and develops top talent will be the key differentiator for companies seeking to thrive in the years to come.

By Pedro Lacerda

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The Middle East and North Africa (MENA) region is characterized by its diverse landscape and vibrant urban centers. This dynamic environment is reflected in the economic landscape of the MENA region, where economies are currently experiencing a period of significant growth.

According to the World Bank, the region's gross domestic product (GDP) is forecast to reach 3.5% in 2024 and 2025, a testament to its vibrancy. This surge in economic activity fuels a burgeoning demand for skilled workers across various sectors. In fact, during the third quarter of 2023, there was a surge in demand for Emirati talent across various industries. Additionally, the booming tourism sector required a significant influx of skilled workers to meet the increasing demand for services.

However, beneath the gleaming facade lies a hidden challenge: a volatile hiring and firing landscape. This boom-and-churn scenario presents a major hurdle for human resources (HR) directors in the MENA region. On one hand, companies are aggressively recruiting talent to capitalize on burgeoning opportunities. On the other hand, a scarcity of skilled professionals, particularly in specialized fields, has ignited a fierce competition for talent. This intense competition often translates into high employee turnover rates, leading to a constant state of flux within organizations. High turnover rates can significantly impact organizations, resulting in substantial costs of about 10% of revenue to onboard new team members.

The impact of this talent churn is multifaceted. Companies lose valuable time and resources on a revolving door of recruitment and onboarding. Institutional knowledge walks out the door with departing employees, hindering productivity and innovation. Additionally, a reputation for high turnover can make it difficult to attract and retain top talent, creating a vicious cycle.

So, how can HR directors navigate this tightrope walk and achieve sustainable talent retention in the midst of a boom-and-churn environment? The answer lies in a strategic shift from reactive firefighting to proactive talent management.


While economic growth creates exciting opportunities, it also exposes a pronounced skills gap, particularly in specialized fields like technology, engineering, and healthcare. This scarcity intensifies competition for talent among employers, driving up salaries, and making retention a constant battle.

One of the most pressing issues is the competitive landscape. Companies engage in a relentless tug-of-war for skilled professionals, wielding enticing compensation packages and attractive benefits to attract and retain employees. However, traditional recruitment strategies are no longer sufficient in a market where talent is scarce. HR leaders must go beyond the job board, and explore innovative avenues to secure a competitive edge.

Furthermore, the evolving expectations of the workforce present another formidable challenge. Today's employees, particularly the younger demographic, prioritize work-life balance, career development opportunities, and a positive organizational culture. Employers must adapt to these shifting preferences by fostering a conducive work environment that prioritizes employee well-being, offers avenues for growth, and fosters a culture of inclusivity and engagement.

Related: The How-To: Helping HRs Find The Right Talent In The MENA Region


In order to stand tall in the talent retention battleground, HR directors must adopt a multi-pronged approach that encompasses various facets of employee engagement, development, and well-being. Here are some key strategies:

  • Cultivating a compelling employer brand A strong employer brand acts as a magnetic force, attracting top talent and fostering employee pride. HR leaders must articulate and promote the organization's values, culture, and commitment to employee growth and development. This fosters a sense of belonging among existing employees, thereby enhancing retention rates.
  • Targeted recruitment strategies Go beyond conventional channels. Leverage social media platforms, professional networks, and strategic partnerships with universities to tap into diverse talent pools and identify candidates who align with your organizational values and objectives.
  • Competitive compensation and benefits Regularly benchmark salaries to ensure your offerings remain attractive in the market. Financial incentives are important, but don't underestimate the power of non-monetary benefits that resonate with today's workforce, such as healthcare subsidies, wellness programs, and flexible work arrangements.
  • Investing in employee development Provide employees with access to training programs, mentorship opportunities, and clear career advancement pathways. This not only enhances their skills, but also reinforces their commitment to the organization.


The MENA region is a dynamic landscape in constant flux. Economic, social, and technological forces will continue to shape the future of work. HR leaders must remain agile and proactive in their approach to talent management. By embracing innovation, prioritizing employee well-being, and fostering a culture of engagement and inclusivity, organizations can position themselves as employers of choice in the MENA region.

Talent retention is no longer a luxury; it's a strategic imperative for organizations operating in the MENA region. By adopting a holistic approach that encompasses employer branding, targeted recruitment, competitive compensation and benefits, and a focus on employee development and engagement, HR leaders can navigate the talent retention landscape with confidence and drive sustained organizational success. In this dynamic region, fostering a work environment that attracts, retains, and develops top talent will be the key differentiator for companies seeking to thrive in the years to come.

Related: How GCC Countries Can Build A Talent Model For The Digital Age

Pedro Lacerda is the Senior Vice President and an Executive Team Member at TASC Outsourcing, where he spearheads innovative hiring solutions for businesses across the region. With a wealth of experience spanning over 25 years in global management and sales, Pedro has held key roles in leading HR consulting and outsourcing firms worldwide. His career has seen him contribute to renowned companies such as Kelly Services, Crystal Lagoons, Hays Group, and Randstad Group, spanning across 10 different countries in Europe, Latin America, and the Middle East.

Pedro's expertise lies in company turnarounds, green field implementations, team building, restructuring, cost control, process engineering, and strategic execution. With a multicultural and service-oriented approach, he excels in working closely with C-level clients and partners. Pedro holds a master's degree in international economy and has completed a senior executive program from IESE Business School and Tias University. Additionally, he is recognized as a career and business coach, a multiplier leader, and a former world-class field hockey referee.


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