AI Reshaping Roles, Not Cutting Jobs, in UAE and GCC

Worries about AI taking away jobs have understandably followed the technology’s rise, so it is genuinely reassuring to see fresh data showing a calmer picture. Across the UAE and GCC, fears of job losses tied to AI have eased noticeably over the past year, even as the technology continues reshaping roles rather than eliminating them. This comes from Cooper Fitch’s AI & the Future of Talent 2027 report, and this reshaping roles trend offers a thoughtful, balanced look at where things genuinely stand.

Job Fears Are Easing, and That’s Worth Appreciating

According to the Cooper Fitch findings, only 14% of respondents now expect AI-related role reductions within the next 12 to 24 months, a real drop from 31% in last year’s survey. Instead of cutting positions outright, organisations appear to be taking a more thoughtful approach:

  • 22% report that task and responsibility consolidation is already under way
  • A further 41% are exploring this approach
  • Businesses seem focused on genuinely reshaping roles rather than removing them altogether

This shift in mindset, from elimination to adaptation, is a genuinely encouraging sign for the region’s workforce, and shows reshaping roles can be a positive process rather than a threatening one.

AI Adoption Is Deepening, But Governance Needs to Catch Up

AI adoption across the region has grown significantly. Nearly two-thirds of respondents now report adoption at the functional stage or beyond, a sharp rise from roughly 19 per cent just last year. Across the UAE and GCC, 44 per cent of organisations report specific-use adoption, while 8 per cent say AI is now fully embedded across operations.

That said, the report is honest about an important gap. AI governance has not kept pace with adoption:

  • 57% of organisations have no formal governance framework for AI, or only an informal, evolving one
  • Among GCC regional companies specifically, that figure rises to 81%
  • Just 10% of GCC respondents report a fully established framework, despite 97% reporting some level of adoption

Highlighting this honestly, rather than glossing over it, is a responsible and appreciated part of the report.

Leaders and Teams See This Reshaping Differently

The survey also revealed an interesting gap in sentiment around how this reshaping roles trend is being felt. While 31% of executives said AI has exceeded expectations, only 4% of heads of function agreed. On the other hand, 41% of managers and 50% of individual contributors felt AI has fallen below expectations, compared with just 19% of executives.

Despite this gap, there is a clear point of agreement: productivity remains the most commonly cited measurable benefit of AI, reported by 53% of executives, 68 per cent of heads of function, and 63% of managers.

A Genuine Concern Worth Noting

The report raises one thoughtful concern that deserves attention. Entry-level tasks, such as research, first drafts, administrative coordination, and routine data analysis, are becoming less common. These tasks have traditionally helped junior employees build judgement and critical thinking over time.

At the same time, new AI-related roles, such as chief AI officer or AI governance lead, tend to require prior experience, leaving fewer clear entry points for newcomers. This is a fair point for organisations to reflect on as they plan for future talent development.

Investment Is Growing Steadily

Encouragingly, mid-range AI investment has grown notably:

  • 27% of respondents now report annual AI budgets between $500,000 and $5 million, up from 19% previously
  • UAE respondents were more likely to report high AI spending, with 11% citing investment above $5 million, compared with 3% in Saudi Arabia
  • Data privacy and regulatory risk remain the leading barrier to further AI progress, cited by 44 to 45% of respondents

A Broadly Positive Outlook

Perhaps the most heartening figure of all, and a sign that this reshaping roles approach is landing well, is this: 90% of respondents describe their organisation as either excited about AI or cautiously optimistic. Around 65% also confirmed that AI outputs are always reviewed before use, showing that human oversight remains firmly in place even as AI’s role grows.

Conclusion

This report paints an encouraging picture of AI reshaping roles thoughtfully across the UAE and GCC, rather than driving widespread job losses. With productivity gains, growing investment, and cautious optimism across the region, businesses are clearly finding a balanced way forward, while honestly acknowledging areas like governance and entry-level training that still need attention.

If your organisation wants guidance on adopting AI responsibly while supporting your team’s growth, Horizontal8 is here to help. Reach out to Horizontal8 today, and let’s build a thoughtful AI strategy together.

Frequently Asked Questions

Is AI causing widespread job losses in the UAE and GCC? 

No, the Cooper Fitch report found that fears of job losses have eased, with only 14 per cent expecting role reductions, down from 31 per cent last year.

What is happening to jobs instead of being cut? 

Many organisations are consolidating tasks and responsibilities rather than eliminating positions outright.

What is the biggest gap identified in the report? 

AI governance has not kept pace with adoption, with the majority of GCC companies lacking a fully established governance framework.

Which entry-level tasks are most affected by AI? 

Research, first drafts, administrative coordination, and routine data analysis are the tasks most affected by automation.

How do executives and managers view AI differently? 

Executives are generally more optimistic about AI’s impact, while managers and individual contributors are more likely to feel it has fallen short of expectations.

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