Pay down 30% in Dubai

In spite of the reduced job options, investment bankers from the UK and US still appear keen to make the move to Dubai. However, they're now accepting salaries up to 30% lower.

It's no secret that Dubai was painted as an oasis of opportunity this time last year as banks started culling their teams in Western markets. Since the end of 2008, however, redundancies in the emirate have become an increasingly common phenomenon, which has tainted its appeal somewhat.

But Arqaam Capital, an investment bank in Dubai, says it's still seeing a flood of expat interest, mainly from London and New York.

"Candidates are more realistic now in terms of rationale for making a move and, of course, salary expectations," says Marc Hoodless, the bank's managing director of human resources.

He says it's becoming increasingly common for expats to accept a package worth an average of 30% less than they would have demanded six months ago.

Malcolm Wood, head of front office roles at search firm Hamilton Chase, says: "Candidates are much more flexible with compensation because they're no longer in such a strong bargaining position. However, it's not across the board. More senior roles and revenue generating positions such as sales are holding up, while trading and posts lower down the ranks are taking bigger concessions."

Similarly, Jeremy Trevors, director of Middle East focused headhunters J.J. Associates, adds: "There's an element of banks trying to pick people up on the cheap. But the core difficulties banks had picking up the right people still haven't gone away."

The good news is that volumes of new roles could be picking up again. A survey by IQ Selection, part of the Premier Group, says enquiries from potential employers rose 60% in the last month.

"We're seeing hiring happening mainly in the front office for private equity and investment banking/capital markets," says Jonathan Gould, a financial services consultant at the recruitment firm.