The UAE’s Ministry of Human Resources and Emiratisation (MoHRE) has recently identified 916 companies that have breached Emiratisation regulations. These violations, spanning from mid-2022 to the present, involve attempts to bypass Emiratisation targets and the creation of fictitious positions to exaggerate compliance figures.
Despite these infringements, the companies involved have employed a total of 1,411 UAE nationals. This development emerges as MoHRE intensifies its reminder to private sector entities with at least 50 workers to fulfill their Emiratisation quotas for 2023. Specifically, these organizations must demonstrate a 2 per cent increase in the employment of Emiratis in skilled roles by the end of December.
The ministry has issued a stern warning: companies failing to meet the annual Emiratisation objectives will face substantial fines starting January 2024. The mandate stipulates that firms must integrate an additional 2 per cent of Emirati staff annually until 2026. For example, by the end of 2022, companies were required to have 2 per cent of skilled positions filled by UAE nationals, a figure that needs to rise to 4 per cent by the conclusion of 2023.
Penalties for non-compliance are escalating. This year, the fine has increased to Dh7,000 per month for each Emirati not employed, up from Dh6,000 last year. Consequently, non-compliant companies could incur an annual fine of Dh84,000 per unoccupied citizen position in 2023.
To support companies in meeting these goals, MoHRE suggests utilizing the Nafis platform, a resource offering access to a vast pool of qualified Emirati professionals across various sectors.
Moreover, over 18,000 companies have contributed to a significant surge in the number of UAE citizens entering the private sector, with more than 88,000 Emiratis currently employed in diverse roles nationwide.
The ministry also emphasized the advantages for companies joining the Emiratisation Partners Club, including substantial reductions in MoHRE service fees (up to 80 per cent), preferential treatment in government procurements, and benefits from the Nafis program for both companies and individuals.