Five Days To Go: UAE Private Sector Emiratisation Target Nears Deadline

Attention! The UAE private sector companies have less than a week left to meet Emiratisation targets or face penalties. The deadline for companies with 50 or more employees to increase their Emirati workforce in skilled jobs by 1% is June 30.

Companies that do not comply with the Emiratisation targets will face fines, rating downgrades, and referral to the Public Prosecution. The penalty for not hiring an Emirati worker is Dh48,000 in the first six months, which will increase by Dh1,000 yearly until 2026.

The Cabinet approved a decision to raise Emiratisation rates to 2% annually for skilled jobs in private sector establishments with 50 or more employees and to achieve an overall rate of increase by 10% by 2026. This is accompanied by granting incentives to institutions that perform qualitatively in the training and employment of citizens.

The Ministry recommends companies that have not yet met Emiratisation targets to use the Nafis platform, which assists in finding Emirati professionals. Companies that have already met targets are advised to register Emirati employees in the authorised pension funds and the Wage Protection System (WPS).

Penalties and fines for bypassing Emiratisation targets include

• The firm carrying out fake Emiratisation and submitting false documents or data to get benefits associated with Nafis
• The employee not joining work after the work permit is issued and the establishment continues to get support from Nafis
• The employee benefitting from Nafis shows non-commitment towards work and the employer fails to notify Nafis
• The firm not employing the Emirati after he/she completed the Nafis training programme and fails to give a valid justification
• The firm not reporting any change in the terms of the benefit without reason acceptable to Nafis

The Ministry of Human Resources and Emiratisation has urged reporting any violations through its call centre at 600590000 or via its smart application. They stated that "Emiratisation targets were set to enhance Emirati citizens' participation in the job market and their contribution to the country's economic development, which makes it an important national goal".

Starting July 1, the Ministry will monitor compliance with the Emiratisation targets. Private sector firms must act promptly to avoid penalties and ensure compliance.